European Insurance Market Update – Crisis Management

Crisis Management

Europe rate trends: Crisis Management

Countries	Trend
	Terrorism	Accident and Health	Kidnap and Ransom	Contingency
Germany & Austria
Switzerland
Poland
Ireland
Denmark
Norway
Sweden & Finland
France
Luxembourg
Belgium
Netherlands
Italy
Portugal
Spain

The crisis management insurance market is experiencing:

• Insurers paying and reserving for the continuation of the largest losses in the market’s history due to the crisis in Ukraine.
• Clarity is required regarding exclusionary language in property policies offered by certain European carriers, specifically whether terrorism exclusions extend to SRCC coverage.
• Accident and Health market buoyant with new capacity providers entering a saturated market.
• Increasing pressure on (re)insurers due to the conflict in the Middle East and Ukraine.
• No major losses across sub-classes with the exception of Contingency which has experienced significant losses across outdoor festivals for three years running.
• Kidnap and Ransom rates largely stabilizing with some moderate increases of +5-10% in response to greater claims frequency/severity, heightened geo-political tensions/security risks.
• Piracy in the Indian Ocean and Red Sea is an area of particular concern with a significant increase in attacks against commercial shipping.