Risk of unexpected correlations has never been higher
Saturday, 12 17 2016, Category: Insurance and Reinsurance, Country: World
In a market that is ever-more challenging for insurers, the potential for risk accumulation and unexpected correlations has never been higher, according to a new report by AM Best.
In a report called ‘Insurers hunt for diminishing opportunities in a market laden with challenges,’ the rating agency focuses on the threats and opportunities posed by accumulation risk, pandemic, low interest rates, energy prices and adverse reserve development.
The rating agency notes that over the past decade, the insurance industry has been faced with numerous tests, including major catastrophe losses, the global financial crisis, regulatory changes and more recently uncertainty created by political events.
Source: Intelligent Insurer