Insurance premiums are expected to increase for commercial insurance following a rise in reinsurance rates, according to a new survey.
The survey by broker Heath Lambert said that the market has failed to improve after 11 September.
A report spokesman said: "World stock markets have continued to decline, resulting in insurers' capital bases being severely eroded, which has led to credit rating downgrades.
"Large-scale corporate scandals have hit some insurers and increased the potential for long-tail liabilities, while the perceived threat of another major terrorist threat has not diminished."
The survey highlighted that reinsurance rates have also increased across most sectors, with the likely effect of higher insurance premiums.
Looking ahead the survey warned that the frequency and size of insurers' liabilities is likely to get worse, with US juries likely to make higher compensation awards.
