December 7, 2011

We've been reading lately (here and here) that the insurance market is tightening, that modest price increases are becoming the norm. Or at least pricing has hit bottom. Will this be the self-fulfilling prophecy?

The P & C insurance industry has been shedding jobs. Since the middle of 2008, employment in the industry has decreased 8/3%. In the month of October, 900 jobs were lost. One must wonder if the reduction of jobs is the result of declining premiums and whether there will be an increase in jobs if a hardening market brings higher premiums.

George Rothert