The outlook for the European insurance sector is stable, according to Standard & Poor's. The ratings agency's new report indicates healthy balance sheets and generally decent profitability.
'Industry Report Card: European Insurance' details S&P's analysis of the major European insurers. Hans Wright, S&P credit analyst, said: “An ability to demonstrate that this situation is sustainable is likely to lead to more positive outlooks and upgrades across the sector during 2006."
The report also indicates improved capitalisation and recovery in investment markets. It highlights the difficulties faced by catastrophe risk managers in the wake of hurricanes Rita, Wilma and Katrina.
