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U.S. insurance trade

Author

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  • Iskandar Hamwi
  • Timothy Hudson
  • Farhang Niroomand

Abstract

The U.S. has had significant trade deficits in insurance for several years. This paper examines the reasons for such big annual deficits. A large home market, a low reinsurance capacity, and the conservative attitude of U.S. insurers toward foreign markets are identified as the primary contributors to such deficits. The paper also addresses the issue of how U.S. insurers can improve their international competitive position. By expanding their operations abroad, particularly in Mexico and Latin America, and by actively participating in the fast-growing Asian markets, American insurers have their greatest chance to accomplish that objective. Copyright International Atlantic Economic Society 1998

Suggested Citation

  • Iskandar Hamwi & Timothy Hudson & Farhang Niroomand, 1998. "U.S. insurance trade," International Advances in Economic Research, Springer;International Atlantic Economic Society, vol. 4(1), pages 48-55, February.
    • Handle: RePEc:kap:iaecre:v:4:y:1998:i:1:p:48-55:10.1007/bf02295235
    DOI: 10.1007/BF02295235
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