WTW-欧洲保险市场更新2024年第一季度（英）

EuropeanMarketTrends

Q12024Update

wtw

©2024WTW.Allrightsreserved.

ThisupdateanalysesourobservationsofthecurrentEuropeanCommerciallines'

insurancemarket.ThisupdateisbasedontheexperiencesofourWTWcolleagueswithourclients.

Ratetrendfiguresareforguidanceonlyandratesachievedwilldependonindividualcircumstances.AllfiguresarecomparedagainstourQ42023remarks.

©2024WTW.Allrightsreserved.

2

EuropeanMarketTrendsSummaryQ12024

TheEuropeancommerciallinesbusinessinsurancemarkethasremainedstablethroughoutthefirstquarter,givingwaytoasofteningmarketformorelinesofbusinessandisexpectedtocontinueassuchthroughout2024.Wearenowinastablemarket,oratwo-tieredmarketforspecificaggravatedrisksandcatastrophicexposures.

Overall,wecontinuetofindenoughcapacityintheEuropeanmarketsformostproductsandindustriesforourbrokingteamstoplacetheirrisks,thankstoamixoflocalorEuropeanwell-

establishedinsurersandnewinternationalplayers.TheEuropeaninsuranceindustrycontinuesattractingsignificantcapitaland,formanyinsurancemarkets,themovementtowardsinternationalexpansionreflectsthestrategicresponsetochangingmarketdynamicsandadesiretocapitalizeonnewgrowthopportunities.

AspotlightonsomeLinesofBusiness:

•ThePropertymarketisnowinagrowthstageafterseveralyearsofhardening,witheagernessfornewbusinessespeciallytowardsselectedrisksandretention,whichiskeydrivertomeetgrowthambitions;carriersinvestinginthemid-marketandselectingspecificmarketstomeettargets,withlimitednaturalcatastropheexposureandgoodlossratios;thelarge

andcomplexmarketisexperiencingmorecapacityavailableduetogrowthmindsetofexistinginsurersandnewmarketsentering.Marketsseemlessstressedforwellmanagedrisks,demonstratingprogressonriskquality.However,thereisstillalackofappetiteanddisciplineddeploymentofcapacityforcertainoccupancies,highCATNATexposedaccountsor

submissionslackingdetailedinformation.

•IntheCasualtymarketinsurersarenowfocusedongrowth,withthemarketnowreturningtoprofitandanincreasinglycompetitivespacefortargetoccupancieswhichunlocksrate

reductions.Themaintenanceofunderwritingdisciplineandcarefulriskselectionhasconsistentlyyieldedpositiveunderwritingresults.However,competitionamonginsurers,drivenbyafocusonexpandingtop-linegrowth,isleadingtodownwardpressureonrates.Consequently,someinsuredpartiesarebenefitingfromratereductionsasaresult.Capacityremainsconstrained,particularlyinchallengingsectorswithsignificantexposuretotheUSandrenewalsaffectedbylosses.Insurerscontinuetoexpressongoingapprehensionregardingbotheconomicandsocialinflationonaglobalscale.

•Financial,ProfessionalandExecutiveRisks(FINEX):Thedirectors’andofficers’(D&O)markethascontinuedtosoften,andweseenosignsofstabilization.ThereisenoughcapacityintheWesternEuropemarketwheremostcarriersarelookingforgrowth.Thefinancialinstitutions(FI)marketisstablealthoughratesarebeginningtodecrease;andthecybermarketisalsosofteningacrosstheregion.

•Construction:Thereisexpecteddecelerationintheconstructionindustryandactivityin2024acrosstheregion.Outputisexpectedtorecoverin2025butwithhighinterestratesandinflationharminginvestment.

•IntheinterconnectedMarinemarket,there'sanoticeablesoftening,particularlyinCargofornewbusiness,andtoalesserdegreeinHull(excludingP&I).Despitethesituation

surroundingtheBaltimoreBridgeincidentandtheassociatedclaimsestimations,marketshaveassertedtheircapabilitytoabsorbsuchcatastrophiclosses,especiallytheP&Imarket.

