2024 Property Insurance Outlook: A Market in Transition

Jan 18, 2024

There’s no denying it. The property insurance marketplace is in unprecedented times — and has been for a while. Over the last few years, we’ve experienced what the industry terms a “hard market,” and there are a number of reasons for this, including a surge in natural disasters, inflation, rising reinsurance rates, outdated property values, and supply-chain disruptions. Policyholders, particularly those in catastrophe-prone areas, have felt the crunch from rising premiums and experienced difficulties securing adequate coverage. With 2023 behind us and 2024 just beginning, it seems we’re reaching an inflection point and moving from a hard market to a “transition market.” 

Moving from a Hard Market to a Transitional Market

Although only a crystal ball could tell us how exactly this will play out in the year ahead, Jencap EVP of National Accounts Property, Ben Beazley, explains that in a transitional insurance market, all bets are off. For the savvy insurance agent, this presents a great deal of opportunity for their business and their clients. “Change is afoot,” says Beazley. “At the end of 2023, the team at Jencap saw some renewals actually priced downward — which is something we haven’t seen in the past four years!”

While incumbent markets have been pushing increase after increase since 2017, the final quarter of 2023 saw new markets entering the scene and undercutting renewal pricing. Beazley explains that there could be a number of reasons for that, like end-of-year profit-taking and attempts by these new markets to meet budgets. However, these surprising pricing drops prompt a lot of questions about what 2024 might hold. 

For Beazley, this all points to a move toward a transitional market, which he views as one of the toughest types of environments, due to how dramatic the market shifts can be. “Renewal markets are likely to have guidelines they are required to adhere to with respect to rate requirements including reductions,” says Beazley. “New markets to a risk are likely to have more latitude in terms they can offer to be commercially beneficial to insureds”

A Transitional Market Means Opportunity for Brokers 

Amid hard property market conditions over the past few years, policyholders have typically had to take whatever they could get, and often the only carrier willing to offer a quote has been the incumbent. According to Beazley, that might change in 2024. This creates a lot of opportunity for the retail agent willing to rise to a new challenge. 

“As we move into the year ahead, it’s imperative that insurance brokers not be complacent. They need to make sure, when they are marketing accounts, that they get the accounts out to the full marketplace. They’ll need to diligently work all angles and not just rely on the incumbent carrier for a quote.”

While this transitional market will offer retailers an opportunity to secure better terms and rates for their clients, Beazley warns that it can also put them at risk of losing business. “If retailers aren’t careful and aren’t advocating strongly for their clients, there will be competing retailers who are. In a transitional market, another retail agent can more easily step in and say they offer something better at a more competitive price.”

Retail agents will need to seek out new markets to restructure deals for their clients — which is where partnering with a robust wholesaler like Jencap will be critical. Jencap’s broad market access and strong carrier relationships make it possible to reach markets agents may not be able to access on their own. 

More to Watch in 2024

Historically, catastrophe-exposed properties have always faced greater challenges with securing coverage, and in the past several years, we’ve seen an uptick in climate-driven extreme weather. As climate risks and the frequency and severity of storms climbed, so did property losses. Naturally, insurance premiums rose and capacity shrunk in response. However, this past year brought some relief, notes Beazley. “The 2023 losses haven’t been quite as high as they were in previous years, from a CAT standpoint.” 

While there will always be challenges insuring properties for certain perils — Florida windstorms, Tier 1 windstorms in coastal areas, and wildfires, for example — the insurance industry continues to develop new innovations and advances that will benefit policyholders and the agents who represent them. “Even with wildfires,” says Beazley, “we’re seeing tremendous solutions. Companies are coming in with parametric solutions and new capacity. Any time you see new capacity coming into the market, it’s going to churn up the waters and provide opportunity.”

Jencap, Your Go-To Wholesaler in 2024

In the midst of recent hard-market conditions, Jencap consistently stands head and shoulders above the competition, brokering deals that others just can’t. “At Jencap,” says Beazley, “we’ve continued to build a great team on a strong foundation. During the difficult times in 2023, our deep bench of talent was able to work together and still provide solutions for our clients.” We’re excited to work alongside both existing and new retail agent partners and their insureds to navigate whatever ups and downs 2024 may bring.

By working alongside a wholesaler like Jencap, retailers will be positioned to take advantage of all the opportunities the transitional property market has to offer while trusting they have expert brokers guiding them through any unforeseen challenges. Whether you work with personal or commercial line clients, the unmatched talent of Jencap’s property team makes it possible to offer high-quality insurance products and creative solutions for even the most complex property risks and exposures. Contact us today to speak with one of our experts.

The Jencap Property Insurance Team

The Jencap Property Insurance Team

Jencap’s property teams have extensive experience with all manner of occupancies and have unparalleled specialization in designing, implementing, and servicing complex property insurance and reinsurance programs. Our team welcomes the challenges presented by CAT-exposed properties, vacant buildings, offensive claims history, new ventures, and everything in between!
climate risks | insurance agents | insurance industry | insurance products | property insurance market | Property insurance outlook | target market | transitional insurance market



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The property market has been plagued in recent years with ever-shrinking capacity and rising premiums. Now, more than ever, it’s vital to partner with a strong, national wholesaler who puts its size and reputation to work for you and your clients. By working with Jencap, you’re able to leverage the collective experience and industry expertise of an entire team. We’ll arm you with unparalleled market access, as well as the industry insights needed to navigate this challenging environment. No matter the risk, your clients can trust that with Jencap, they’ll be in the strongest position possible at the negotiating table.

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