Australian rates are unlikely to soften until 2004, later than in Europe and the US, according to the 2002 Fitch Ratings report on the Australian insurance market.
In the report issued yesterday Fitch said this is because reinsurers' rates are thought likely to remain high until 2003.
Fitch did say, however, that this would not guarantee a return to profitability - despite it being a good sign.
The report also noted that capital and solvency levels in the Australian industry are strong.
