As we enter the final quarter of 2007 can we predict the challenges which will face reinsurers during the course of 2008? We know that 2008 will be a year containing events of global significance; we will see the occasion of the Beijing Olympics and the upheaval of the US Presidential elections. However, what of the events and challenges which are unknown at this point? Will there be other events of global significance which impact on the reinsurance market? We consider below the sources of possible future claims against reinsurers in 2008 and evaluate the way in which the market is likely to respond to these claims.
Financial risks are likely to continue to pose a potential headache for reinsurers in 2008. Financial products are becoming increasingly complex and encompassing yet greater sums. The potential exposure of those involved in these products has been highlighted by the increasing activity of regulators. In the US, the SEC has seen a big increase in investigations into
