In a hardening insurance market, insurance producers have to grapple with increasingly challenging risks and increasing insurance prices. In the past, insurance producers have dealt with hardening insurance markets for various reasons, from natural catastrophes to the economic downturns. The latest threat to the world is the COVID-19 pandemic, which came at a point where the market was already hardening in many ways.
What will the post-COVID-19 pandemic insurance market look like? Many of you have already seen changes in how you are handling business and what your clients need. We believe the market will continue to harden, which may represent a challenging era for insurance producers and insureds. There is no need to panic, however. As always, Prime Insurance Company is here to help.
The Insurance Impacts of COVID-19
Insurance markets depend on capital. The economic impacts of COVID-19 will lead to lower capital, which in turn reduces underwriting capacity and thus introduces a hardening insurance market. For many insurance companies, the course of action will be to focus on areas of strong return, where risks are low.
But what about clients who need coverage for exceptions and risks that are more challenging? And what about clients who have been declined in the past? These are the people who will be the most worried about where they can find insurance post-COVID-19. As a producer, you can meet their needs and continue writing business in a hard market with our help.
For insurance producers who focus on liability insurance and riskier clients, and for their clients who need coverage in a hardening insurance market, it will be more important than ever to find an insurer who can offer these policies. Insurance producers should also be prepared to find new ways to demonstrate their value to insureds in a post-pandemic, hardening insurance market. People may balk at the prices and the availability of insurance but they still need coverage. If you can use the hardening insurance market as an opportunity to showcase your merits and build relationships, even through the challenges, you are more likely to come out stronger when the market softens again.
How Prime Insurance Company Can Help in a Hardening Insurance Market
Prime Insurance Company is the place for insurance covering specialty liability, D&O, healthcare professionals, commercial auto, excess and umbrella policies, and declined, canceled, or rejected insurance. These are all areas that already carry more risk than other classes of insurance. That level of risk may be enough to make both insurance producers and their insureds nervous but rest assured that Prime is committed to finding solutions.
We help you deliver more value to your clients than coverage alone. First, we will continue to work hard to cover risk, even in situations where another insurer has deemed it too risky. We are experienced and adept at handling challenging situations. This will not change post-pandemic. We are not a risk-averse insurer used to turning away from situations that call for creativity and flexibility. We are familiar with providing coverage where exceptions exist in our producers’ markets. This will not change in a post-pandemic landscape.
We also work to help your clients reduce and mitigate needless risks within their businesses. We have an in-house team dedicated to risk management, advising insureds based on their specific situation. This is very useful in a post-pandemic world, where many people and organizations will not want to take on any additional risk.
Remember that the insurance market, like every other industry, goes through fluctuations. What is a hardening market now will eventually soften. Prime Insurance Company will be here to help you and your clients through all conditions. We offer long-term value to your insureds, which should promote loyalty even through challenging conditions.
Working With Prime Insurance Company
When the world feels uncertain and people want to make the most of their money, we are in your corner. Through our services, we can help differentiate your business so that you can offer your clients coverage that suits their needs no matter what the market looks like.
You can request a quote at any time using our application, conveniently available online. If you have any questions or would like to talk to us about solutions so you can continue to write business, and write more of it, call us at 800-257-5590 or email at firstname.lastname@example.org. And please feel free to keep up with Prime Insurance Company on Facebook, Twitter, YouTube, LinkedIn, and Instagram, or read our blog!