Swiss Re Highlights Nuclear Energy Growth and Rising Civil Unrest Risks at RVS 2025
At the RVS 2025 conference in Monte Carlo, Swiss Re executives outlined key developments shaping the reinsurance sector, emphasizing its role as a critical stabilizer in a volatile global environment. Urs Baertschi, CEO of property and casualty reinsurance at Swiss Re, highlighted how shifting trade policies and geopolitical tensions are increasing claims costs through supply chain and labor market disruptions. He reinforced the integral role of insurance and reinsurance as enablers of economic activity and trade facilitation.
Gianfranco Lot, Chief Underwriting Officer, identified nuclear energy as a significant growth opportunity, noting forecasts that global nuclear production could triple by 2050. Swiss Re is preparing for underwriting challenges linked to new large-scale nuclear plants and emerging technologies like small modular reactors, particularly addressing risks around transport and storage. The company’s experience with the Swiss nuclear pool positions it to manage these evolving risks effectively.
The executives also pointed to rising civil unrest risks globally, categorized under strikes, riots, and civil commotion (SRCC), which represent a growing challenge for property insurers. Baertschi highlighted the need for careful accumulation management to avoid excessive concentration of SRCC exposure amid increasing litigation and social inflation trends impacting liability.
Swiss Re links these trends to broader geopolitical tensions, including tariffs, energy security, and conflicts that collectively introduce uncertainties but also underscore the reinsurance industry’s societal and economic significance. Baertschi emphasized the industry’s dual function of enabling growth while providing societal protection despite external pressures.
Additional insights from the RVS 2025 event included commentary on insurance-linked securities (ILS) where cat bonds are integral, with casualty and cyber lines expected to drive future expansion. Moreover, discussions touched on the importance of robust data for AI-driven underwriting tools and market resilience in regions like MEASA, highlighting opportunities for optimized capacity deployment and risk diversification through advanced risk modeling.