What unique challenges shape treaty reinsurance in South Africa?

Climate volatility: Floods, droughts, and hailstorms have increased frequency and severity. Energy transition: Growth in solar installations creates new aggregation risks (hail, theft, fire). AI and cyber: Emerging liability exposures from algorithmic failures and data breaches. Market volatility: Inflation, currency swings, and load shedding all influence claim costs and portfolio stability. Infrastructure weakness: Ageing stormwater and power grids amplify catastrophe risk, now linked to litigation.