Is the London market over-exposed to catastrophe risk?
Lloyd’s may demand cuts in catastrophe-related cover or insist insurers provide more capital, the FT reports.
Quoting “insiders”, the FT says the franchise director, responsible for overall risk, is worried about the level of catastrophe cover in its annual discussions with member companies over their business plans.
A senior executive at one Lloyd’s company said: “The centre has concerns about the extent of catastrophe risk exposure, but the history is that the market always writes the best-priced risks.”
Lloyd’s declined to comment, saying it would not give a running commentary on any action being.
