Across common renewal dates, Holborn tracks metrics relative to price change, market capacity and buying patterns. Holborn continues to see improvement in both terms and conditions on programs that renewed at Mid-year 2016. On average, across all placements, pricing reduced 8% with savings often put toward the purchase of increased limit. That being said, momentum for rate decreases slowed, with market sources indicating need for amended firm orders on select programs. Capacity remains strong worldwide, although most prevalent for U.S. domiciled companies.
In addition to price, reinsurers supported client-driven contract wording requests and those that addressed specific business issues, including:
- Elimination of exclusionary language
- Addition of business units and lines of business not previously covered
- Improved loss occurrence language
- Increased sub-limits and annual limits
- Improved collection provisions
Download Holborn’s Mid-Year 2016 Placements Recap.