Ernst & Young Sees a Transitional Environment Ahead for US Property and Casualty Insurers in 2009

In 2008, the impact of the financial crisis on the US property/casualty (P/C) insurance industry has been isolated, sparing the industry from serious impairment. Still, the outlook for 2009 includes greater risks to the industry from continued volatility, according to the Ernst & Young Global Insurance Center's US property/casualty industry outlook for 2009.

Published on February 6, 2009

"Those insurers with strong leadership and financial flexibility will be poised to move forward in this unstable market," said Peter R. Porrino, Global Director of Insurance, Ernst & Young's Global Insurance Center. "Insurers will need to address a wide range of risks, including continued volatility in investment and underwriting performance, a potentially active mergers and acquisitions (M & A) market and a more rigorous regulatory landscape. Looking ahead, this may be the beginning of a transitional, if not transformational, environment for the industry."

For the complete report, go to: http://www.ey.com/GLOBAL/content.nsf/International/Insurance_Overview and click on the US property/casualty link.