Insurers Gear Up For Extreme Weather Conference
Few topics are as critical to the property/casualty insurance industry as the issue of extreme weather and how to manage it.
"We see a tremendous amount of interest from the insurance industry," said
Insurers are gearing up for the
Insurers continue to sort out claims from Hurricane Sandy, which would end up being the second-costliest hurricane in the past two decades if losses wind up in the
Insurers also suffered from an uptick in damage from wildfires.
Wind and rain are also big concerns.
That two hurricanes — Hurricane Irene last year, and Sandy this year — struck the very developed and populated Northeast is also concern for the insurance industry, Jeffery said. "Because of the potential for damage, and the actual damage, it's getting a lot of attention," he said.
Both storms were Category 1 hurricanes, but caused substantial claims when they hit densely populated areas.
"You can't avoid populated areas in the Northeast," Jeffery said. "There are parts of
So, too, insurers expect tornados to strike "tornado alley," which runs through America's heartland in the Midwest. But over the past few years, severe tornadoes have struck in expected places, such as
"The frequency and severity of tornado and hail events have increased significantly over the last five or 10 years," said Carr, who is slated to be one of the featured speakers at the congress.
Commercial insurers have responded by splitting up perils, often sending wind and hail perils to the excess and surplus lines market. "People are trying to figure out ways to write the business profitably, but it's becoming more difficult based on severity and frequency," Carr said. "I expect to see this trend continue."
The congress is sponsored by American Business Conferences.
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|Source:||A.M. Best Company, Inc.|