I read this article and see no clear assessment of where we’re going and sometimes contradictory reasoning for a statement about where they think some things are headed.
“At the same time, Marsh said, there could be at least partial relief because the economic turnaround in recent years has increased exposures, a trend that at least helps make the effect of rate increases a lesser deal”
Is Marsh saying that increases in exposures of an insured makes it easier for them to swallow rate increases? Really? What world do they live in?
Dave, in the world of Independent Agents, we are puzzled every week by where our markets are heading. Their marketing people put on a happy smile and say they want to grow and then the underwriters and actuaries don’t give the agent the tools to grow. It is quite amazing.
They’re saying that they are seeing more “exposures”. That could be different business types that have started due to the economic turnaround.
Just because the insurance company charges or underwrites for an exposure doesn’t necessarily mean they’ll pay any losses. As a result, the insurer earns more premium. Remember, they speaking globally.
On the other hand, if your client decides to take on other job types or “exposures” then he needs to pay the premium to match the risk. So, in that case, I would hope the client would understand.
I read this article and see no clear assessment of where we’re going and sometimes contradictory reasoning for a statement about where they think some things are headed.
“At the same time, Marsh said, there could be at least partial relief because the economic turnaround in recent years has increased exposures, a trend that at least helps make the effect of rate increases a lesser deal”
Is Marsh saying that increases in exposures of an insured makes it easier for them to swallow rate increases? Really? What world do they live in?
Dave, in the world of Independent Agents, we are puzzled every week by where our markets are heading. Their marketing people put on a happy smile and say they want to grow and then the underwriters and actuaries don’t give the agent the tools to grow. It is quite amazing.
They’re saying that they are seeing more “exposures”. That could be different business types that have started due to the economic turnaround.
Just because the insurance company charges or underwrites for an exposure doesn’t necessarily mean they’ll pay any losses. As a result, the insurer earns more premium. Remember, they speaking globally.
On the other hand, if your client decides to take on other job types or “exposures” then he needs to pay the premium to match the risk. So, in that case, I would hope the client would understand.
Hidden due to low comment rating. Click here to see.