April 2012/4

A hard market is a "mirage" for the marine industry as excess capacity from the Asian market puts pressure on rates, Willis said in its annual Marine Market Review.

Willis has identified a prevailing but fragile stability in energy markets, with modest rating increases for upstream risks and the downstream market effectively remaining flat.

Underwriters are yet to fully respond to the challenge that the Deepwater Horizon has posed, Lloyd's performance management director (PMD) Tom Bolt said in an interview for Willis' Energy Market Review.

Citi analyst Tom Dorner says Swiss Re's new corporate structure will allow it to focus more on transferring capital between divisions to maximise returns.

Excess casualty underwriters are driving hardening in the sector by refusing business if they can't secure sufficient price increases.

Industry leaders are calling for strong lobbying to ensure the US federal backstop for terrorism risk is extended beyond its 2014 expiry so that underwriters can continue deploying capacity to insure multi-year projects.

Brokers are rallying carriers to continue providing contingent business interruption (CBI) cover as part of property programmes for US insurance buyers.

With Travelers and Chubb the latest carriers to add to the mounting evidence of firming US commercial insurance rates, buyers and their brokers appear united in their recognition of a market in transition.

Early reporting Platinum Underwriters set the tone for what is expected to be a strong quarter for (re)insurers when it published its results last week.

Early reporting P&C insurers have provided fresh impetus to those in the "market turn" camp, with growing signs of sustained momentum for rate increases in US commercial lines.

US insurance giant Chartis is targeting compound average growth of more than 30 percent in Brazil over the next five years as it looks to rebuild its position in the burgeoning market amid limited domestic opportunities.

Despite a pull-back on the aggregate limit deployed by both Chartis and its excess and surplus lines subsidiary Lexington - particularly on property cat business - the US insurance giant has not re-adjusted its risk appetite.