A.M. BestTV: 2017 Disasters Showed Building Code Soft Spots and Modeling Limits, Says Panel

OLDWICK, N.J.--()--In this A.M.BestTV episode at the Inland Marine Underwriters Association's (IMUA) annual conference in Scottsdale, AZ, insurance representatives said that in the wake of the 2017 catastrophes, they've learned how construction codes in Texas lag those in Florida and how to deploy claims support personnel across expansive loss regions. Click on http://www.ambest.com/v.asp?v=imua2518 to view the entire program.

The panel discussed the industry’s response to the 2017 record year of natural catastrophes.

“I think, overall, the industry responded extremely well,” said Lara Mowery, managing director, head of global property specialty, Guy Carpenter. “The types of events that happened in 2017, while many, were the types of events that insurers and reinsurers prepare for and know are going to happen eventually. ... In fact, 2017 ended in a stronger capital position, despite over $100 billion of catastrophe losses, than in year-end 2016,” said Mowery.

Peter Opinante, vice president commercial underwriting, Icat, highlighted the lessons his company learned from the 2017 catastrophes.

“One of the big lessons we learned was from the Harvey event, which was really two events. A claims event for flood and one for wind,” said Opinante. “The flood event was a lot greater in terms of an event than the wind event. One of the things we also learned is that the construction codes in Texas seem to not respond quite as well as the construction quality and codes in Florida.”

Not wanting to leave out the impact technology has had on the industry, Rich Soja, global head of inland marine, Allianz Global Corporate and Specialty, said he believes that, “the frictional cost of all of the steps necessary to file a claim is enormous for a $5,000, $10,000 or even a $25,000 policy. With the emerging technology on how management systems speak to each other, in the next five years we are going to see a revolutionary change in how small business is conducted.”

For full video coverage of the IMUA conference, including exclusive executive interviews, visit http://www.ambest.tv/imua18.

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Contacts

A.M. Best
Lee McDonald, +1-908-439-2200, ext. 5561
Group Vice President, Publication and News Services
lee.mcdonald@ambest.com

Contacts

A.M. Best
Lee McDonald, +1-908-439-2200, ext. 5561
Group Vice President, Publication and News Services
lee.mcdonald@ambest.com