Stiff competition results in softening energy market
Monday, 08 03 2015, Category: Insurance and Reinsurance, Country: World
The energy insurance and reinsurance market has witnessed increasingly intense competition in recent times, as traditional and insurance-linked securities (ILS) participants look to the space, negatively impacting rates.
Much discussion over the past 12 months concerning pricing pressures and competition in the global insurance and reinsurance sector has circulated around property catastrophe reinsurance business lines, as the influx of alternative capital and a lack of major losses persisted.
But during recent second-quarter earnings calls, executives in the international insurance, reinsurance and ILS space have noted significant pressure on rates and intense competition in primary energy insurance lines.