Insurance News Archive

Property insurance outside UK 'softening'

While property insurance buyers in general would see prices softening, the situation in the UK seems to be the reverse according to a veteran Lloyds of London executive.

Brian Caudle, chairman of Advent Capital said that underwriting conditions remain "attractive", meaning buyers could get better prices and terms and conditions in most lines of business except the most exposed.

He added that in the UK, recent flooding which cost insurers an estimated £3 billion had led to tightening prices and terms and conditions, and that "it is still too early to determine how far it will go".

"Pricing outside of the United Kingdom continues to soften with the larger accounts coming under most pressure," he added.

Floods which hit the UK in June and July, hit 7,000 businesses and 48,000 homes, according to insurers.

Britain is set to receive €160 million (£112 million) from an EU solidarity fund to cover the costs.

31 Oct 2007