Future Insurance Increases Rest on Treaty Renewals

The future of insurance coverage and rates will rest upon the decisions of reinsurance treaty renewals come Jan. 1 and decisions made in Washington to develop a terrorism reinsurance program. The observations came today during a CEO Breakfast Forum sponsored by the Insurance Brokers Association of the State of New York headquartered in Glenmont, N.Y. and JP Morgan Chase in downtown New York City. Calling the terrorist attack of Sept. 11 the "biggest event ever" to affect the insurance industry, Harold L. Morrison, senior vice president and managing director, New York brokerage zone officer for Warren-based Chubb, said the reinsurance companies have "taken a pretty significant hit." For them to stay afloat, he said, clients will see rates rise significantly.