Page 34 - WTW Asia Insurance Market Report
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Aerospace

Aviation | Space

Hull and Liability - Market Premium and                               Hull War - Market Premium and Claims
Claims. *Data till September 2016                                     *Data till September 2016

2000                                                           200    600                                                   700
1800                                                           175
1600                                                           150    500                                                   600
1400                                                           125 %
1200                                                           100    400                                                   500
1000                                                           75
 800                                                           50     300                                                   400
 600                                                           25                                                                   %
 400
 200                                                                                                                        300

     0                                                                200                                                   200

                                                                      100                                                   100

        2012            2013          2014  2015        2016*         0 2011 2012 2013                         2014 2015   2016* 0

               Premium        Claims        Loss Ratio                     Premium                     Claims  Loss Ratio
*Source: WTW Data
                                                                      *Source: WTW Data

“Senior managers of Aviation underwriters have begun to exert more discipline
in their underwriters’ behaviour in order to slow the rate of reductions. This is fine
in principle but not necessarily possible in practice, as underwriters are fearful of
losing market share”

Space Market Capacity vs. Average Launch + One Year                                                    “Capacity has not
In-Orbit Premium Rates                                                                                 evolved a lot since
                                                                                                       2012, yet average
1000                                                                                                   premium rates
 900                                                                                                   continue to fall”
 800
 700
 600
 500
 400
 300 Market Launch Capacity
 200 Average Launch +1 year % Premium Rates
  100

     0 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

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