•AcrossthedifferentinsurancelinesthatfallwithintheCrisisManagementmarket,insurers'riskradarisfocusedonconcernsaroundmultiplegeo-politicalandsocio-economic

factors.HostilitiesinregionslikeUkraineandtheMiddleEast,alongsideworseningsecurityconditionsinselectAfricanandLatinAmericannationsandthepoliticaldynamicsofthe"2024yearofelections,"areallshapingshiftsinpolicyterms,conditions,andrates.Whilethere'samplecapacityacrossAccident&Health,SpecialCrime,andTerrorism/Political

violencelines,we'rewitnessingterritoriallimitations,reductionsinindividuallinesizes,andpremiumhikesduetoincreasedclaimsfrequencyandheightenedsecurityrisks.

wtw

©2024WTW.Allrightsreserved.3

Q12024

EuropeRateTrends1/2

RateTrends

COUNTRY/GLOB

Property

Casualty

FINEX

Aviation&Space

Trade

Credit

Surety

Construction

NaturalResources

Marine

CrisisManagement

FacultativeReinsurance

GL

EIL

D&O

Cyber

FI

PI

Terrorism

A&H

K&R

Contingency

Germany&Austria

Slightincrease

Stable

Stable

Stable

SlightDecrease

Stable

Stable

Stable

Slightdecrease

SlightIncrease

SlightIncrease

Follows

Europeantrends.Seenextslide

Stablewith

increases

Increase

Stable

StabletoSlightincrease

Stable

Slightdecrease

Switzerland

Slightincrease

Slight

increase

Stable

Decrease

SlightDecrease

Slight

Decrease

Stable

Stable

Stable

Slightincrease

Slightdecrease

Follows

Europeantrends.Seenextslide

Stablewith

increases

Increase

Stable

StabletoSlight

increase

Stable

Slightincrease

Poland

Stable

Slight

increase

Follows

European

trend

Stable

SlightDecrease

Slight

Decrease

Slight

Decrease

Stable

Stable

Stable

Slightincrease

Follows

Europeantrends.Seenextslide

Stablewith

increases

Increase

Stable

StabletoSlightincrease

Stable

Slightincrease

Ireland

Slightincrease

Slight

Decrease

Stable

Decrease

SlightDecrease

Decrease

Slight

Decrease

Stable

Slightdecrease

Slightincrease

Slightdecrease

Follows

Europeantrends.Seenextslide

Stable(excl.war)

Increase

Slight

decrease

StabletoSlight

increase

Stable

Requestsforratereduction

Denmark

Stablewith

increases

Stablewith

increases

Stable

Slight

Decrease

SlightDecrease

Slight

Decrease

Stable

Stable

Stablewith

increases

Slightincrease

Stable

Follows

Europeantrends.Seenextslide

Stable(excl.war)

Increase

Stable

StabletoSlight

increase

Stable

Slightincrease

Norway

Slightincrease

Stablewith

increases

Stable

Slight

Decrease

SlightDecrease

Slight

Decrease

Stable

Stable

Stablewith

increases

Stable

Stable

Follows

Europeantrends.Seenextslide

Stable(excl.war)

Increase

Stable

StabletoSlight

increase

Stable

Slightincrease

Sweden&

Finland

StabletoSlightincrease

Slight

increase

Stable

Decrease

Decrease

Slight

Decrease

Stable

Stable

Stablewith

increases

Stable

StabletoSlight

increase

Follows

Europeantrends.Seenextslide

Stable(excl.war)

Increase

Stable

StabletoSlightincrease

Stable

Property:

increase

Cyber:decrease

©2024WTW.Allrightsreserved.

4

Q12024

EuropeRateTrends2/2

NaturalResources

UpstreamOil&Gas

DownstreamOil&Gas&Chemicals

Power&Utilities

Mining&Metals

Renewables

Liabilities

Stablewithdecreases

Stablewithdecreases

Stable

Stable

Slightincrease

Slightincrease;largerincreasesforoffshoreandmarine

Legend:

.Increase/decrease:highsingledigitordoubledigit.

.Slightincrease/decrease:midtohighsingledigit.

