Despite disasters, global insurance industry sees only modest rate hikes in 2011

This year, the global insurance industry saw more than $100 billion in insured losses due to natural disasters. Normally, losses are accompanied by rate increases, but many insurers have not been raising premiums as much as analysts and consumers had expected. The fact that insurers have issued only modest rate hikes throughout the world has had a profound impact on the investment business. Investors are now having trouble figuring out which companies are good targets for the 2012 fiscal year, as many have emerged from 2011 catastrophes will healthy capital…

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Consumer group issues report accusing insurers of needlessly high rates – Insurance Institute claims report is faulty

Americans for Insurance Reform, a consumer advocacy group, has released a new report regarding the property/casualty insurance industry in New York. The report accuses P/C insurers of excessive rate increases that have slowed the financial recovery of individuals and businesses in the wake of the 2008 economic recession. The group argues that these needlessly high rates may be leading to a new liability insurance crisis in the U.S., one that may set the economy back even further. The group claims that the insurance market throughout the U.S. has been “soft”…

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Insurance Information Institute reports on job loss and gain in the insurance industry

Despite record profits this year, the insurance industry continues to shed jobs. The Insurance Information Institute has released a new report highlighting the losses in the property/casualty insurance sector. Signs of an improving economy may not be enough to help the industry keep its workforce employed, especially when confronted with costly losses due to this year’s natural disasters. The Institute’s report relied on data collected by the U.S. Labor Department’s Bureau of Labor Statistics. Apart from a still turbulent economic climate, the industry has been downsizing as a result of…

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