Not only do property-casualty insurance industry leaders believe the financial crisis is behind them, but they also believe rates are hardening, a new study finds.
The Lockton Monthly Update, which tries to forecast the property-casualty market’s pricing, has suggested twice in the last month that commercial insurance rates, at least in some sectors, are starting to harden.
The casualty market might be providing initial indications of a long-awaited hardening, although an expert warns not to read too much in to the latest report.
Rates for workers’ compensation coverage in the U.S. rose 1% in June, marking the only property-casualty line to show an increase in rates for the month, according to MarketScout.
The earthquake in Japan, where estimated losses would make it the worst disaster in history, will affect insurance rates in the U.S., according to industry experts.
A piece of President Barack Obama‘s State of the Union Address may offer hope to the property-casualty insurance industry, struggling with a soft market and limited construction projects.
As a direct result of the Patient Protection and Affordable Care Act (PPACA) – also known as ObamaCare – health insurance agent and broker commissions have been slashed by as much as 50%. Agencies have been forced to lay off employees, limit products and services, shift to other lines, and have seen significant drops in compensation.