Insurers Need To Reclaim Control of Their Outlook

What can insurers do to shape their own destiny, rather than acting like victims of circumstances beyond their control?

That was the question I came away with after attending the annual “family reunion” for company and association leaders, better known as the Property and Casualty Insurance Joint Industry Forum, convened recently in New York. The latest industry-wide results (through the first three quarters of 2013) were stellar for the business, as reported by the Property-Casualty Insurers Association of America and ISO. Net written premiums were up 4.2 percent. There was a $16.7 billion swing in underwriting — with insurers cumulatively recording a gain last year of $10.5 billion, versus a $6.2 billion net loss in 2012. The industry’s profitability barometer —the combined ratio—was solidly in the black at 95.8, down from 100.7 the year before. Net income soared nearly 55 percent to $43 billion.