Global market quarterly update

Analysis of energy insurance market conditions and overviews of the key dynamics in global regions.

power lines in crop field

This edition of Marsh Specialty’s global newsletter includes analysis of insurance market conditions, an overview of the key dynamics in global regions, a risk engineering update, and articles about mutual insurers and battery energy storage systems.

As we enter the last quarter of 2021, a common theme is the deceleration of insurance rate increases in most energy sectors, with some sub-sector exceptions, and in some cases the early signs of an approaching softening market.

Hurricane Ida had threatened to knock the market cycle off course, but while the full losses are yet to be calculated, from early reports it looks unlikely that energy and power insurers will be significantly impacted. Many insureds that suffered losses either did not purchase named windstorm coverage or the deductibles and waiting periods imposed by the market were not significantly exceeded. The cost of coverage and restrictive terms and conditions applied to this coverage means that some insureds are unable to purchase the desired level of protection for their operations.

We hope you enjoy this edition and welcome your feedback.

July 2021

The Energy & Power Newsletter

The insurance trends over the last quarter.

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