Overview and Outlook for the P/C Insurance Industry: Focus on Texas Markets

This lengthy PowerPoint report, presented by Robert Hartwig, president of the Insurance Information Institute at the Independent Insurance Agents of Texas Joe Vincent Seminar, provides an overview of the property/casualty (P/C) insurance industry, with an emphasis on Texas. Sections include an economic outlook with a focus on exposure and premium growth, catastrophe losses and the impact of Hurricane Sandy, which guarantees that 2012 will become the 2nd or 3rd costliest year in U.S. history in terms of insured losses. A P/C industry performance overview and outlook reviews underwriting, pricing, growth, capacity and investments. This section includes a by line analysis of profitability and growth in Texas P/C insurance markets as compared with nearby states. Growth in Texas has generally exceeded that of the U.S. property/casualty market overall, given the state’s relatively strong economy. It notes that Texas profitability in several key lines is above average but that profitability in property lines lags behind due to significant catastrophe loss activity in the state. The report concludes with a review of legal liability and the tort environment.