Within the insurance market, 2011 will be remembered as one of the costliest years on record characterized by significant catastrophe claims and challenging market conditions.
The reduction of capital in the market during 2011 will force insurers to focus on underwriting discipline rather than volume during 2012 to ensure appropriate returns on equity. Rate increases have been seen on certain lines of business, especially in the challenging catastrophe market, but overall rates are expected to remain fairly soft. Investment conditions are expected to continue during 2012, with the continuing European debt crisis.
This publication reviews the reported performance and position of selected listed general insurers. It compares performance, disclosure and accounting policies and provides an outlook on the operating environment and the challenges general insurers will face in 2012.