Historically, a hard market is part of the cyclical nature of the insurance industry. At one time, these cycles occurred fairly consistently at about seven year intervals. However, the last significant hard market came in the mid-80s.

A hard market is characterized by increasing rates and/or reduced industry capacity, which leads to affordability and/or availability problems. In addition, both underwriting and claims adjusting usually become more stringent. In the current marketplace, these conditions are exacerbated by increased uncertainty about such loss exposures as terrorism, mold, etc., and by a reinsurance market significantly strained by the events of September 11.

A JOINT VENTURE IN A SMALL TOWN by Ron Rensink The heated debate over bank activity in the insurance business has focused primarily on happenings in major metropolitan areas, where huge blocks of bu...

A LEADERSHIP QUIZ FOR TOMORROW by Mike Manes The responsibilities of a leader include: A. Comforting the afflicted B. Afflicting the comfortable C. Both A and B...

A NEW LOOK AT THE SALE OF LIFE INSURANCE TO CHILDREN More children die from injuries than from disease, reports a Wall Street Journal item which quotes specialists at the Johns Hopkins Children's Ce...

ACQUISITIONS: IS BIGGER REALLY BETTER? by Chris Burand Although, in general, growth is essential for agencies to retain markets and profitability, unrestrained growth via ac...

AGENCY FINANCIAL PLANNING: TODAY AND TOMORROW by Carol Hammes There can be little doubt that changes are in the wind in the Commercial Property/Casualty marketplace. Some industry observers have...

AGENCY GROWTH AND THE PERPETUATION DILEMMA by Carol Hammes Despite the incredible deepening of the commercial soft market, many independent agencies have continued to grow and have been qu...

The changing marketplace is presenting several new pressures and challenges for the owners of independent agencies. The success...

AGENCY SURVIVOR: OUT-SELL, OUT-MARKET, OUT-COMPETE! by Robert C. Smith Make sure that your agency doesnt get voted off the island. Mor...

AGENCY VALUATION WITH A LOSS OF MARKET by the IAABA Virtual Faculty Two things are going on in the insurance marketplace. First, agencies are continuing to be bought and sold. Second,...