Geography Trends Q1 EMEA and the UK

EMEA and the United Kingdom

Regional Market Dynamics

See below for insights related to the market dynamics in EMEA and the UK, or select a geography below to take a closer look.

Featured Geographies: Germany | Iberia | Italy | Netherlands | United Kingdom

Pricing

Single digit price increases were prevalent in Q1 with the notable exceptions of:

  • Cyber, where increases greater than 30% continued to be driven by increased risk complexity and volatility and escalating loss frequency and severity.
  • D&O, where increases have decelerated but remained high (30% or more in some cases).

Capacity

Capacity was generally sufficient across EMEA with the notable exceptions of:

  • Cyber, where some insurers reduced capacity and re-aligned appetite across certain industries.
  • D&O, where overall capacity remained constrained, particularly for complex risks, despite new Excess capacity entering the market and some existing insurers expanding their appetite.
  • Casualty/Liability in Iberia, Italy, & Netherlands, as some insurers have reduced capacity and there has not been a significant influx of new capital to bridge the gap.

Underwriting

Underwriting remained stringent, largely driven by a continued focus on insurer profitability, supply chain challenges, and growing uncertainty related to the Ukraine-Russia crisis. High-risk industries experienced the most challenging underwriting environment.

Limits

Limits remained generally flat, with the notable exceptions of:

  • Mandatory Cyber reductions as insurers continued to reduce their maximum limits offered. As a result, more layers and co-insurers have been required to complete placements.
  • Mandatory limit and sub-limit decreases for certain poor performing Casualty/Liability coverages and risk types specifically across Italy and Netherlands.

Deductibles

Industries and coverages where minimum deductibles apply have experienced mandatory deductible increases to meet insurer requirements. Some poor performing risk types, especially those with US/Canada exposures, have been subject to deductible increases.

Coverages

Coverages remained stable, with the notable exceptions of:

  • Cyber, where coverage restrictions have been imposed for challenging risk types such as ransomware, business interruption, systemic risks, war, and biometrics.
  • Casualty/Liability in Netherlands and Iberia as clarifications and exclusions related to cyber, war, and contagious disease have become common.

Germany Market Dynamics

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