In our attempt to help businesses and people be the very best they can be, we strive to share useful information so proper planning can take place. I recently read a good article from “ProgramBusiness.com” that I believe all individuals that buy Property Insurance should be aware of.
Here are a few statistics as quoted in the article:
- “Total global economic losses from natural and man-made disaster in 2017 were USD 337 billion, almost double the losses in 2016 and the second highest on record”
- “Global insured losses from catastrophe events, meanwhile, were USD 144 billion, the highest-ever recorded in a single year”
- “Major wildfires across the globe resulted in combined insurance losses of USD 14 billion, the highest ever”
So, with all that said, what are the main take-away points you should be aware of? I believe you need to know the following:
- Excessive losses will have an impact on “Reinsurance” rates and terms that virtually every insurance company must purchase. This will likely have a trickle down impact on every insurance buyer.
- Terms and Premiums for Property Insurance (especially property along the US coasts and in heavy tornado/hail storm states) will probably be tougher for the remainder of 2018 and 2019.
- To counter these concerns, it becomes even more important to focus on internal property risk management techniques and strategies and work with an insurance broker who understands how to create a “feeding frenzy” for your business – even in a tough marketplace.
Please call or email me for more details. For the complete article, please visit ProgramBusiness.com.
Rob Gion, Jr. CIC, CRM
Gion Insurance Group