MARKET CONDITIONS

One of the first questions our agents are asked by board members or the insurance committee is usually, “Where is the insurance market headed?” The answer is that nobody knows for certain what insurance conditions or pricing will be in Florida next year. However, our agents are very diligent in following market trends and predicting the upward or downward swings in insurance pricing and availability several months in advance of your renewal date.

Market conditions depend on a variety of circumstances. Sometimes it is easy to determine which direction the market is heading, while at other times it becomes more difficult. Many factors are involved. From the carriers’ perspective, factors may include the economy, recent hurricane activity, global catastrophic events, reinsurance availability and cost, company profitability and overall competition in the marketplace. On the condominium side,  factors may include individual condominium’s characteristics such as construction type, year built, roofing updates, location, distance to tidal water and total insurable values.

We immediately know when new companies enter the Florida market place and what their underwriting guidelines will be.  If your association would be a potential fit with that carrier, we will present it as an option. We are often aware of these companies prior to other agents realizing they may be available to you.

Depending on a wide variety of circumstances, market conditions can be relatively easy to anticipate when your agent understands different carrier objectives, guidelines and the market variables.