Swiss Re Ltd.

The negative outlook reflects the risk that Swiss Re's underwriting performance will not improve over the next 24 months. We believe this would place further pressure on the group's franchise and capitalization. We could lower the rating by one notch over the next 24 months if we think: Earnings are unlikely to reach our abovementioned projections for net income and combined ratio; or The group's capital is likely to drop below the 'AA' confidence level for a prolonged period. We could revise the outlook to stable in the next 24 months if the group demonstrated that it could perform in line with our earnings and capital expectations, as well as with 'AA-' rated peers, and displayed no weaknesses in its

...Swiss Re Ltd. will remain one of the dominant players in the global reinsurance sector. S&P Global Ratings expects Swiss Re (the group) to maintain its position among the top global reinsurers, benefiting from diversified business operations. In 2022, 51% of net premiums earned (NPE) came from P/C reinsurance, 35% from life and health reinsurance, and 13% from Corporate Solutions (CorSo; primarily P/C business). In terms of geography, the group will remain a significant global player present in all significant markets. It currently generates about 51% of its NPE and fee income in the Americas; 31% in Europe, the Middle East, and Africa; and 18% in Asia-Pacific. We expect Swiss Re Ltd. to return to underwriting profitability in 2023 following a challenging 2022. For the full-year 2023, we forecast a net combined ratio of 95%-96% for the group's combined non-life business, and net income in its life and health re book of close to $1 billion. This should allow the group to record a $2.8 billion...

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