Bernard Devereese, RSA's Specialist Senior Hull Underwriter, provides insight.
The marine insurance sector stands at a pivotal juncture, grappling with both evolving risks and structural shifts within the market. As a retired Lloyd’s underwriter now working with RSA, I’ve had the opportunity to reflect on the trajectory of this industry from both traditional and contemporary vantage points.
The impact of MGAs
One of the most pressing challenges today is the growing influence of Managing General Agents (MGAs). While they serve a valid role in expanding access and flexibility, some MGAs are driving fierce price competition, often putting commercial priorities ahead of long-term underwriting quality.
This downward pressure not only raises concerns about the sustainability of the market but also affects risk pricing, creating challenges for carriers focused on consistency and technical discipline.
We’re in it for the long haul
At RSA, we’ve weathered centuries of industry evolution - over 300 years, in fact. Our longevity is rooted in a steadfast commitment to improving our claims operation, balanced underwriting and creating strong broker relationships. Some major clients have been with us for decades, demonstrating the strengths of our offering.
Marine underwriting is not merely a numbers game - it’s about understanding the intricacies of trade, vessels, and the people behind them. That’s why direct dialogue with shipowners and fostering trust with brokers remain core to how we do business. These relationships anchor us when the tides of market behaviour, like today’s overcapacity, pose a threat to long-term performance.
Risk profiles
External pressures are also reshaping risk profiles. Climate change is redefining global trading routes, port exposures, and seasonal risk patterns. Criminal cyber capabilities are also an increasing threat, as are geopolitical issues and conflict. The implications for marine insurers are profound, requiring more dynamic modelling and flexible coverage structures.
At the same time, technology is rapidly advancing. Artificial Intelligence holds great promise in enhancing underwriting precision, detecting trends, and improving operational efficiency. However, it must be paired with human judgment, particularly in an industry where data gaps and emerging risks remain significant.
Looking ahead, the current soft market conditions driven by overcapacity are unlikely to last. In my view, the marine sector is due for a cyclical correction within the next three years. As rates adjust and capital tightens, we could see job reductions across the industry, especially in segments that have prioritised volume over value.
The challenge for underwriters and insurers alike will be to remain disciplined, forward-looking, and committed to underwriting integrity. For those who do, like RSA, the future remains full of opportunity - even in the face of mounting complexity.
Why choose RSA for Marine Insurance?
Choosing the right insurance partner is more critical than ever in today’s volatile marine environment. RSA stands apart for a number of reasons - reasons rooted not only in our past, but in how we prepare for the future. With a significant marine underwriting heritage, we bring unparalleled historical insight combined with modern-day agility. Our marine division is supported by a deeply experienced team that understands both technical risk and the operational realities shipowners face every day.
One of the things that we're most proud of at RSA is our claims capability. In marine, when things go wrong, they tend to go wrong fast. Clients need an insurer who can act decisively. Our claims teams are responsive, well-resourced, and globally connected. We work closely with brokers and clients to resolve claims efficiently and fairly, minimising downtime and protecting reputations by aiming to resolve claims as quickly as possible .
Equally, our underwriting approach is rooted in consistency and pragmatism. We don’t chase market trends or compete solely on price - we build enduring relationships based on trust, transparency, and technical excellence. We engage directly with vessel owners and operators to gain a deeper understanding of their needs, and we empower brokers with tools and support that go beyond the transaction.
Finally, we are investing heavily in the future, through data analytics, digital tools, specialist recruitment, and the thoughtful integration of AI into our processes. While the market continues to evolve, our focus remains constant: delivering long-term value to clients and partners by combining the best of tradition with the best of what’s next.
In an increasingly unpredictable marine insurance landscape, RSA offers something enduring: a stable hand, a trusted voice, and a partner who knows how to navigate through change.
