Energy and Power Insurance Market Update - 2020 Q3
The energy and power insurance market provides solutions for companies operating within upstream, downstream, casualty, traditional power, renewable energy as well as marine related energy.
Each of these sectors has their own pressure points and nuances, when seeking insurance coverage. Within this edition of Marsh JLT Specialty’s quarterly newsletter, our specialists provide analysis for of the market conditions for each sector of the energy and power insurance market.
Even where the loss environment has improved (such as downstream), or was benign (upstream), insurers in many regions are seeking premium increases, in some cases the change comes on top of rises obtained in the previous two years. The changes are being driven by wider issues affecting the insurers including COVID-19, natural catastrophe losses from hurricanes, derechos and wildfires, and intervention from Lloyd’s for some syndicates.
In the current market environment it is important to for companies to discuss and evaluate their risk profile with their broker, and clearly articulate differentiators to insurers. Risk engineering surveys, even done virtually, continue to be an effective way to articulate this.
This edition of the newsletter also includes commentary on the onshore construction insurance and the changes which are happening in that market. The article considers not just the market conditions but what do companies should expect and need to do to gain coverage, including for policy extensions where a project timeline changes.
Please download the latest edition of the Marsh JLT Specialty Energy and Power Newsletter for a detailed analysis.