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OLD REPUBLIC INTERNATIONAL CORP. /Chicago, Illinois Moon, Stars Back In Line With Recent Price Surge.(A)
Byline: Steve Watkins
After hitting the skids in the mid- and late-1990s, prices are finally on the rebound in the property and casualty insurance sector.
It couldn't have happened at a better time for Old Republic International Corp.
Not only does the firm write a lot of insurance in that area, it also does plenty of mortgage guaranty and title insurance. Low interest rates are giving the latter two sectors a shot in the arm.
"The moon and the stars are lining up well for us now," said Chief ExecutiveA.C. Zucaro.
Indeed. For property and casualty insurers, pricing has been in the dumper for several years. That's great for customers, but bad for insurers.
Heated competition led to irrationally low prices, according to some industry watchers. Old Republic's core commercial lines -- trucking, oil and gas, forestry -- were harder hit than consumer lines.
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