As 2023 drew near, the reinsurance market entered a challenging phase characterized by significant rate increases and a more cautious approach to risk. Reinsurance is insurance for carriers. And, when reinsurance rates fluctuate, they impact distribution channels on all sides, as seen in robust marketplaces such as the Program Business Storefront Directory.
Tag: underwriting profitability
Poor P&C Underwriting Results Driven by Ian, Personal Auto, Inflation, and Geopolitics
Underwriting profitability for 2022 will be the worst year for the P&C industry since 2011, according to the Triple-I and Milliman.
Outlook for P&C Sector Stable, Characterized by Strong Underwriting Profitability
A recent report by Moody’s affirmed that its stable outlook for the US commercial P&C insurance sector reflects strong underwriting profitability, despite slowing price increases and persistent claims inflation. Premium growth will also continue despite the economic slowdown says Moody’s, with expected real GDP growth of 1.9% in 2022 and 1.3% in 2023, following growth… Continue reading Outlook for P&C Sector Stable, Characterized by Strong Underwriting Profitability
2022 P&C Underwriting Profitability Seen Worsening as Inflation, Hard Market Continue: Triple-I
According to actuaries at Triple-I and Milliman, a risk-management, benefits, and technology firm, the property & casualty insurance industry’s combined ratio – an indicator of underwriting profitability – is forecast at 100.7 for 2022, up 1.2 points from 2021. These findings were presented at a Triple-I members-only virtual webinar. Combined ratio represents the difference between… Continue reading 2022 P&C Underwriting Profitability Seen Worsening as Inflation, Hard Market Continue: Triple-I
Property & Casualty Insurers’ Q1 Net Income Grows, Profitability Ratios Worsen
Private property/casualty insurers in the United States saw their net income after taxes increase in the first quarter of 2021 from a year earlier, while their combined ratio – a key measure of underwriting profitability – worsened, according to a new report from Verisk, a leading global data analytics provider, and the American Property Casualty… Continue reading Property & Casualty Insurers’ Q1 Net Income Grows, Profitability Ratios Worsen
Munich Re Expects Further Hardening of Markets
Following years of eroding rates caused by excess capacities and low major-loss expenditure, particularly in European markets, low interest rates – likely to remain even lower for even longer due to the coronavirus pandemic – are impacting the profitability of reinsurers. Insurance covers are therefore likely to become more expensive, particularly for long-term risks in… Continue reading Munich Re Expects Further Hardening of Markets
Average Combined Ratio of the World’s Top Reinsurers Declined in 2019
Analysis of the Top 50 Global Reinsurance Groups reveals that, year-on-year, combined ratios trended higher for some of the largest players in the market in 2019 as underwriting profitability dipped for the cohort. When ranked by unaffiliated gross written premiums (GWP) in 2019, the top ten remains relatively unchanged year-on-year, with Swiss Re leading the… Continue reading Average Combined Ratio of the World’s Top Reinsurers Declined in 2019