Google Tanslate

Select Language

Sign up and be the first to know

About Hugh Terry & The Digital Insurer

Hugh Terry & The Digital Insurer Video

Contact Us

1 Scotts Road
#24-10 Shaw Centre
Singapore 228208

Write an article

Get in touch with the editor Martin Kornacki

email your ideas at [email protected]

Pre Registration Popup

itcasia2020 Registration Popup

Share Popup

Prime Member: Find out more

Access a unique programme!
  • 56 pre recorded lesson of online content from industry experts over 7 courses
  • The best in digital insurance for practitioners and by practtioners
  • Online MCQ after each lesson
  • Join the discussion forum and make new friends
  • Certificate upon completion to show your expertise and comitment
  • 3 months to complete
  • Normal price US$1,400 Your Prime member price is US$999
  • Access to future versions included in your Prime membership!
Become a member

Prime Member: Contact Us

Reach out to us. Please fill up the form below
Let us know how we can help. You can expect a response within 24 hours
Services of interest

Arthur D. Little

Arthur D. Little has been at the forefront of innovation since 1886. We are an acknowledged thought leader in linking strategy, innovation and transformation in technology-intensive and converging industries. We enable our clients to build innovation capabilities and transform their organizations. ADL is present in the most important business centers around the world. We are proud to serve most of the Fortune 1000 companies, in addition to other leading firms and public sector organizations. For further information, please visit

Library: Swiss Re – US property & casualty outlook: higher premiums and interest rates could offer insurers respite this year

 The Digital Insurer reviews SwissRe’s Report on US property & casualty outlook: higher premiums and interest rates could offer insurers respite this year

P&C had a difficult 2022

2022 was a difficult year for the US P&C industry: claims severities surged with inflation, natural catastrophe losses were elevated for a sixth straight year, and the lowest realised capital gains since 2009 offset higher fixed income yields. Higher used car prices alone caused auto insurers an estimated US$15 billion of extra claims costs; costlier repairs added to the bill. Elevated construction costs reduced profitability in property lines.

We forecast better results in 2023 and 2024 as inflation eases, and premium rates and portfolio yields increase.

The 20 percentage point (ppt) gap between commercial and personal lines loss ratios in the first nine months of 2022 is likely to decrease in 2023 as personal lines rate increases gain momentum and the drivers of motor inflation decelerate. This newsletter summarises statutory data as of 3Q22, and provides estimates and forecasts from full year 2022 to 2024.


We expect US P&C industry return on equity (ROE) to rebound on higher underwriting and investment income. We forecast ROE to reach 7.0% in 2023 and 8.0% in 2024, from an estimated 2.5% in 2022, as strong premium increases and reinvestment rates above portfolio yields boost insurers’ profitability.

In 3Q22, Hurricane Ian and high inflation combined to create a USD 14.2 billion underwriting loss1 and an industry net loss of USD 3.7 billion. 2 Investment results disappointed for a second consecutive quarter in 3Q22 as net realised capital losses again offset the benefit of higher interest rates.

However, downside risks remain, and a more severe-than-expected recession or inflation this year or in 2024 would pose risks for insurers’ exposure and premium growth, claims costs, investment yields and capital gains.


Easing inflation to lower the industry combined ratio (CR) to 100.0% in 2023 and 98.5% in 2024, from 103.5% estimated for 2022.

In 3Q22 the industry net combined ratio deteriorated to 106.5% despite international cessions offsetting part of the impact of Hurricane Ian on the US net loss ratio (LR). Reserve releases of USD 650 million also improved the 3Q accident period result by 0.4 ppt. We expect loss severities to ease as headline inflation decelerates to 3.7% in 2023. However, we forecast wages and healthcare cost increases to rise above general CPI inflation this year, which could weaken reserve adequacy and slow the profitability improvement. These primarily affect longer-tail liability exposures, which account for roughly half of industry premiums but nearly 90% of reserves

See the full report for more…

Link to Full Article:: click here

Link to Source:: click here

Livefest 2019 Register Popup Event

Livefest 2019 Already Registered Popup Event

Livefest 2019 Join Live Logged-in Not Registered

Livefest 2019 Join Live Not Logged-in