Posts Tagged ‘clash’



January 30th, 2014

Chart: Casualty - Typical Excess of Loss Rate Changes

Posted at 1:00 AM ET

The chart presents rate changes for the January 2014 and the January 2013 renewals.

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February 6th, 2012

January 2012 Reinsurance Renewal: United States Casualty Lines

Posted at 1:01 AM ET

Automobile and General Liability

Primary insurance rates in the commercial sectors have stabilized with underlying exposure stabilizing as well. The majority of general and automobile liability renewals renewed flat or with rate increases in the 1 percent to 5 percent range. Some favorable primary risks, however, continue to experience rate decreases in the single digits. The overall impact has been a slight increase in liability subject premiums in the low single digits. Underwriters of medium to large US liability businesses have been requiring more data than in the past. They are acquiring additional details on loss data and trends, safety reports and risk management practices. Direct commercial liability markets continue to show general improvement in their profitability as underwriting practices improve and increased portfolio analytics, such as predictive modeling, continue to be implemented.

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February 2nd, 2012

January 2012 Reinsurance Renewal: United States Casualty

Posted at 1:00 AM ET

jan2012cover_gcci4At the start of 2012 renewals, the US casualty lines are showing stable to increasing underlying exposures, albeit in an uncertain economic environment. A recent positive development in the second half of 2011 was a slowdown in the decline of the subject premium bases for many casualty lines. Exposure and subject premiums appear to be stabilizing (and even increasing in some lines) as a result of the stabilizing economy. It appears that pressure on rates, too, has also leveled off as virtually all of the primary casualty lines have exhibited either flat to positive rate increases averaging in the low-to-mid single digits. And certain classes of business, including energy, chemical and life sciences are experiencing even higher rate increases at renewal as a result of the number of 2010 unprecedented losses.

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January 25th, 2011

2011 Reinsurance Renewal Rates: US Casualty, Auto & General Liability, Casualty Clash and Umbrella & Excess

Posted at 1:00 AM ET

141x141jan1thumb32US Casualty

The casualty reinsurance market continues to be concerned about the level of primary market pricing, with that impact being felt most strongly in proportional treaties where some ceding commissions are being reduced. Reinsurance pricing is averaging flat to down by 5 percent.

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February 16th, 2010

Insurers Show Continued Interest in Casualty Clash Cover

Posted at 2:00 PM ET

Nick Olijslager, Managing Director, and Emil Metropoulos, Senior Vice President                                                                                                                                  Contact

Large insurers continue to seek Casualty Clash coverage. They are motivated by the results of the quantification of their tail risk exposure in Enterprise Risk Management initiatives, maintenance of consistent earnings and minimization of shock loss surprises to analysts. Clash protection also offers protection against higher working layer retentions. In addition, insurers are generally concerned about accumulations (stacking) of net loss exposures across a single or multiple lines of business and/or multiple insureds that may leave the insurer vulnerable to a non-industry loss event of unpredictable magnitude. Insurers are operating in a very competitive environment in many (but not all) of the underlying primary casualty covers covered by clash reinsurances. Consequently, the larger national/international insurers are experiencing larger deviations than smaller/medium sized regional companies as their exposures and subject premium have continued to fall. Almost all treaties renewed with expiring retentions and limits although there was some insurer pressure to increase terrorism sublimits.

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June 19th, 2008

Clashing Conventions: Measuring and Managing Exposure

Posted at 6:30 PM ET

Emil Metropoulos, Senior Vice President
Contact

Conventions are fertile ground for risk. With tens of thousands of people in one place, a single act of terror or a natural catastrophe could result in substantial insured losses for workers compensation carriers. But, it has been almost impossible to assign a number to this risk, let alone manage it effectively, since the data and modeling capabilities have not been available until recently. By triangulating among workers compensation, convention and venue databases, the measurement of convention clash risk is becoming a reality.

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May 15th, 2008

Understanding Unknown Convention Accumulations

Posted at 6:33 PM ET

Emil Metropoulos, Senior Vice President
Contact

The continued rise of the convention industry has created a unique clash exposure for workers compensation (re)insurers. Carriers are increasingly familiarizing themselves with “known” accumulations, the risks associated with the day-to-day workplace, since the terror attacks of September 11, 2001. “Unknown” accumulations, on the other hand, have been more difficult to grasp. When employees across an insurance portfolio gather for conventions, additional catastrophic risk exposures begin to emerge.

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