January 9, 2012

Here are a couple pieces of the puzzle that maybe is being assembled:

1) Commercial Property & Casualty rates rose in December, for the second consecutive month. According to MarketScout, increases averaged 1% to 2%.

2) A. M. Best predicts that negative rating actions in will outnumber positive rating actions in 2012. Years of under pricing business, heavy catastrophe losses in 2011 and little investment income all come together to portend ratings downgrades for some carriers.

There may be interesting times ahead...

George Rothert