Another report indicates that soft commercial insurance market conditions that persisted throughout the U.S. in 2010 will continue into 2011.
Key commercial insurance market drivers from 2009—including intense competition among insurers, abundant capacity, and relatively few insured catastrophe losses—continued through 2010 and are forming market conditions for 2011, global insurance broker Marsh said in its latest report.
“Despite a challenging economic environment in many industries, commercial insurance market conditions were largely favorable for insurance buyers throughout 2010,” said Joe McSweeny, president, U.S. and Canada Division, Marsh. “A relatively benign Atlantic hurricane season limited catastrophe losses in the United States, and insurance capacity and competition remained strong.”
McSweeney said that barring a significant market-changing event, Marsh expects conditions to generally remain favorable for buyers in 2011. “Those able to supply high-quality data and that have favorable loss histories and limited catastrophe exposures will obtain the best deals,” he said.