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| October 01, 2003 | COPYRIGHT 2003 Financial Times Ltd. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan.  All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)Copyright

(From Reinsurance)

Byline: Dr Clemens Muth, head of economic and insurance research, Munich Re.

A close look at the insurance industry towards the end of 2003 shows that primary (re)insurers are being structurally challenged by the following: an increase in 'old' risks and the advent of 'new' risks and newly identified correlations; a changed capital market environment; and a difficult macroeconomic environment.

While some of these factors are long-term trends that have not emerged overnight, the end result is a fundamentally changed business environment for the industry.

Globalisation and technological progress are continually ...

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