In this H1 2023 Banking Market Update, we are pleased to provide our thoughts on the current state of the insurance market and our insight into what to expect for the rest of 2023.
Insurance market conditions continue to be favourable for the banking sector. New capacity entering into the marketplace and established insurers having aggressive new business targets, is maintaining downward pressure on pricing, and capacity remains plentiful. It should be noted however that the demise of Silicon Valley Bank, Silvergate Bank and Signature Bank and then the subsequent takeover of Credit Suisse by UBS all happening during a two week period in March, has caused some turmoil in the banking sector. There have been a number of subsequent lawsuits following these events, the impact of which we will closely monitor.
Environmental, social, and governance (ESG) and climate change remain high on the agenda of banks and regulators worldwide. Other current areas of focus are regulatory changes, and the operational resilience of firms, and geopolitical events in Eastern Europe. At WTW, we remain focused on working to negotiate better terms from insurers on behalf of our clients, and manage clients’ expectations accordingly by building honest and constructive relationships to support better outcomes. Against this backdrop, firms proactively engaging with their brokers will be more likely to succeed in obtaining the most favourable insurance terms available in the current market.
Should you have any questions or wish to discuss any of these issues in greater detail, please do contact me or a member of your WTW team.
WTW offers insurance-related services through its appropriately licensed and authorised companies in each country in which WTW operates. For further authorisation and regulatory details about our WTW legal entities, operating in your country, please refer to our WTW website. It is a regulatory requirement for us to consider our local licensing requirements. The information given in this publication is believed to be accurate at the date of publication shown at the top of this document. This information may have subsequently changed or have been superseded and should not be relied upon to be accurate or suitable after this date.
| Title | File Type | File Size |
|---|---|---|
| The State of the Market – June 2023 Banking Market Update | 1.2 MB |
