Risker P/C Industry Investments Likely as Returns Taper Off: Conning

November 20, 2014

The property/casualty insurance industry could very well see pricing taper into negative territory in 2015. Faced with that reality, plus low interest rates, companies may find them selves forced to pursue riskier investments in order to generate more returns, Conning Inc. asserts in a new report.

Conning’s look at investment trends for the sector also anticipates sobering results in a number of other areas: slower exposure growth, more drops in book investment yields, and falling asset/premium leverage as surplus growth outpaces operating growth.

Here are some specific thoughts and predictions from Conning’s report:

Source: Conning