.Stable:lowsingledigitincreaseordecrease,sonosignificantmovement..

©2024WTW.Allrightsreserved.

5

Q12024

TheEuropeanPropertyMarket

CurrentConditionsandshort-termperspectives

Overview/

Issues

•Marketisbackinagrowthmodusafterseveralyearsofhardening.Weseeamorecommercialapproach;onecancallit“selectiveaggression”.Thereiseagernessfornewbusinessespeciallytowards“selectedrisks”andretentionisakeydrivertomeetgrowthambitions.

•CarriersareinvestinginMid-Marketareaandlookingatselectedcountriestomeettheirtargets.

•FortheLarge&ComplexareaCapacitymoreandmoreavailablebutcomesatapriceforcertainriskorsectors,withfocusoncatastropheexposures,CBIbyunderstandingthesupplychain,SRCCconsideringthegeopoliticalsituationandlossleadingaccounts.

•IntheReinsurancemarketcapitalisavailableandhasbeenlessontheforefrontofconversationsversuspreviousquarters.

•ReturnofLong-TermAgreementsandroll-overpossibilitiesincertainmarkets.

•Qualityofdataforsubmissionsveryimportantincludingriskengineering,lossruns–frequencyandseverity,inflation–accuratevalues,clearT&C,etc.

•Demonstratingprogressonriskqualityrecommendationsandavailabilityofsurveyreportsimportantforthemarket

•Underwritingdrivenbyriskselectionandadisciplineddeploymentofcapacity–meaningqualityofsubmissionandclarityofplacementstrategyarekeytosuccess.

•Aseconomicenvironmentchangesitremainsimportanttoconsideralternativewaystoachieveclientobjectivessuchasuseofcaptives,tailoredcoverage,deductiblelevels,limitsandsub-limitstotrueexposureaswellasalternativerisktransfersolutions.Risk&Analyticscangivetheinsightstoourclientandmakedatadrivendecisions.

Pricing/

Rates

•Ratestabilizing;stillseenslightincreasesbutalsodecreasesforcertainoccupanciesduringthelastquarter.MarketdifferspercountrynowandinsomeEuropeancountriesmore

marketsareneededtoplacearisk100%leadingtoincreasesandlossesoccurredwhichchangedthelocalmarketappetite.However,fornon-catexposedwithminimallossesthemarketisfavorableandcompetitivetensioncreatingpressureonprice.

•Challengingrenewalsarestilllikelytooccurwheretheoccupancyisnotwithinappetite,thereisheavyCATfootprint,Lossleadersorifthereislakeofinformationavailable.

Capacity

•Morecapacityavailableduetogrowthmindsetofinsurersandnewmarketsentering.However,thereisstillalackofappetiteforcertainoccupancies,highCATNATexposedaccountsorsubmissionslackingdetailedinformation.Alldrivenbyadisciplineddeploymentofthatcapacity.

•CAT.NATappetitestilllowandinsurersreluctanttoaddCAT.NATexposuretotheirportfolio.Ingeneralmarketsreviewthedeploymentofcapacityonaglobalportfoliolevel.ItisrecommendedforthoseaccountswithhighorincreasingCAT.NATexposuretoapproachedthemarketasearlyaspossible.

•CATNATremainsafocusarea,bothmodelledandnon-modelledscenarios.ForexamplenewmodellingtoolsforUSCATandpendingnewlawinItalyonCAT.NATaddtouncertainty,limitationincapacityandpotentiallyincreaseinpricing.

•CapacityavailablealsoContingentBusinessInterruption(CBI)–gettingbetterinsightsandunderstandingofthesupplychainiskeytoget(more)capacityavailable.

•Togetthebestresultforourclient,especiallyLarge&Complex,itishighlyrecommendationtoadapttheTotalMarketApproachandincludebothlocal,internationalandFacmarketsinastrategicwaytogetaccesstoallmarketsinanearlystage(rightrisk,rightmarket).

Coverage/

T&C

•StilllotofconversationsonT&Candindividual“needs”perinsurerwhichmakesitchallengingtofinalizeaplacementtimelyandsmoothly.

