Cargo Insurance research 2018–2022, compiled by Marketresearchpro Inc, examines products and their scope, with a focus on macroeconomic issues, influential factors, key market trends and the drivers that affect cargo insurance currently and are likely to have significant bearing four years into the future.
Twenty-five major cargo insurance providers are listed, with the information on each further classified into marine, land and aviation consumer sectors, with breakdowns of market applications, as well as comparisons on market share and revenue, and value chain and distributor details.
The regions covered include North America, Europe, the Middle East and Africa, Central and South America and the Asia Pacific including Australia, China, India, Japan, South Korea, Indonesia, Malaysia, the Philippines, Thailand and Vietnam.
The research findings are targeted to business strategists and industry executives looking for value drivers that may provide a competitive advantage. Gallagher marine, which includes hull and cargo along with all other marine classes of insurance, is an extremely well established specialism, both globally and in Australia.
The Gallagher perspective
Marine insurance is a niche area that requires specialist knowledge, but it is also a growing segment where brokers continue to be relevant, says Gallagher National Head of Marine, Stephen Rudman.
"How the industry handles emerging risks will have a direct impact on its viability and continued success."
The global marine insurance market is estimated to grow to US$39.75 billion, at a compound annual growth rate of 2.57% during the period 2017–2021, according to a report from TechNavio, a leading technology research and advisory company based in London.
These projections highlight the continued importance of the Australian marine insurance sector. According to Australian Industry Standards
- the industry added $4.85 billion to the Australian economy in 2016
- 10% of the world’s trade will pass through Australia’s ports
- 99% of all Australian international trade is carried by sea, meaning 30% of Australian GDP is dependent on international shipping
- nearly 29,000 ships visit Australian ports each year - some of which make more than 25,000 trips in total.
The tide is rising
Following one of the longest soft markets in memory, the marine insurance market is hardening across both hull and cargo lines, as a result of natural disasters, trade wars and previously competitive premiums, Rudman (pictured) says.
"Internationally we are now seeing and experiencing a reduction in appetite and capacity in the maritime insurance markets."
He adds that in these conditions specialist brokers can add considerable value. "Brokers need to assess risks, adopt standard clauses and devise special boutique clauses to customise a policy for a specific client's needs, and know the best market to place the risk in.
"Specialists with experience behind them can make all the difference in obtaining cover from a market that is becoming more restrictive. We are able to utilise our relationships with underwriters both at home and abroad to source the most appropriate cover for our clients.
"Ultimately, clients are looking for a trusted relationship with expertise they can rely on."
Want to know more about marine risks?
Gallagher has released a report entitled The 5 most challenging emerging risks facing the Australian maritime industry. Download the report below.