We conducted an informal survey among several brokers and managing general agents to get their feelings about the condition of the marketplace in 1998. Specialty brokers are planning to take advantage of their role in the marketplace by identifying areas of the market that have the least amount of competition. One general agent plans to focus more on providing insurance products to small and rural agents who are unable to maintain contracts with standard markets. Another example is the managing general agent that is looking for new insurance products that the standard market is still unsure about writing. It is also important to keep the general agent's customers aware of their need to keep the more difficult business out of their standard markets to protect their contingencies.
Adequate capacity is available from specialty carriers.
Lines that are still difficult to place include transportation risks, large energy accounts, particularly those with marine exposure, habitational property, products liability, seacoast property. Classes that often are most frequently submitted to our MGA correspondents are logging and transportation risks, pawn shops, day care centers and restaurant risks. Another MGA sees a number of risks in the professional liability and pollution exposure areas. Large corporate downsizing has caused a number of new entrepreneur accounts to emerge. The bulk of the managing general agents sees the same business of general liability, distressed property, such as vacant buildings, habitational risks and bars and restaurants.