Lockton has released its Fall 2015 P&C Market Update and the US property and casualty insurance market has seen competition continue to increase in a market characterized by excess capital, low interest rates, and slow economic growth. Most clients are benefitting from the ongoing trend.
Consolidations within the property market have not resulted in any material reduction of available capacity or an impact on pricing. What has had an impact—in clients’ favor—has been new market entrants from Bermuda, facilities, and competition from established carriers pursuing large-limit opportunities.
While we hesitate to describe the casualty market as completely ‘soft,’ because much still depends on the individual characteristics of each risk, underwriting fundamentals still matter. Clients with tougher exposures or poor loss experience will face closer scrutiny around retentions and pricing.
In addition, this report also features updates on the following areas:
- Workers’ Compensation: Challenges Continue
- International: Key Factors Create Highly Competitive Market Conditions
- Healthcare: Consolidation Creates Stable Buyers’ Market
- Cyber: “Hacktivists” are the Latest Challenge in the Cyber Security Evolution
- Real Estate: Premium Rates Receive Pressure; Market Competition Continues
- Environmental: Carriers Adjusting Underwriting Approach
- Construction: No Uniform Market Softening
Read more about these developments in Lockton’s Fall 2015 Property & Casualty Market Update.