After four years of softening, a sense of discipline has returned to the fine art and jewellery market in the closing months of 2017.
Hurricanes Harvey, Irma and Maria do not appear to have generated large losses for the sector, but it is not immune to the changes afoot in the wider market.
The losses from the storms and earthquake this year has stopped insurers in their tracks and caused many to re-evaluate the adequacy of rating and their exposures across lines of business.
Insurers are taking a more disciplined approach to pricing and coverage terms.
Reductions are harder to achieve and policy wordings, along with coverage enhancements that may have been included over the past 12 months, are now under greater scrutiny.
Insurers are now seeking to at least hold rates as expiring, and are pushing for increases on catastrophe exposed or loss affected business.
However, the market is still highly competitive and oversubscribed.
Insurers may well push for rate increases during the first half of 2018, but there may be some way to go before the market truly hardens.
Fine art and jewellery tips for buyers
Start your renewal process early, work with the broker to create options and choice. Nurture your relationships.
Differentiate the business you operate, help insurers understand the operational and financial investment you maintain throughout your business.
Apply effective risk management techniques to assist in the mitigation of the threat of losses bearing in mind uneconomical business for underwriters will be in the spotlight.
For more information please contact Barry Vickery, Senior Partner on +44 20 7528 4598 or email email@example.com