Uncertainty prevails across all marine insurance lines

Continuing uncertainty in national policies, geopolitical tensions, commodity prices and other factors is making the future prospects of the marine insurance market hard to predict. This is according to the 2019 statistical report, IUMI Stats, from the International Union of Marine Insurance (IUMI).

The report also states that the return of major losses and the increasing accumulation of risk, both onboard ships and ashore, is impacting various lines of business. Fires onboard containerships are a growing concern for hull and cargo underwriters, it added.

There is a modest single percentage point rise in global marine premiums across all sectors. The report also states that a steadying of the oil price is encouraging offshore reactivation, but this is bringing its own challenges.

In general, the marine insurance markets appear to have bottomed-out, with many markets reporting changing underwriting conditions, but the prospect of any real market improvement to 2019 results remains uncertain.

This is the second in a series of annual reports launched by IUMI last year. Its aim is to present a range of statistical data to help define the maritime sector and, more particularly, the marine insurance market.

Philip Graham, chair of IUMI’s Facts & Figures Committee, said: “Understanding the changing market in which we operate is vital if we, as underwriters, are to continue to deliver high levels of service to our clients world-wide.

“Last year IUMI, as our global industry body, took the initiative to launch this annual statistical publication to help marine insurers gain a more complete picture of the maritime and insurance landscape. We include statistics from our partners as well as our own data and marry these with analysis and opinion. Taken together, we believe IUMI Stats presents a comprehensive, yet easily digestible insight into our market. We hope it will be widely read by marine insurers and others with an interest in our sector.”