X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

Companies have enjoyed a soft insurance market for years, but that’s coming to an end. Premiums started to rise recently, and that trend is expected to continue this year. U.S. insurers remain well-capitalized, though, so the cost increases should be moderate. The change is driven partly by the losses insurers suffered last year, particularly those related to the many weather catastrophes, as well as diminished returns on insurers’ investments. While last year’s insured losses totaled $70 billion to $80 billion, many of the most costly events, like Japan’s earthquake and tsunami and the floods in Thailand, were felt more by overseas insurers than those in the U.S. Still, the industry-wide combined loss ratio has risen to 109, which means insurers are losing nine cents for every dollar of premium they write, says Dave Bradford, president of Advisen’s research & editorial division.

Treasury & Risk

Join Treasury & Risk

Don’t miss crucial treasury and finance news along with in-depth analysis and insights you need to make informed treasury decisions. Join Treasury & Risk now!

  • Free unlimited access to Treasury & Risk including case studies with corporate innovators, informative newsletters, educational webcasts, and resources from industry leaders.
  • Exclusive discounts on ALM and Treasury & Risk events.
  • Access to other award-winning ALM publications including PropertyCasualty360.com and Law.com.

Already have an account? Sign In Now
Join Treasury & Risk

Copyright © 2019 ALM Media Properties, LLC. All Rights Reserved.