yeah, but we're talking about 0.25% drop here from the peak of...

yeah, but we're talking about 0.25% drop here from the peak of 2% to 1.75%.

Even if the whole portfolio is affected, that will only be $40-$50 mil.

I think the bigger worry would be whether the premium increase of 5% really happens; or the US regulatory problem with force placed insurance; or CATs going forward.

Plus if bond yield drop, bond prices is actually higher by quite a bit. I don't know how QBE structure their bonds, but I sincerely doubt they'll buy long term 10 yr bond as that will put them at risk of not being able to hold it until maturity.