1053 GMT - Reinsurance volumes might fall due to artificial intelligence, despite hopes that the sector is a safe haven, Jefferies's Philip Kett and Derald Goh write. Reinsurance is protected from direct exposure to artificial intelligence, partly because the data required to underwrite reinsurance risks can't be easily obtained. However, AI could reduce the number of participants and mean reinsurance is exposed to lower customer demand. Insurance market shares could consolidate between a smaller number of large insurers, which would hit the reinsurance industry, the analysts say. "In essence, conglomerates already rely less on external reinsurance to eliminate their tail risks, and if AI lifts their share, the reinsurance industry could become less relevant," Jefferies says.