Pacific: Region's insurance pricing growth lower than global average in 4Q2021 for the first time since 2016
Source: Asia Insurance Review | Mar 2022
Insurance pricing in the Pacific region, dominated by Australia, increased by 13% in the last quarter of 2021, says leading global insurance broker Marsh in its Global Insurance Market Index Q4 2021” report.
The price increase in 4Q2021 was slower than the 17% seen in the previous quarter. It was also the fourth consecutive quarter in which the rate of increase slowed. It was the first time since 2016 that composite pricing in the region was not higher than the global average.
Property insurance pricing increased by 8% in 4Q2021, the fourth consecutive quarter in which the pace of pricing increases declined. Casualty insurance pricing rose by 15%, the same as in the prior quarter. Financial and professional lines pricing rose by 18%, down from 25% in the third quarter.
Cyber risk insurance remained challenging, mainly due to frequent and severe ransomware losses that put pressure on pricing and deductibles and brought a marked reduction in capacity and narrowing of key coverages. A