Energy Market Review 2023

Since our last EMR Update in November 2022, the energy insurance markets have experienced a very turbulent reinsurance treaty renewal season, a continuing fallout from the Russia-Ukraine conflict, more inflationary pressures around the world and yet more volatility in the prices of oil and gas. The energy industry focus seems to have shifted from the long-term acceleration of the energy transition towards a more short-term goal of maintaining energy supply.

Our theme this year is: “Surviving the storm: Optimum risk management strategies for a volatile world”. As global economic stability continues to be threatened by the international situation, and as energy insurance market pricing continues to harden for almost all customers, how best should energy companies optimise their risk management programmes, given the pressures that are currently bearing down on them?

Our Review contains an analysis of global energy activity in 2023 and where we can expect the industry’s direction of travel to develop as the year progresses. This analysis suggests that energy activity in both the upstream and downstream arenas is likely to increase in the immediate future – good news for the industry and maybe good news for insurers as well, as it brings with it the prospect of welcome additional premium income.

Our 2023 Energy Market Review includes commentary in areas such as optimising risk strategies, reviewing insured values, supply chain risk and building competence barriers, as well as providing in depth insights into the global upstream, downstream, liability, construction and terrorism/political violence insurance markets.