Nationwide to Take Actions to Limit Risk in Personal, Commercial Portfolios
Add Nationwide to a growing list of insurers making changes to deal with losses in some areas of the country.
In a June 12 “business actions update” Nationwide announced moves “to mitigate risk and manage the personal and commercial lines portfolios in the current environment.”
“Strong headwinds brought on by the economic environment, catastrophe weather events, and the impact of inflation continue to impact the entire insurance industry,” according to the statement from the insurer, which did not specify lines of business or regions affected by the actions.
When reached for additional comment, a Nationwide spokesperson said the changes vary by state and product, and agents are encouraged to visit the company’s Agent Center to find out more about the pre-quote documentation it is requiring for new personal lines business starting June 14. Agents were also asked to contact territory sales managers for details regarding changes to small- and middle-market commercial lines business.
Recently State Farm, Allstate, AIG, and Farmers have made moves to reduce risk within their books of business in states such as California, Florida, and Louisiana. AIG is set to limit new policies in other states as well, Bloomberg reported.
David Sampson, president and chief executive officer of the American Property Casualty Insurance Association, recently said the insurance industry is at an “inflection point,” and called for more mitigation and resiliency as well as regulatory flexibility and litigation reform.