Primary rates have plateaued on employers liability (EL), but downward pressure continues to be applied to third-party accounts - both UK and international small and medium enterprise sector. For the larger, more complex international accounts rates are more stable. The third-party account continues to compliment the EL results of many insurers. With the general increase in bodily injury awards, lack of investment returns, pressure on discount rates, PPO effect and general recessionary factors, EL insurance must be subjected to rate increases in the near future.
Reinsurance rate reductions have been achievable on good performing accounts. Those accounts with a notable PPO exposure and where reinsurance purchasing is at a higher attachment point have been subjected to rate increases.