Selling and underwriting condo insurance these days is a tough gig, but the property and casualty insurance industry is no stranger to tough market cycles.
Mainstream media are filled with stories about condo corporations seeing their premiums and deductibles increase, with the largest increases getting the lion’s share of media attention.
Anecdotally, brokers and carriers peg national condo insurance premium increases somewhere in the range of 15% to 20% on average. In B.C., where the issue is most acute, average condo insurance premium increases are pegged between 35% and 40%, depending on the source. B.C. brokers have reported some deductibles increasing ten-fold (or more) in certain exceptional instances.
Some carriers are reportedly starting to walk away from this class of business. For these insurance companies, profitability is impossible because premium increases cannot keep pace with escalating claims costs.
So how can P&C brokers and carriers build up their business in today’s Canada’s condo insurance market?
Featured panellists include Lindsey Bellinger, assistant vice president in commercial lines underwriting at Aviva Canada, Jeff Rodin, president and CEO of Condominium Insurance Solutions, and John Slattery, executive general adjuster at Sedgwick.
Our panellists will share their thoughts about what the industry is currently seeing in the condo insurance market; what’s driving the higher claims costs; and what brokers, insurers and claims adjusters can do to help Canadian condo corporations reduce their insurance premiums.
The panel will also discuss the future of the condo insurance market. For example, how can the ongoing development of analytics help insurers better assess and price condo risks? How can brokers advise and educate their clients to mitigate their risks going forward (i.e. do clients need to put “more skin in the game” to avoid moral hazard)? And, from an adjusting point of view, what loss control measures are in the works that can help reduce the severity of claims costs?