While the commercial property and casualty industry continues to search for signs of a hardening market, several countervailing economic factors are combining to slow any positive development. The deepening recession will continue to reduce premiums in lines based on payroll and sales revenues while generating increased losses in many lines sensitive to the economic downturn.

Carriers that want to emerge stronger from this tough environment must improve underwriting discipline and process efficiency in a cost-effective fashion.

Unfortunately, it is not easy in commercial insurance to reduce underwriting costs while maintaining underwriting control. This is partly because, unlike personal lines, most commercial insurance is still written manually and with minimum use of advanced technology.