State of the Insurance Market June 2021

BY LEIGH CRUDEN | 12.7.21 | CATEGORY

The insurance market is continuing to go through a hardening phase, in real terms, this means that insurer’s capacities are reducing and terms and conditions are being heavily scrutinised

This year we have seen many changes to the underwriting appetites of major insurers for construction risks. Recently Vero and AIG have advised they will no longer be writing Annual Contract Works policies out of Australia.

This has a significant impact on the local construction insurance market with both AIG and Vero having been leading players across the whole construction gambit from large infrastructure projects through smaller annual and project specific placements by way of their support to Underwriting Agencies.

In respect to Professional Indemnity (PI), we note that several agencies have lost capacity over the last 12 months. With these previously active markets no longer participating, we are seeing a dramatic constriction in the PI market locally in Australia. This is further worsened in respect to