Q1 2024
Asia composite rate declines
Insurance rates in the first quarter of 2024 in Asia declined 2% after being flat for the three prior quarters.
Asia first quarter 2024
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Asia composite insurance rate change
Asia property
Property insurance rates decrease
Property insurance rates declined 1%.
- Property insurance rates declined in a number of countries and industries, with the exception of those in catastrophe (CAT) exposed geographies and in select industries, such as technology, with significant business interruption (BI) exposure.
- Highly CAT-exposed geographies, including Japan, Taiwan, and the Philippines, and industries with significant business interruption exposure remained exceptions to the downward rate trend.
- Clients in these segments typically retained more risk through increased deductibles, assuming capacity within their insurance program, or adopting alternative risk transfer methods such as captives, parametric, or structured solutions.
- Although inflation generally has not been as pressing in Asia as elsewhere, insurers continued to seek validation of values and a deeper understanding of clients’ BI calculations.
Asia casualty
Casualty rates decline, insurer capacity abundant
Casualty insurance rates declined 1%.
- The liability insurance market has remained stable, with some rate decreases, due primarily to ample capacity, especially when exposure is limited to a specific country or region.
- Underwriters continue to scrutinise North American exposures and critical products.
- Insurers remain focused on cyber coverage for business interruption and property damage.
Asia financial and professional lines
Financial and professional rates decline, led by D&O
Financial and professional lines rates declined 6%.
- Many clients experienced rate decreases in public and private directors and officers (D&O) liability, commercial PI, financial institutions, and flat rates in lines such as crime.
- Increased competition contributed to reduced primary rates and improved terms and conditions.
- Appetite for public company D&O with US exposure increased, with price and deductible improvements, although the UK and Bermuda markets continued to be relied on for capacity on large programs and challenging risks.
- Appetite for digital assets business remained challenging, with insurers exercising caution, particularly with crypto-related assets.
Cyber rates decline, insurers scrutinise cybersecurity controls
Cyber insurance rates decreased 3%.
- Underwriters continued to look for and favour companies with strong risk controls.
- Increased capacity in the market led to discussions on expanding coverage options.
- Insurers remained vigilant about ransomware issues and supply chain attacks.
Regional analysis
Global Insurance Market Index
UK insurance rates Q1 2024
04/24/2024
Insurance rates in the UK declined 2% in the first quarter of 2024.
Global Insurance Market Index
Europe insurance rates Q1 2024
Insurance rates in Europe increased 3% in the first quarter of 2024.
Global Insurance Market Index
Pacific insurance rates Q1 2024
Insurance rates in the Pacific region declined 2% in the first quarter of 2024.
