We start another year facing an oversupply of capacity, leading to rating decreases and widening of terms and conditions. The response most often heard is simply to continue calls for underwriting discipline. Yet I believe, in the face of a cycle that shows no sign of turning, the answer lies not in addressing oversupply but in the potential the huge unmet demand for insurance offers. This demand comes from the developing world’s chronic underinsurance and exposure to some of the most devastating natural catastrophe risks. In a recent report1 Swiss Re estimated while 73% of the losses from the 2012 ...