From Convective Storms to Flood: The Growing Impact of Secondary Insurance Perils
2023 was a "quiet record year" with $93 billion in total insurance losses related to natural catastrophes, despite no major headline storms.
As trends continue, policyholders are likely to face higher prices, decreased coverage availability, and increased risk retention through higher deductibles. To mitigate these issues, resilience measures are essential.
The reinsurance market plays a crucial role in managing and mitigating risks in the insurance industry.
Customers are adjusting their deductibles and terms and conditions, either willingly or out of necessity, to purchase insurance due to inadequate coverage for non-peak perils.
Primary insurers should take a comprehensive approach to mitigate non-peak peril risk.
