There have been doubts regarding the stability of the U.S. insurance industry of late. In the wake of catastrophes ravaging many states in the east, as well as worldwide disasters, the industry has been toiling with costly losses. Yet, the industry has been able to bounce back from these disastrous happenings thanks to a surplus in capacity. This has led to stability in the market that many thought was beyond reach. Marsh USA has released a new report detailing the quick recovery of the industry.
Marsh is a company that specializes in designing and managing insurance programs for companies throughout the U.S. The company offers risk consulting and modeling services which are used by insurers to determine rates. Marsh’s U.S. Insurance Market 2011 Midyear Update is the latest in a string of reports from the company regarding the state of the country’s insurance market. The report shows that insurers are making an effort to reform some of their practices in the wake of recent disasters.
According to the report, many insurers are applying higher levels of discipline when it comes to underwriting policies. This is most prevalent amongst property insurers, who have cover some of the most risky territory in the U.S. Property insurers also account for the majority of companies seeking higher rates.
Overall, the report paints a picture of a stable insurance market, with few positive or negative fluctuations. Marsh’s report can be found here: www.insurancemarketreport.com