Facing increasing economic pressure, insurance carriers are on the look out for ways to reduce underwriting losses by increasing rates, reducing coverages, tightening underwriting guidelines and dropping lines of business that aren\u2019t profitable. This hyperfocus on loss management may put many in the repossession industry at risk of losing important coverage.<\/span><\/p>\n An Insurance Journal<\/a> article was published online on 3\/30\/23 with the following headline:<\/span><\/p>\n Near $27B Underwriting Loss in 2022 \u2013 largest for US P\/C insurers since 2011<\/span><\/em><\/strong><\/a><\/span><\/p>\n Key Quotes from the article:<\/strong><\/span><\/p>\n Why is this article important to you?\u00a0 The article is important to anyone who has insurance, be it personal, but especially commercial and in the repossession industry<\/u><\/strong>, because it means insurance companies are going to look for ways to reduce their underwriting losses. And how this is done will likely impact you in some way.\u00a0 Insurance companies reduce underwriting losses by increasing rates, reducing coverages, tightening underwriting guidelines and dropping lines of business that aren\u2019t profitable.\u00a0 Ever heard of a hard insurance market?<\/span><\/p>\n Many people who we are now seeing applications from are people who had a single claim in 2021 or 2022 and are now finding themselves non-renewed in 2023.\u00a0 The problem these companies are encountering is that many have jumped from carrier to carrier or have been placed with different carriers every year by their insurance agents chasing a lower premium.\u00a0<\/span><\/p>\n So as the article references with the insurance industry being hammered by increasing input costs (costs of repair, replacement, litigation etc.) and accident severity plaguing personal and commercial auto lines, the cost of claims is increasing while premium volume is decreasing.\u00a0 This is a perfect storm of insurability.<\/span><\/p>\n What can be done?\u00a0 Well, the best thing you can do is proper and effective risk management and training.\u00a0 Reducing risk a\/k\/a \u201cRemoving the liability, before removing the vehicle<\/em><\/strong>\u201d (to quote our tag line), increasing training, adhering to insurance company guidelines regarding things like driver age and experience, not chasing the lowest premium dollar at all costs – all help to keep your loss ratio (ratio of what you have paid in vs. what the carrier pays out) in better balance.<\/span><\/p>\n \u201cIn 2023, insurers are faced with a significant challenge to close the rate gap in…<\/p>\n","protected":false},"author":1,"featured_media":25795,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[17,1190],"tags":[717,125,576,468,220,7,905,133,765,221,105],"class_list":["post-25794","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-press-releases","category-rsig","tag-claims","tag-insurance","tag-lighthouse-insurance","tag-recovery-specialist-insurance-group","tag-repo-insurance","tag-repossession","tag-repossession-agency","tag-repossession-association","tag-repossession-industry","tag-repossession-insurance","tag-rsig"],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/curepossession.com\/wp-json\/wp\/v2\/posts\/25794","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/curepossession.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/curepossession.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/curepossession.com\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/curepossession.com\/wp-json\/wp\/v2\/comments?post=25794"}],"version-history":[{"count":2,"href":"https:\/\/curepossession.com\/wp-json\/wp\/v2\/posts\/25794\/revisions"}],"predecessor-version":[{"id":26469,"href":"https:\/\/curepossession.com\/wp-json\/wp\/v2\/posts\/25794\/revisions\/26469"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/curepossession.com\/wp-json\/wp\/v2\/media\/25795"}],"wp:attachment":[{"href":"https:\/\/curepossession.com\/wp-json\/wp\/v2\/media?parent=25794"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/curepossession.com\/wp-json\/wp\/v2\/categories?post=25794"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/curepossession.com\/wp-json\/wp\/v2\/tags?post=25794"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}\n
![\"Detroit](\"https:\/\/curepossession.com\/wp-content\/uploads\/2023\/02\/REPO2023_post_HDR223-300x165.jpg\")
<\/a>Quick shameless plug here, but risk management, driver training, case law and more have always been cornerstones of the RSIG<\/a><\/strong><\/span> program and are all center stage at REPO2023<\/a><\/strong><\/span>, hosted by RSIG<\/a><\/strong><\/span> and Allied Finance Adjusters<\/span><\/a><\/strong> in Detroit this June.\u00a0 Registration is open<\/span><\/a><\/strong> and discounted registration fees are still in effect!<\/span><\/p>\n![\"\"](\"https:\/\/curepossession.com\/wp-content\/uploads\/2018\/12\/RSIG_larg_bnnr_1024x239-1024x239.jpg\")
<\/a><\/p>\nRepo Industry Facing a Perfect Storm of Insurability – Recovery Specialist Insurance Group<\/a> – <\/span>RSIG – Repossess<\/a> \u2013 Repossession<\/a> \u2013 Repossession Agency<\/span><\/a><\/span><\/a><\/span><\/h2>\n","protected":false},"excerpt":{"rendered":"