Ferma survey finds dissatisfaction with insurers’ ability to deal with future risks

Risk managers across Europe revealed their top concerns about the insurance market in one of the biggest surveys of the profession.

Their biggest bugbear with the insurance market is its ability to identify and respond to future risks (61% said so), according to the survey.

The looming hard market was the biggest fear for about half (48%) of the respondents, which included around 780 risk professionals across Europe.

Almost the same number (42%) indicated that their biggest worry was the impact of Solvency II on the availability of insurance capacity.

Elsewhere, the survey also found there is reasonable satisfaction with current prices, but awareness of the possibility of higher prices as a result of market hardening and the effects of Solvency II.

The results of the survey, conducted by AXA Corporate Solutions and Ernst & Young on behalf of FERMA, were announced in London today (Wednesday) at the FERMA Risk Seminar.

There were a record number of responses to the questions: 782 people in companies and public organisations across 19 countries in Europe. In 2008, there were 555 replies from 16 countries. This is the fifth such survey; it has taken place every other year from 2002.

The results reveal continuing progress in risk management fundamentals but with significant disparities remaining from one company, country or risk management topic to another.