The bipartisan budget deal heading to the House may indirectly improve the U.S. insurance landscape, according to Robert Hartwig, president of the Insurance Information Institute.
“The budget deal is an unambiguous positive for the U.S. economy in general and P&C insurance specifically,” Hartwig tells PC360. “The October shutdown took a toll on business and consumer confidence, which translates into lower consumer spending, reduced investment activity by businesses and less hiring. All of these are negatives for P&C insurers because they reduce the growth rate of new exposures [such as] property, liability, and for workers’ compensation payroll exposures.”
The two-year bill, proposed by House Budget Committee Chairman Paul Ryan, R-Wis. and Sen. Patty Murray, D-Wash., is an $85 billion agreement the politicians say mostly aims to avoid another government shutdown.
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