KUALA LUMPUR, Global credit rating agency AM Best revealed that the implementation of the International Financial Reporting Standards (IFRS) 17 in the insurance industry has forced a modification to its annual ranking of top reinsurance groups for 2023. The re-engineering of this highly watched industry ranking has been necessitated by the lack of comparability created through the adoption of IFRS 17, which shifts the traditional focus from premiums written and earned to one based on insurance revenue that gauges the amount an insurer has earned for service rendered. In a statement, AM Best said companies that report under IFRS 17 are ranked one to 15 based on gross reinsurance revenue; while companies that report under non-IFRS 17 are rated one to 35 based on the more-traditional gross written reinsurance premium, in this year's ranking. Under this approach, Munich Reinsurance Co is the largest IFRS 17 reporting reinsurer based on nearly US$32.9 billion in 2023 reinsurance revenue, followed by Hannover R ck SE (US$27.0 billion) and SCOR SE (US$17.6 billion). (US$1=RM4.33) Meanwhile, Swiss Re Ltd is the largest non-IFRS 17 reporting reinsurer with US$40.5 billion in 2023 gross premium written, followed by Berkshire Hathaway Inc (US$27.5 billion) and Lloyd's (US$22.1 billion). The Best's Market Segment Report, 'World's 50 Largest Reinsurers', is a highly recognised part of AM Best's overall look at the global reinsurance industry ahead of the Rendez-Vous de Septembre in Monte Carlo. Other reports, including the credit rating agency's in-depth looks at the insurance-linked securities, Lloyd's, health and regional reinsurance markets, will be available during August and September. This report notes that over the past two decades, AM Best's annual global reinsurance report has outlined major developments in the segment, as well as ranking the players in the market, with most years, changes in the ranking have been modest. Source: BERNAMA News Agency