Although the commercial insurance market shows signs of gradually shifting toward more stable conditions, the hard market isn’t yet in the rear-view mirror and a soft market hasn’t arrived.
“I would say we are more in a transitioning market [and] that rigorous underwriting discipline is unlikely to lessen anytime soon,” said Celyeste Power, executive vice president of strategic initiatives and advocacy at the Insurance Bureau of Canada. “As the industry turns to growth, emerging issues like inflation, supply chain disruptions [and] cyber risks [that] increased significantly over the pandemic, and then the increased catastrophic weather events, will keep insurers quite focused on risk quality.”
Meanwhile, she noted, inflation is impacting all P&C industry sectors by pushing up claims costs, property prices, and labour costs to repair and restore those…
