Business Insurance Insights Stabilised Rates and Market Dynamics
Business Insurance: The rates for directors and officers liability insurance (D&O) have stabilised for most corporate clients as the hard market conditions continue to ease, says the New Zealand insurance broker, Crombie Lockwood . In a market update, Crombie Lockwood says that recent legislative changes in Australia and an influx of capacity into the London D&O insurance market have contributed to the softer market, which has put pressure on the New Zealand market to reduce pricing. This is particularly the case in excess layer placements or ‘top up’ cover. However commercial and SME clients are likely to face inflationary premium increases. While the D&O market has softened somewhat, the global economic and geopolitical landscapes continue to remain challenging, with higher global interest rates, inflationary pressures, the impact of the Ukraine conflict and supply chain interruptions. The combination of these factors, together with the protracted nature of D&O liabil