Reinsurance rates in some lines were on the rise during the just completed Jan. 1 renewal season, fueled by a variety of factors–from higher catastrophe losses to the impact of the financial meltdown on investment income. But the hikes were by no means unreasonable or seen as unexpectedly high, leading players in the field report.

One twist is that primary insurers, typically leading the way in pricing trends, have found that with balance sheets and pricing of primary business depressed, reinsurance is taking the point in this market turnaround, experts observed.

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