Prices rise but not as far as expected

A series of airline catastrophes, including the disappearance and downing of the two Malaysia Airlines aircraft, means insurers are set to endure the costliest year for aviation claims since 2001. While airlines have seen an increase in premiums and rates during this renewal season, it has not been as high as brokers had expected. Reports suggest that aviation insurers have struggled to increase prices by much more than 10% in response to the fatal crashes in 2014. Moreover, despite the concern that policies would be tightened in relation to war risk and terrorist attacks, there are signs that cover is