Marsh chief executive Mike Hammond has predicted that rates in the UK insurance market are set to plateau in 2004.
Speaking at a Marsh event in London Hammond said this would mark an end to the increase in premiums since 11 September 2001.
Mike Jones, head of UK retail placement at Marsh, said: "We remain in a hard insurance market, however Marsh is seeing signs that we may be reaching a plateau.
"The 2002 end of year reinsurance renewals showed a lower rate of increase than had been predicted. 2003 insurance premium rises have been lower than expected.
"The hard market has brought risk management issues into the boardroom where they belong. As a result we are seeing our clients taking a more sophisticated approach to managing risks.
"This has precipitated increased interest in insurance captives and other self-insurance and alternative risk transfer products."