•AmendingT&CorlimitsanddeductiblesaswellasCat.NatandCBIcapacityremainschallenging.InsurersseemtosettlewithexistingexposureafterremediationbutnotkeentotakeonadditionalexposureinL&Carea.

•SanctionsandStrikes,Riots,CivilCommotion(SRCC)continuesinthespotlightglobally.

•Underwritersalsofocuson‘Non-Modelled’exposuresi.e.,Flood,WildfireorHailbesidesthe“regular”Cat.Nat

•Globalsupplychainissuesarestilltopofmindbutcompaniesaretryingtomitigatetheexposure.ImportanttodiscusswithourclientsandmakesurepurchasedcoverfitstheirneedandthatIndemnityPeriodsreflectarealisticre-buildtimetoensureinsuredshaveadequatecoverage.

©2024WTW.Allrightsreserved.

6

Q12024

TheEuropeanCasualtyMarket

CurrentConditionsandshort-termperspectives

Overview/

Issues

•Insurersfocusedongrowth.

•Increasinglycompetitivespacefortargetoccupanciescanunlockratereductions.

•Increaseslimitedandreductionsre-appearingduetoenhancedcompetitionfornewbusiness.

•Continuedinsurerconcernsaroundsocialandeconomicinflation(oncostofclaims)andUSexposures,inparticular.

•Insurerregional/globalreferralsonmajor/complexrisks(oftentimeconsumingandcumbersome).

•Positiveunderwritingresults.Consistentincreasesincapacityandcompetition.

•Increasingpurchaseoffacultativereinsurancetohelpmanagethe‘de-risking’vsgrowthchallenge=‘Two-tieredmarket’–challengedrisksclassesvs.moreattractive,wellmanagedrisks.

•Earlyengagementneededwithmarket(bothdirectandreinsurance)onmoredifficultrisksinordertodeliver‘relevant’placementsolutions.

Pricing/Rates

•SomeRegionalvariationsbutingeneralmoderaterateincreases.

•Typicallyrateincreasesofflatto+5%.

•Pricingincreasesaretypicallyreflectiveoflimitsaffordedonmoredifficult-to-securecoverssuchasPureFinancialLoss,PIandrecall.

•Insomecases,ratereductionsbeingexperienced(especiallyonmoreattractive,lessexposedrisks).

Capacity

•Capacitygenerallyremainsstablealthoughinsurerslookingtomanagesignificantparticipationsthrough‘ventilation’onrenewals.SomeinstancesofinsurersreducingcapacitydeploymentwherethereissignificantUSexposure.

•Deploymentoflargestretchesofcapacitybecominglessfrequentwithincreasedinsurerpreferenceformoreconsideredlinesandco/re-insurance.

•Facultativereinsurancebeingactivelyusedtomanagenetcapacityexposures

•Lossimpactedrenewalscontinuetobechallengingwithinsurersrestrictingthecapacitydeployedonindividualprograms.

•Underwritingdisciplinemaintainedfordifficultsectorandexposureprofiles(e.g.,heavychemical,lifescience,wastemanagement).

•USexposurescausingongoingconcernduetocontinuedtrendofseveritylossesandcourt(injury)awards/classactions.

•IncreasedconcerntowardslevelsofEuropeanawardsandpotentialclassactionstylelitigationincertainterritories.

Coverage/T&C

•Continuedfocuson‘non-core’casualtyextensions–e.g.,Recall,MedicalMalpractice,ProfessionalIndemnityandFinancialLoss.InsurerslookingtorestrictcoverthroughT&C’sand/orreductionofcapacity.

•ExcessUSAutoremainschallengingarea–manyEuropeaninsurerslookingtoincreaseattachmentpoint(oftenthroughreinsurance)

•Continuedfocusonexclusionarylanguage–e.g.,cyber,chemicalsubstances(e.g.,PFAS’s),Glyphosate,war/sanctions,climatechangelegislationandsexualabuse/molestation.

•AIperspective–TheEuropeanCommissionisconsideringcompulsoryinsuranceandimposingstrictliability,arisingfromtheuseofAIdrivingautonomousvehicles/robots.

