Unprofitable Insurance: Tail Effect Hits Auto Lines - Insurance-Canada.ca

Dec.11, 2024 – By Stephen Applebaum & Alan Demers – Declining auto claims and associated consequences are now in focus for the U.S.personal auto and property insurance market.

Claims, reserve adjustments and both rate-setting and underwriting actions all produce a tail effect which will only be fully realized at a later time.The tail-end ultimately tells the true story as financial adjustments are made months and years down the road.

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Publisher: Insurance Canada