MADISON, N.J. (PRWEB) April 05, 2018
Assured Research's fifth annual industry reserve study points to a similar redundant position as in years past - $14.2 billion or about 2.3% of carried reserves at December 2017. But while that would suggest the insurance industry is in the midst of a tranquil reserving environment, Assured Research thinks it more accurate to assert that the property/casualty industry is leaving that tranquil environment and entering a more difficult period.
According to Bill Wilt, president of the boutique research firm, "Redundancies in private passenger auto and workers' compensation shoulder most of the industry’s cushion." "Those could be harvested quickly," he said, "while reserving holes are emerging in the more problematic liability lines."
The Assured Industry Study also ties findings on industry loss reserves to pricing trends. For example, reserve redundancies in workers' compensation could fuel further rate competition and commercial auto rates are expected to continue rising according to the firm.
Assured Research is making its report freely available to (re)insurers also taking a trial subscription to its work.
About Assured Research: Assured Research is a boutique research firm producing subscription content focused on business development, financial, legal, claim and other topics relevant to (re)insurance professionals. Clients of Assured Research include global and U.S. focused (re)insurers, brokers, and consulting firms writing or controlling some $125 billion in premiums. Assured Research also provides analytical content for the insurance investment community.