Your source of property insurance market trends and analysis for Q1 2018
The local and global insurance market finds itself at a pivotal moment with a balance between diminishing profitability and eager capital providers hungry for diversification.
The exhaustion of reserve releases, reduced premium volumes, larger insurer net retentions, low interest rate environments, and frequency of loss activity have all led to combined operating ratios (COR) consistently above 100% versus a target of 85% – 90%. According to APRA, some ground was made in FY 2017 as CORs improved from 117% to 113% – but the property segment remains unprofitable for the majority. Continue Reading