Opinion

AM Best’s decision to remove second-largest front Clear Blue from under review is a small positive development for the fronting sector, but caution is still needed.

Insurers should reserve as conservatively as possible, maximize their product set, and decide if they are buyers or sellers.

Sources agree that there are others that could follow a similar playbook, but there are three key considerations to keep in mind when pursuing a strategic-on-InsurTech transaction.

Trading at just 0.6x book, the firm is a cheap option for an insurer which is looking to enter E&S, or is underweight in the sector.

The broker has not been acquisitive since the deal to create the group in 2015, and has divested a number of its units in that time.

The low multiple shapes the decision set of the management team, negatively impacts staff, and creates potential opportunities for rivals.

APCIA's annual meeting last year took place during the post-Hurricane Ian stand-off, but despite the greater calm and certainty surrounding the run-up to this year’s January 1 renewal, there are several key themes to debate at the event.

The pendulum that swung towards a focus on growth for the past few years is now swinging towards profitability and increased partnership.

At a point when cyber rates are falling and capacity is plentiful in high excess layers, the mutual plans have the wider cyber market somewhat perplexed.

At least one carrier struck a note of caution during Q3 earnings about the ongoing rapid growth story in surplus lines.

The 3x3 plan takes the things about the firm over the last decade that have been distinctive and intensifies them.

Will this year be a repeat of a shift from “growth at all costs” to “flight to quality”, or will we see the InsurTech space bounce back in the direction of 2021 optimism?