The specialty insurance market is hardening for the first time in 15 years. The same holds true for public D&O and other professional lines. A firm or hard market means the marketplace has less capacity to serve clients who take risks. The current hardening has come about due to an increase in the frequency and severity of claims.
Today’s market environment is an opportunity for Argo Group. As Rich Edsall explains, Argo’s long-term strategy and cautious approach, combined with expertise as a specialty insurer, put the company in an ideal position to capitalize in a market that has driven many firms away. Argo’s advantage is a combination of attitude and product line.
Rich says that Argo works hard to reset the expectations of clients who for years have known only a soft market’s flat or decreasing prices. The company does so by being consistent and keeping the lines of communication open between Argo and brokers and customers. Argo also delivers from the product perspective.
“We have a full suite of products to be able to serve our clients,” he says. For clients with a public D&O policy, for instance, “we have a very broad excess form. On the private side, we just came out with a Private Company PROtect policy, which is our suite of coverages in a package form for private companies. It addresses their D&O exposure, their employment practices liability exposure, and their fiduciary liability exposure.”
Argo’s history of flexibility and creativity as a specialty insurer equip it to thrive in a hardening market. And as prices rise, terms tighten and capacity constricts, the company is poised to grow even further.
“We want to grow in a hard market and we are able to do that,” says Rich. “I think that’s good business for us.”
- Tweet this Designed for middle-market to upper middle-market private companies, Private Company PROtect has a maximum capacity of $15 million, minimum deductible of $10,000 and minimum premium of $7,500.
Rich Edsall is senior vice president, commercial management liability at Argo Pro, a position he has held since 2016. Argo Pro provides broad and customizable professional lines insurance products and services. In his role, Rich is responsible for expanding Argo Pro’s public and private company books of business.