While three separate analyses of the insurance and reinsurance markets in 2012 were unable to determine whether the industry will be able to sustain recent rate increases, all agree that the industry will face challenges this year ranging from the economy to the implementation of new regulations.

The benefits of telematics-based auto-insurance products could go beyond better risk selection and pricingand could include better fraud detection and the ability to provide feedback to consumers on CO2 emissions, fuel consumption and other factors that may lower the cost of driving, a new Celent report says.

Property and casualty carrier employment remained flat in November 2011 relative to the month prior, and agent and broker employment in the month rose to its second-highest level in nearly two years, according to an Insurance Information Institute analysis of U.S. Bureau of Labor Statistics figures.

In his state of the state address, Florida Governor Rick Scott laid out the case for auto-insurance reforms that would crack down on fraud abuse in the states no-fault system.

In his state of the state address, Florida Governor Rick Scott laid out the case for auto-insurance reforms that would crack down on fraud abuse in the states no-fault system.

Challenged by a volatile underwriting cycle, a shaky economy and the uncertain impact of new regulations, U.S. property and casualty insurers must respond by investing in core systems, understanding changing consumer habits and using business analytics to address difficult top-line growth conditions, according to Ernst & Young.

The global reinsurance industry seems poised for a turn, as multiple factors are increasing the demand for reinsurance, but the short memory of the insurance industry could cause soft-market pricing to return in a hurry as the sting of recent losses fades, according to A.M. Best.

One reason observers may be a little hesitant about conclusively calling a hardening market today is due to incorrect predictions of a market turn in 2008, when the financial crisis hit.