Insurers ‘declining more business’
Underwriting agencies are dealing with an increased volume of “distressed business” that insurers have declined to renew, according to a leading agency.
SRS Underwriting CEO Paul Lynam says despite indications from brokers the market is undergoing only a marginal hardening, he is receiving more proposals bearing insurers’ stamps saying “renewal declined due to underwriting guidelines”.
He told insuranceNEWS.com.au most are in property and motor lines which are short-tail business that would logically be immediately affected in any market hardening.
“Underwriting agencies are among the first to see how much is being declined by the mainstream insurers, and I’m seeing plenty,” he said.
SRS is the largest Australian agency dealing into the Lloyd’s market.
“We used to write a lot of hard-to-place business during the last hard market, and although we now write a more conventional, although difficult book, we’re being approached for a lot more distressed business post-June 30.”
Mr Lynam says SRS is writing more excess money and burglary policies which previously formed a sub-limit of industrial special risks policies – another telltale sign of a market on the move.
SRS Underwriting CEO Paul Lynam says despite indications from brokers the market is undergoing only a marginal hardening, he is receiving more proposals bearing insurers’ stamps saying “renewal declined due to underwriting guidelines”.
He told insuranceNEWS.com.au most are in property and motor lines which are short-tail business that would logically be immediately affected in any market hardening.
“Underwriting agencies are among the first to see how much is being declined by the mainstream insurers, and I’m seeing plenty,” he said.
SRS is the largest Australian agency dealing into the Lloyd’s market.
“We used to write a lot of hard-to-place business during the last hard market, and although we now write a more conventional, although difficult book, we’re being approached for a lot more distressed business post-June 30.”
Mr Lynam says SRS is writing more excess money and burglary policies which previously formed a sub-limit of industrial special risks policies – another telltale sign of a market on the move.