A balancing act: Property rates and weather risks

Future of Risk

www.futureofrisk.com

Please note that this episode was recorded prior to Hurricanes Helene and Milton.

Recent moderation in property insurance rates, after 26 consecutive quarters of increases, coincided with increased severe convective storm activity through last spring and predictions of a hyperactive hurricane season. In the second episode of the “Market in Transition” podcast miniseries, guests Joffre Mishall, Head of Large Property for U.S. National Accounts; Grace Ries, Head of Middle Market Property; and Adam Hurley, VP of Property Risk Engineering for Zurich Resilience Solutions, discuss the delicate balance between rate moderation and extreme weather risks. Listen as they provide guidance on how businesses can build resilience for the long term. They discuss key strategies for investing in risk management, maintaining updated valuations, engaging with underwriters and leveraging risk engineering support.

Note: This episode was recorded prior to Hurricanes Helene and Milton. In the days since those hurricanes, Joffre Mishall has shared additional insights on the interplay of hurricanes and the rate environment, adding: “The 2024 hurricane season is living up to predictions, as we had Helene and Milton impact Florida and beyond just a couple of weeks apart, with Milton also causing spinoff tornadoes that inflicted heavy damage. Are these market-changing events? It’s too soon to tell. We will have a better idea at the start of January, a key renewal date. We also still have several weeks to go in hurricane season. But these storms prove one thing: The commercial property insurance market is fragile, and the risks are increasingly volatile.”

Recorded: 9/19/24