Editor’s Note: A previous story on a Marsh report on the U.S. Commercial Market was from 2011 and ran in error. Insurance Journal regrets the error. Here is the latest Marsh report.
Rates in the global insurance market generally firmed in the second quarter of 2012.
According to the Marsh Risk Management Global Insurance Index, the global insurance market has shown a clear trend of firming since the third quarter of 2011.
Marsh found that the multiyear slide in liability insurance rates showed signs of moderating as general liability and professional liability insurance rates were typically stable at renewal in most major geographies.
Property insurance rates rose in the second quarter of 2012, driven by unexpected adverse loss developments from the major catastrophes of 2011, increased focus by insurers on the data provided by insureds, a rise in attritional losses, and changes to insurers’ calculations of their risk-adjusted cost of capital, according to Marsh.
Property insurance rates for insureds with moderate to heavy catastrophe exposures climbed significantly in loss-affected regions; insureds without such exposures generally saw rates stabilize.
Also, according to the Marsh report, some insurers are responding to increasing concerns about cyber risks with product innovations, such as new protection for cloud computing.
For the complete Marsh report, visit here.
Editor’s Note: A story on a Marsh report on the U.S. Commercial Market in the Daily Headlines was from 2011 and ran in error. Insurance Journal regrets the error. Here is the latest Marsh report.