The COVID-19 pandemic resulted in decreased energy production and demand in 2020. According to the U.S. Energy Information Administration (EIA), it will likely take years for the U.S. to return to 2019 levels of consumption. While it’s anticipated that the United States will continue to export more energy than it imports through 2050, recovery will take time and the energy insurance market is feeling the pinch (source 1).

As the aviation industry rebounds from a massive pandemic-induced downturn, aviation insurance rates are rising as insurers seek to address prior-year losses and the industry’s evolving risks. Interest in private jet purchases and rentals have surged as more business fliers and individuals avoid public carriers for health reasons. The pandemic has also provided an extra boost to the rapidly growing unmanned aerial vehicle industry since camera-equipped drones can perform many tasks at lower risk and without personal contact.

Will premiums increase? Are terms and conditions changing? What lines of business have limited markets? Which lines of business have excess capacity? Here’s what clients can expect in the marketplace for 2021 in a quick and easy to read reference guide.

Commercial trucking often serves as a trusted barometer for the U.S. economy. In 2019, America’s truckers carried 11.84 billion tons of freight and generated $791.7 billion in revenue*.

The market for real estate casualty coverage is tightening significantly both for primary and excess with fewer standard markets willing to provide coverage. Rates, retentions and deductibles are all heading higher as claims costs and jury verdicts rise, particularly for habitability claims in California and action-over claims in New York City. To avoid those kinds of claims, underwriters are putting much greater scrutiny on submissions, particularly in litigation-prone areas. In such a fluid market, communication ahead of renewals is critical to manage client expectations. As placements become more challenging, working with experienced wholesale brokers is the key to finding the best coverage options.