HARTFORD, Conn., June 14, 2018 /PRNewswire/ -- Conning's annual study of the property-casualty industry's loss reserves find that the overall reserve position appears to be sufficient, after again strengthening in 2017.
"The property-casualty insurance industry's reserve position improved slightly in 2017," said Bill Burns, Vice President, Insurance Research at Conning. "The industry continues to carry sufficient reserves, assuming claims settlement patterns continue at the current pace. However, there is a concern that with more robust growth and inflation, settlement patterns may well change, adversely impacting loss reserve adequacy."
The Conning study, "2017 Property-Casualty Loss Reserves: Not What We Were Expecting" reviews the property-casualty industry's loss reserve position at the end of 2017, by line of business and in total.
"The industry experienced favorable loss development of $12.5 billion in 2017, based on the preliminary data used for our analysis," said Steve Webersen, Head of Insurance Research at Conning. "This is the twelfth consecutive year that the industry has had favorable development from prior accident years, and 2017's favorable development exceeded our estimate of the reserve redundancy embedded in the year-end 2016 carried reserves. However, despite the favorable position of the industry overall, the auto and other liability lines are deficient, and are a cause for concern."
"2017 Property-Casualty Loss Reserves: Not What We Were Expecting" is available for purchase from Conning by calling (888) 707-1177 or by visiting www.conningresearch.com.
Conning (www.conning.com) is a leading investment management firm with approximately $122 billion in global assets under management as of March 31, 2018.* With a long history of serving the insurance industry, Conning supports institutional investors, including pension plans, with investment solutions and asset management offerings, award-winning risk modeling software, and industry research. Founded in 1912, Conning has investment centers in Asia, Europe and North America.
*As of March 31, 2018, represents the combined global assets under management for the affiliated firms under Conning Holdings Limited, and Cathay Securities Investment Trust Co., Ltd. ("SITE"). SITE reports internally into Conning Asia Pacific Limited, but is a separate legal entity under Cathay Financial Holding Co., Ltd. which is the ultimate controlling parent of all Conning entities.