色多多视频

Doing business in a hard market is challenging when there are a growing number of pressures facing clients and the insurance industry. Today’s hard market continues to deliver new challenges not just at home, but on a global scale.

Everything from product innovation to climate change has impacted the excess casualty market. What started as a hard market in 2019 became solidified in 2020 and beyond. The factors that trigger hardening of the market – economic upheaval, political unrest, climate-related events to name a few – have merged and increased over the five years with relatively little relief in sight.

AXA XL’s team of excess casualty experts including our casualty risk engineers met with Bermuda- and US-based brokers to discuss the state of the market, including the factors that are contributing to market conditions and affecting customers. Over two days, we covered an agenda that spanned both global and domestic concerns. While these are not the only factors impacting the excess casualty market, they are of top concern for insurers, brokers, and customers.

Claim-driven Pressure
Just a few short years out of the global pandemic, the insurance industry is now able to see the state of the landscape without the influences of Covid-19. Because courts were closed during the pandemic, there was a noticeable drop in the number of claim awards. However, the size of such awards has only continued to increase.

The expected increase once those courts reopened was predictable. As courts worked through a backlog of cases, the industry braced for the influx. Yet something else was happening that few saw coming: an acceleration of claims and an alarming increase in the size of the jury awards.

Those awards have grown at a rapid pace. Nuclear awards – those over $10 million – have taken a backseat to thermonuclear awards, which are over $100 million. Such awards have caused carriers to reduce capacity, add exclusions, and limit deployment for certain risks.

It is in that atmosphere that the industry must struggle to remain relevant to their customers. They are looking to add value to the customer experience and help them manage their total cost of risk through such difficult market cycles.

Nuclear awards – those over $10 million – have taken a backseat to thermonuclear awards, which are over $100 million.

Geopolitical Uncertainty
That management often includes understanding how geopolitical risks are affecting a customer’s business. Conflicts around the globe are having a sizable impact on business as usual. Middle East and Eastern European wars are causing economic disruption, but also contributing to supply chain interruption. While many economies around the globe are currently stable, the ongoing conflicts, as well as the civil unrest fueled by these conflicts, could upset the balance.

Climate and Renewables
As climate-related claims continue to mount, we at 色多多视频have taken a leading role in the quest to reduce carbon emissions and improve renewable energy transition efforts. We have partnered with a number of energy transition and renewable energy vendors. Our 色多多视频Ecosystem approach brings together the knowledge and talent needed to address risks from prevention and mitigation to protection and recovery.

The goal is to bring information and resources to our customers, and to help them reduce their exposures before, during, and after transition. That includes understanding the risks associated with the components used and implementation of such renewables. For example, rechargeable lithium-ion batteries, which are used in electric vehicles and solar energy storage, are highly flammable and pose a potential fire hazard from storage and use to disposal.

Artificial Intelligence
The 10th AXA Future Risks Report highlighted those risks that both experts and the public deem to be the largest future risks. Surprisingly, artificial intelligence (AI) was ranked fourth in the report. Yet a technology that can generate content from already copyrighted material poses plenty of risks, copyright infringement notwithstanding. Reputational harm, theft of intellectual property claims, and even virtual kidnap/ransom events have made AI an immediate risk concern.

Charting a Better Course
For brokers, the question remains: how to create a valued relationship with customers? We believe it is through a partnership with a carrier that provides the tools and knowledge needed for nearly every business scenario.

Our strategic market approach is one that brings insight to brokers. At the core, we know that data deepens relationships, and we strive to help you see the issues and market trends. Then we help you change direction and become a more flexible, agile resource for your customers. Our team includes casualty risk engineers who work with underwriters to give them technical insight into the issues that customers are facing. We also have subject matter experts who make it their goal to understand all aspects of each risk that could impact your customers.

We go beyond selling insurance to really understanding loss and exposure. We have conversations with you and your customers. We address concerns. We supply answers and resources to further strengthen one’s approach to mitigation. We help you gain insight into market conditions and rate increases so that you can help your customers understand their own coverage much better.

That is the kind of service that can help you and your customers understand their risks and reduce overall costs. By having firsthand knowledge of a business’s most critical risks, our team can put together a holistic approach to risk management that can make a real difference.

As risks multiply in this extended, interconnected global landscape, it is imperative that brokers and customers review and understand how changes in any location can affect their own risk profile. Brokers that create strategic partnerships with their carrier will have an ally to help them navigate the customer relationship deftly while providing value for years to come.