SAN DIEGO — Fixed rates and capacity constraints are likely to continue in the wholesale and specialty insurance market for the rest of this year and into 2023, albeit moderately in some areas, according to sources at the Wholesale & Specialty Insurance Association’s Annual Marketplace.
“The market is still tight but more stable than it has been in recent years,” said Bill McElroy, casualty portfolio director at Aspen Insurance Holdings Ltd. In New York. “Capacity is still tight in some areas, and we expect that to be the case for the balance of the year and into 2023. We don’t expect any major changes.”
Wholesale markets continue to benefit from capacity issues in the primary market.
“We̵7;re very bullish” that market conditions will continue in the near term without any major capital shifts in the primary market, said John Anthony, senior vice president of surplus and surplus wholesale, contract property and casualty, surplus and umbrella in Scottsdale, Ariz., for Nationwide insurance.
Some sectors may see interest rates.
“I think we’ll continue to see interest rates in desirable classes of business, including commercial construction and manufacturing,” said Bill Wilkinson, president of national indemnity brokerage in Alpharetta, Georgia, for Risk Placement Services Inc.