Posted on 12 Dec 2012 by Neilson
Premium rates for trade credit insurance in the third quarter of 2012 remained relatively stable for the third consecutive quarter, following sharp increases at the end of 2011, according to Marsh. Colleagues of Marsh in developing Europe, Latin America, and Australia reported the sharpest increases.
Highlights of the global trade credit insurance markets include:
- After three consecutive quarters of deterioration, more than half of Marsh’s global colleagues said that credit limit approvals were either stable or slightly improved when compared to the prior quarter. Australia/New Zealand and Europe (developing and developed) continued to see conservative underwriting from insurers.
- Claims filings slowed slightly after increasing every quarter since the inception of this survey in the first quarter of 2011. Developing Europe, Latin America, and Africa reported the most significant increases in claims frequency.
- Global demand for trade credit insurance remained high and fairly consistent with the prior quarter. The United States, Latin America, and the Middle East showed the sharpest increases in demand.