Insurance pricing in the second quarter of 2022 in Asia increased 3%, the same as in the prior quarter.
Constant bar chart represents Global Insurance Composite Pricing Change.
Property insurance pricing rates rose 2%, the fifteenth consecutive quarter of increase.
Pricing increases were most acute for clients with poor loss histories.
Pricing increases for natural catastrophe exposures continued to be above the average.
Mid-market diversification for insurers brought increased competition.
Casualty insurance pricing was flat, following increases of 2% in the prior two quarters.
Insureds with good loss histories generally experienced flat pricing, while those with poor loss histories experienced increases.
Insurer risk selection in challenged industries contributed to reduced capacity and increased pricing.
Insurers frequently restricted capacity on excess layers; challenges are more pronounced for product recall and products liability exposures.
Financial and professional lines pricing increased 13%, the same as in the prior quarter.
The average rate of increase for D&O ranged from 10% to 15%.
Capacity challenges remained for US listed or exposed insureds and for certain sectors and countries.
Pricing for FIs started to moderate; insurers continued to manage capacity and retention levels.
The cyber insurance market remained challenging, with increases generally ranging from 25% to 50% due to ransomware, claims, global market conditions, systemic risk concerns, and geopolitical tensions.
Insurers continued to demonstrate caution regarding digital asset/cryptocurrency related companies.
Professional indemnity pricing increased in the 10% to 15% range for large programs.