Directors and officers insurance rates will start to “bottom out” for legacy firms and public companies that did not go public in the last three years, according to one D&O insurance analyst.
Mike Tomasulo, senior managing partner and national management liability practice leader at BRP Group, said that older firms aren’t likely to get similar rate reductions again this year.
But firms that were in recent initial public offerings might still have room for their rates to lower, reports Insurance Business.
“We’re seeing (the rate decreases) start to level off,” Tomasulo said. “I do not think we’ve seen the bottom, or do I think we’re going see the bottom in 2023 for companies that have gone public in the last year or two, because their ceiling is so much higher than a lot of their counterparts that have been public (for some time).” Read more.
