Insurance buyers in the oil and gas industry are feeling the effects of a “mixed bag of market conditions and geopolitical shifts” in the fourth quarter, according to Risk Placement Services (RPS).
E&S
The US umbrella and excess casualty market is seeing continued stress and change amid a greater focus from underwriters on managing capacity in the face of escalating verdicts and settlements along with tougher reinsurance renewal conditions, according to Risk Placement Services (RPS).
Wholesale broker Burns & Wilcox has said the “gradual and consistent shift” in business from the admitted to the E&S market is a trend that is here to stay, as it also highlighted growing US liability concerns going into 2025.
The Hartford has said it remains on track to hit $300mn in E&S binding premium this year, with John Russo, small commercial CUO at its Navigators unit, telling this publication that the stickiness of the business and surging submissions mean there should be a “several year runway” for growth.
Allied World’s decision to maintain a dual distribution model rather than launching a dedicated wholesale unit has not been an impediment to growth, with the carrier’s E&S book expanding significantly in recent years to account for more than half of its US premium.
Surplus lines premium volume generated by the stamping offices of the three largest states for E&S business in the US once again booked double-digit year-on-year growth in October, new data shows.
Dellwood Insurance Group’s founding CEO Michael Price has said that the success of the start-up will be driven by matching the “expertise and speed” of wholesale trading partners, adding that current P&C market conditions have a “multi-year runway”.
There is no expectation of a widespread shift in business away from the E&S market, with the sector’s freedom of rate and form allowing it to address challenging issues on the admitted side, according to Westfield Specialty’s founding president Jack Kuhn.
Moves by carriers to establish dedicated wholesale operations and a commitment to dual distribution has led to continued growth in submission counts, despite stabilising market conditions, according to Amwins brokerage co-presidents Jeff McNatt and Sam Baig.
Beazley expects reinsurance rates to be “relatively flat” at the upcoming 1.1 renewals, according to CEO Adrian Cox, as the company continues to pursue growth opportunities in the SME and mid-market E&S space.
While 2024 could be categorised as a buyer’s market for property, casualty largely remained carrier-driven, with many classes experiencing another nine months of year-on-year price firming as underwriters focused on rate adequacy beyond trend in an attempt to counter rising loss costs, according to CRC Group’s Kristyn Smallcombe.
Dallas-based E&S provider AM Specialty Insurance Company (ASIC) has appointed Joseph Scheerer, CEO and principal of Stonybrook Capital, to its board as a non-executive director.
To remain relevant in a shifting distribution landscape and capitalise on the flow of business to the E&S space, wholesalers will need to deliver additional value by offering advice, expertise and proprietary product, according to Risk Placement Services (RPS) CEO Kevin Doyle.
Late last month we highlighted some of the themes that were expected to drive discussions as another record attendance descended on San Diego for the WSIA Annual Marketplace 2024.
Wholesale and underwriting giant Amwins has been working on securing additional capacity for its brokers in a rehardening excess casualty market with the creation of a sidecar facility,
