MOTOR LIABILITY CONCERNS HIT US PROPERTY/CASUALTY INSURERS

US property/casualty insurers were hit by a “troubling” deterioration in performance in the final quarter of 2015, according to new figures. Analysis by ISO and the Property Casualty Insurers Association of America (PCI) showed a “significant” slowdown in premium growth in the quarter coupled with combined ratios climbing over 100%. Rising loss ratios for auto liability policies were highlighted as a contributing factor to the worsening performance. Property/casualty insurers’ net written premiums rose 1.3% to $121.3bn in the fourth quarter of 2015. The industry's combined ratio deteriorated 5.6 points to 100.5%. The annualised rate of return on average surplus dropped to 7.5% in the fourth quarter from 10.7% a year earlier.