S&P: Federal Backstop Could Degrade Ratings
NU Online News Service, Oct. 22, 4:26 p.m. EST?Passage of a bill providing federal backing for terrorism insurance could lead carriers to discard good underwriting principles in a chase after premium dollars, a Standard & Poor's study warns.
"This business has always been subject to strong competition, and the attractiveness of cash flow is never too far from the minds of investors. Our concern is that insurers will let down the guard they appropriately put up after 9/11," commented Steven J. Dreyer, managing director of New York-based S&P insurance ratings.
Want to continue reading?
Become a Free PropertyCasualty360 Digital Reader
Your access to unlimited PropertyCasualty360 content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- All PropertyCasualty360.com news coverage, best practices, and in-depth analysis.
- Educational webcasts, resources from industry leaders, and informative newsletters.
- Other award-winning websites including BenefitsPRO.com and ThinkAdvisor.com.
Already have an account? Sign In
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