©2024WTW.Allrightsreserved.

7

Q12024

TheEuropeanFINEXD&OMarket

CurrentConditionsandshort-termperspectives

Overview/

Issues

•AvailabilityofabundantcapacitycontinuestodrivecompetitionintheWesternEuropeanD&Omarket.TheInfluxofnewcapacitybeginninginearly2022createdcompetitionandyieldedratedecelerationthroughout2022and2023.WearestillseeingratedecreasescontinuinginH12024aswell.TheFullYearClassActionreportfromNerashowsthatafterafour-yeardecline,2023hadanincreaseinnewfederalsecuritiesclassactionsuits,with228newcasesfiled,arisefromthe206casesfiledin2022.Thiswasfueledbyturmoilinthebankingindustry,filingsinthefinancesectormorethandoubledin2023,comprising18%ofnewfilings.

/content/nera/us/en/insights/publications/2024/recent-trends-in-securities-

class-action-litigation--2023-full-y.html

Pricing/Rates

•D&OratesarecontinuingtogodowninEuropefollowingthetrendthatstartedin2022andcontinuedthrough2023.

•Thereareselectsignsofstabilizationinafewcountrieswhereratesarebeginningtoflattenoutoraccountsarerenewingwithlowerdecreases.Thesizeoftheratemovementsvarybycountryintheregion.

•Severalnewandhistoricmarketsinitiallygeneratedratereliefintheexcesslayers;however,asmarketscontinuetoseekgrowth,severalinsurersareprovidingalternativeprimarycompetitionandleverage.

Capacity

•ThereturnofcapacityisduetoestablishedcarriersincreasingtheircapacityaswellasnewentrantsopeningofficesacrossEurope.Thenewentrantsareestablishedcarriersinotherregions(e.g.UK,USandAsia)andarenowlookingtogrowtheirbusinessacrossEurope.

•Carriersareincreasingthelimitsagain,andthelimitdeploymentisbacktoprehardmarketterms.Thecaveatisthatcarriersareusingventilationmorewhendeployinglargerlimits.

•WealsoseeLondonsyndicatesandMGA´sshowingabigappetiteforWesternEuropeanbusiness.

•Weestimatethatclientscanfind350M€D&OcapacityintheWesternEuropeaninsurancemarket,outsideoftheLondonmarket.

Coverage/T&C

•Environmental,social,governance(ESG):OrganizationscontinuetofacepressurestoaddressESGfromoperational,cultural,andinvestmentperspectives.Litigationandregulatoryexposureshaveresultedinincreasedunderwriterscrutinyintopracticesmorebroadly.

•WeseeabroaderappetitefromcarrierstowriteonWTW´sbespokeDARCstarwordingforD&O.

©2024WTW.Allrightsreserved.

8

Q12024

TheEuropeanFINEXCyberMarket

CurrentConditionsandshort-termperspectives

Overview/

Issues

•ThemarketcontinuestobesoftinWesternEuropeforlargeaccounts.

•ThemarketisstableforSMEs,somecountriesexperiencesomeissueswithSMEsaslocalunderwritersaresometimeslackexperience.

•Overall,thereareextremelyfewLTAsinsomecountries,butsomeinsurersarestartingtoconsideritforthefuture.

•Despitebettertermsandconditions,insuredsdonotbuymorecapacityduetohighpricesandpremiumsavings.Insomecountries,therearenewbuyersorbuyersreturningtoinsurance.

Pricing/Rates

•OnPrimary,itcanvarycountrybycountrytheratescontinuetodecreaseupto10%.

•OnExcess,ratesalsocontinuetodecrease.Upto20/30%forbigprogramsortopexcess.

•Thankstoinsurerscompetition,negotiationshaveledtoobtainseveralquotesforthesamelayerandbettertermsandconditions.

Capacity

•Capacitycontinuestoincrease.Increasedcapacityfromsomemarkets(fromEUR5to10mbyinsurers),andweseecarriersattachinglowerdownontowers.

•Newentrantsarestilldrivingcompetitionandaremoreaggressiveinsomecountries.Newplayersoftenprovideexcesscapacity.

