October 12, 2026 · Decision research
Insurance Reinsurance Cycles
Finding
Better reinsurance buying conditions do not yet justify buying homeowners insurers as a group; the missing proof is how much loss they still keep.
What changed
Florida insurers bought an additional $5-$7 billion of protection at midyear, but generally maintained strong retentions - the losses they absorb before reinsurance pays.
Decision
Set the action to WAIT on a broad sector allocation. Prioritize selected reinsurance buyers for investment review, but require company-level evidence before committing capital.
Watch next
Protection against repeated smaller disasters, customer premium reductions, exposure growth, and catastrophe losses that actually reach reinsurers.