Historically, floods, hurricanes, and earthquakes have been known for generating historic losses and headlines, but the insurance industry is increasingly concerned about the mounting financial impact of so-called secondary perils. Hail storms, tornadoes, thunderstorms, and wildfires are causing more frequent and severe losses that mount into the tens of billions of dollars on an annual basis, often outweighing losses from major perils in recent years. Over the last 40 years, a pattern of more frequent natural catastrophe events has emerged, a trend that has further accelerated over the last decade, according to AM Best (source 1).

Americans are facing one of the most challenging housing markets in years due to high home prices and rising mortgage rates, but those aren't the only issues impacting purchasing decisions. In today's market, more than 75% of home buyers are actively considering natural disaster risks when choosing where to buy as climate change makes floods, mudslides, and increasingly – wildfires a key factor to keep in mind.

The 2021 wildfire season is predicted to be the fifth consecutive year in a pattern of severe fire seasons. Wildfire threats emerged early this year as 98% percent of land in the Western states continues to experience drought conditions compounded by early summer heatwaves.

PLACING YOU FIRST BEFORE, DURING AND AFTER THE STORM. CRC group is here to help with all of your claims and policy servicing issues as a result of catastrophes, including helping clients prepare for a potential claims situation.

The excess casualty market faces a rough road ahead. After a difficult 2020, the market is likely to remain hard at least through 2021 and possibly into the following year. Carriers continue to reduce limits and increase premiums as they grapple with the aftereffects of underpricing in the soft market. Much of the hardening is being driven by losses in auto, and also where social inflation is leading to more so-called ‘nuclear’ verdicts. Along with auto fleets, construction, real estate, habitational and hotels stand among the more difficult markets.