April 21, 2017
Energy sources have confirmed that policies written for wind assets in the Gulf of Mexico are largely flat at renewals.
This is down to underwriters standing their ground on any reductions as a tough market continues to affect the sector. 2016 witnessed double digit reductions in the UK and the US but both markets have said that anything in the $350mn-premium market will renew flat this year.
Shelf and shallow water assets were highlighted as an area where no movement was likely. Deep water assets were able to negotiate reductions of between 5% and 7% due to the lack of storm damage these assets were subject to last year.
The Gulf of Mexico renewals are a key date in the energy markets calendar with around $7bn worth of insurance being purchased.