soft market News

Prepare for the Soft Market: Why You Need to Set Performance Metrics Now

Executive Summary: Companies need to enact long-term performance measurement and strategies for underwriting discipline across the underwriting cycle because evidence suggests underwriters will not impose it themselves, according to Tony Buckle and John Carolin, co-founders of the boutique insurance consultancy …

Viewpoint: Get Ready Now for the Soft Market (Because It’s Coming)

Executive summary: Tony Buckle and John Carolin, co-founders of the boutique insurance consultancy UWX, analyze underwriter motivation during the soft phase of the market cycle. While average market prices are the hardest seen in years, some price softening has begun …

Another Soft Market Is Inevitable

In recent weeks, executives of brokers and carriers have been delivering mixed messages about conditions in the commercial insurance market. “The long curve, the larger trend, is bending in a positive direction for buyers.” John Drummond, head of Broking, North …

Natural Catastrophe Claims in 2017 Reached a Record $135B: Munich Re

The insurance industry will pay record claims of US$135 billion from last year’s spate of natural catastrophes, according to a report published by Munich Re. Further, Hurricanes Harvey, Irma and Maria (HIM), the Mexico earthquakes and wildfires in California created …

The Fine Art of Underwriting Through Soft & Slightly Harder Market Cycles

Twenty or so years ago, a London market marine underwriter declared he was going golfing one afternoon because he had reached his annual capacity level. That was an underwriting model commonly used in the Lloyd’s and London markets. Underwriters sat …

Property Reinsurance Rates Rise Less Than Expected in Jan. 1 Renewals

Global property reinsurance prices have risen less than expected in the key Jan. 1 renewal season, with strong competition limiting increases to single digit percentages following a record year of losses, brokers said on Tuesday. Catastrophe bond managers are launching …

Reinsurance Price Hikes May Be Short-Lived as Capacity Is Abundant

While overall market conditions may improve over the near term as a result of catastrophe events in the third quarter of 2017, A.M. Best continues to hold a negative outlook for the global reinsurance sector in 2018. In a new …

Swiss Re Posts $468M 9-Month Loss, Anticipates Re/Insurance Rate Hikes

A rise in insurance premiums, especially in areas affected by recent hurricanes and disasters, will help Swiss Re recover from almost half a billion dollars of losses in the first nine months of this year, it said on Thursday. “We …

Top Challenges for London’s Re/Insurers Are Soft Market, Brexit, Regulations: IUA

The top three challenges facing London market companies are the soft market, Brexit and regulatory compliance, according to a survey of International Underwriting Association (IUA) members. In an online questionnaire, members also cited the IT/cyber revolution, the challenge of innovating …

4 European Reinsurers Maintain Pricing Discipline in Tough Market: Fitch

The four largest European reinsurers – Munich Re, Swiss Re, Hannover Re and SCOR – have largely maintained pricing and policy terms without a significant drop in their business volumes, despite relentless soft market conditions, according to Fitch Ratings. Fitch …