One of our markets, CFC, conducted a broker survey across the US, Canada, Australia, and the UK to get a better feel with where the healthcare market was, and below are some of the results.
The rating environment has become a hard market with average rate increases varying and trending upwards globally. Additionally, home healthcare, long term care, non-emergency medical transportation, behavioral health, pediatric, and correctional exposures have created pain points for many brokers.
Underwriting has become a hard market and there have been many changes since the onset of COVID-19. There has been a wave of restrictions on classes that would have been impacted by COVID-19, like home healthcare and long-term care. Also, classes that were on the “fringe” are now hard declines.
Capacity has become a hard market has well with a limited market appetite, new exclusionary market language, and limits profile decreases, minimum premiums, or deductible changes.
Claims have become a hard market due to the severity creeping up across all territories. Markets are struggling to quantify the short-term and long-term impacts of COVID-19 on their portfolio.
Service levels have become a hard market with the typical turnaround times across all territories being extremely poor. Most brokers have said that for simple risk, the turnaround time has gone from 2-3 days a year ago to 5 days during COVIF for a new business account. For more complex accounts, the turnaround time has become more like 10-14 days.
Some of the most aggressive markets are:
o US: Coverys, Chubb, Genstar, and RSUI
o Canada: Aon/Linx, MedThree, and Beazley
o UK: AWAC, WRB, and CAN
o Australia: QBE
For more detailed information on the results of CFC’s broker survey, you can read the article here.