On September 12th, E&S carriers and intermediaries from around the country world will convene for the Wholesales & Specialty Insurance Association’s annual convention. For over 30 years, AM Best has published their annual state of the surplus lines market report in the lead up to the convention.

The full report is attached, but here are some key takeaways:

• Broker consolidation remains a major component of the wholesale space, with the large E&S brokers continuing to gain scale.

• For the first time ever in 2021, E&S writings eclipsed 20% of overall commercial P&C writings, which means that the E&S channel is providing more solutions to our retail partners than ever before, as illustrated below.

• While the total admitted & non-admitted P&C market grew by 9.5% in 2021, the non-admitted market grew by 25%.

• Primary headwinds facing carriers are inflation, nuclear verdicts, natural catastrophes, and ransomware attacks – all of which drive up claims costs.

• For anyone with team members or direct reports that are newer to the industry, pages 42-45 of the attached report is a great introduction to the surplus lines market geared towards newer participants in the industry.

Download Full Report Below

2022 AM Best Report.pdf

Download PDF • 1.85MB