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Article: Hard market in hiding: the slump affecting the property/casualty cycle has experts wondering when and where the rate hikes will show up in the industry's top and bottom lines.
- Article from:
- Risk & Insurance
- Article date:
- May 1, 2009
- Author:
CopyrightCOPYRIGHT 2009 Axon Group. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
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summary
* Rising rates and declining exposures may not turn up in the bottom lines,
* Reserve releases are not going to be able to keep combined ratios low.
* The hard market will hit the industry in earnest by early next year.
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If you mark the start of the Great Financial Crisis of 2008 with the federal government-assisted delivery of Bear Steams into the hands of J.P. Morgan Chase for pennies on the dollar, then we have now passed the one-year mark. The time has come for a serious look at how the world as we know it has changed.