Home / Local / Broker survey uncovers scale of renewals challenge
13 July 2020
Catastrophe claims combined with the disruption of the COVID-19 pandemic have created the most difficult insurance market conditions for almost two decades, brokers say – and there’s no immediate end in sight.
insuranceNEWS.com.au sent a series of questions on the recent renewals to major brokers and authorised representative networks, with clear themes emerging.
“It is the most challenging market environment we have seen in 17 years,” Marsh Head of Placement Asia Pacific John Donnelly says.
Brokers have highlighted a general hardening of the market, with some troubled sectors such as Side C directors’ and officers’ policies seeing premium rises of up to 200%.
In the worst cases, intermediaries say they were unable to secure cover at any price.
“For the first time ever since I have been broking we actually have accounts that cannot be placed,” Insurance House Victorian Broking Manager Rob Currenti said.
Many brokers have reported clients increasing deductibles, cutting back on cover, or even self-insuring as a response to soaring premiums.
For details see Analysis.