•Comparedtothepastyears,insurerslooktogrowandtakeamorecommercialapproach.

Coverage/T&C

•Intermsofwordings,themarketisquitestablenow.

•InallWEcountries,theransomwarecoverisnowprovidedwithoutanysublimitorcoinsurance(withsomerareexceptions)

•Coveragesthathavedisappearedinthepastyearsarenowback:CBI,bricking,systemfailure.

•Warexclusion:Insurersmaybeflexiblewhenitcomestowarexclusions(onlynon-Llyod'sinsurers,localinsurers).PlacementswithMunichRewarexclusionhelpssecurebigtowers.WTW/CyberAcuViewwarexclusionwillbehelpful.

•Conditionsaregettingmorespecified(i.e.,moresecurityrequirements).

©2024WTW.Allrightsreserved.

9

Q12024

TheEuropeanFINEXFIMarket

CurrentConditionsandshort-termperspectives

Overview/

Issues

•InsurancemarketconditionsaremorefavorableforFinancialInstitutions(FI),specificallyforbanks.

•ContinuoussignsofmarketstabilisationontheFImarketacrossContinentalEurope.

•Increasedinterestfrominsurancemarketsduetotheirgrowthtargets.

Pricing/Rates

•Thegeneralmarkethassoftenedconsiderablywithlessfocusfrominsurersonriskinfavorofnewbusiness.

•Overall,weseeflatratestoslightdecreasesacrosstheEuropeancountries.

Capacity

•Newcapacityenteringintothemarketplaceandestablishedinsurershavingaggressivenewbusinesstargets,ismaintainingdownwardpressureonpricing,andcapacityremainsplentiful.

•Newcapacity(establishedinsurancemarketsinotherregions)areenteringtheWesternEuropeanFImarket

•Themarketisgloballyincreasingitscapacity,evenfor1stlayerspolicies.Weareseeingarevivalintheoverallappetiteforrisksrelatingtofinancialinstitutions,forbothprimaryandXSinsurers.

Coverage/T&C

•Introductionofterritorialexclusions,BelarusandRussiaandadjustmentofsanctionsclauses.

•EitheraffirmativeCybercoverorcyberexclusionsacrossallFIlinesofbusiness.

•BBB:Cryptoinsuranceandnon-fungibletokenexclusionsarebeingintroduced.

•D&O:Insolvencyexclusionsonmoredistressedrisks.

•Environmental,Social,Governance(ESG),DiversityandInclusion(D&I)andnetworksecurityandprivacyprotocolsandinitiatesarebeingmorecloselyscrutinizedbyunderwriter.

©2024WTW.Allrightsreserved.

10

TheEuropeanFINEXPI,EPL,CrimeandM&AMarket

CurrentConditionsandshort-termperspectivesQ12024

ProfessionalIndemnity

(PI)

•TheProfessionalIndemnitymarketisastablemarket

acrossWesternEurope.

•Carriersarestartingto

increasetheirappetiteto

growthislineofbusiness.

Thisisshowcasedvia

specificgrowthinitiativesbyseveralEuropeaninsurancemarkets.

•Theinterestfromthe

insurancemarketspreadsacrossbothregulatedandnon-regulatedprofessionsincludingConstruction.

EmploymentPractices

Liability(EPL)

•Economicuncertainty

•Competitionkeepingrateincreasesstable/modest

•Socialmediamovements

leadingtofasterandhighersettlementsinUS.

Crime

•SelectmarketcapacityinEurope.

•Mostprimarycarriersprefertolimittheircapacityto

10M€.

•Internalfraud(employeetheft)continuetodrivethelargestlossesfor

commercialclients.

•Computerfrauddrivesthelargestlossesimpacting

financialinstitutionclients.

•WhileSocialEngineering

lossescontinuetobea

majorfocusofunderwriters,thelossestendbelowerinseverity.Still,thefrequencyofSocialEngineeringlossesmostconcerningtocarriers.

MergersandAcquisitions(M&A)

Overview/Issues

•Thedemandfortransactionalriskinsuranceremainsresilientdespitethechallengingenvironment.Clientscontinue