A global soft market continuing for the next 12-18 months is the outlook from QBE in Europe, according to a trade media report.

“From where I stand, 2010 looks like a very challenging year,” CEO European Operations Steve Burns said in a report by The Insurance Insider. “We see it as a bottom-of-the-cycle tough year.

“It is going to be very difficult to get any increases in property and casualty rates.”

QBE has also announced a restructuring of its European product underwriting and distribution operations. It plans to operate four product underwriting divisions: casualty and motor; property; marine and energy; and reinsurance and specialist.

The company’s three European distribution channels – London Market, UK National & Ireland, and European Markets – will also come together to operate under one division.

QBE says the new organisation makes it simpler for brokers and clients to access key decision-makers and underwriting expertise.