Industry Analysis & Industry Trends
With strong reliance on the construction market, this industry faced steep declines in the five years to 2013, particularly during the recession. However, as the construction market continues to recover from its recessionary lows, and employment in the United States continues to rise, the Contractors' Insurance industry will grow in the five years to 2018. The industry's technological change and innovation will continue to remain low, despite the implementation of some online services.... purchase to read more
Industry Report - Starting a New Business Chapter
New entrants must have significant financial backing to be able to price premiums at or near market rates. Insurers have the ability to reduce premiums as their number of policies increase given that the overall level of risk of the portfolio decreases. New entrants do not have this scale and, therefore, can find it challenging to compete with established players.
Further, a new entrant must apply for a Certificate of Authority to supply insurance products if they are to begin operating as an insurer. This certificate must be obtained not only for the state of domicile but also any other state in which the insurer wishes to conduct business. In addition, the insurer must submit reports regularly and comply with set standards for minimum capital and solvency requirements... purchase to read more