Sponsored by Swett & Crawford
Rising premiums during the third quarter is good news for property/casualty insurers, which have endured eight years of soft market conditions. Rate increases, however, may not yet be sustainable. Capacity is at near-record levels despite one of the worst years ever for catastrophe losses. Underwriters undoubtedly will try to push rate levels higher, but it will be an uphill fight against excess capacity, which encourages competition.
This six page Advisen Briefing, sponsored by Swett & Crawford, examines the forces shaping the current property/casualty market and offers valuable insights for January 1 renewals and beyond
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Register for this free one hour webinar at: https://www1.gotomeeting.com/register/819951440
Advisen Topical Report: The Insurance Market in 2011: Rising Rates Battle Near-Record Capacity
Sponsored by Swett & Crawford
For the first time in nearly eight years, three of the four lines of business comprising the Advisen ADVx Composite Pricing Index increased during a quarter. For Q3 2011, property, general liability (GL) and workers' compensation all increased, albeit modestly. Only the D&O index trended lower.
Many insurers have confirmed that rates are rising. Few insurance company executives, however, are breaking out the champagne and declaring the soft market dead and buried. Capacity, as measured by policyholder surplus, is at a near-record high. By some measures, the commercial lines insurance market is significantly overcapitalized, which does not bode well for a sustained rate rally. at near-record levels despite one of the worst years ever for catastrophe losses. Underwriters undoubtedly will try to push rate levels higher, but it will be an uphill fight against excess capacity, which encourages competition.
This six page Advisen Briefing, sponsored by Swett & Crawford, examines the forces shaping the current property/casualty market and offers valuable insights for January 1 renewals and beyond.
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