IMIA INDEX SURVEY 2019
October 2019
Stephan Lämmle
Images: GettyImages
Agenda
Introduction to the IMIA Engineering Index Survey
Presentation of the IMIA Engineering Index 2019 Survey Results
Presentation of the IMIA Engineering Index Survey Comparison
Presentation of the Expectation vs. Actual Analyis
Presentation of the new IIS tool
Next steps
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4
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2
1
6
The IMIA Engineering Index Survey - Objective
3IMIA – The International Association of Engineering Insurers
1. Index concept introduced in 2014
2. Index announced in IMIA Conference Doha 2016
3. Index Pilot Case conducted in 2016
Various revisions followed in EC meetings since
4. Index Survey 2017 sent out on July 6th, 2017
Result presented at 50th anniversary IMIA conference in
Munich for the first time. Various interviews and articles
5. Index Survey 2018 sent out on May 10th, 2018
Result presented at IMIA conference in Singapore
6. Index Survey 2019 sent out on 4th June, 2019
Friendly reminder sent out on 30th July 2019
Result presented at IMIA conference in Vienna
History
Source: IMIA
The IMIA Engineering Index Survey – Compliance
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Result Sheet from IMIA Secretary Compilation of Result Sheets
FLASHBACK
The IMIA Engineering Index Survey 2019 – KPI‘s
1. Index Survey sent out on June 4th, 2019 vs. May 10th 2018
2. Survey Return Ratio: 34% (45% in 2018, 30% in 2017)
3. Respondent company profiles:
▪ Size [$US ]: 5 Mio to > 100 Mio
▪ Position: Few Follow, Mostly Lead
▪ Territorial Scope: National to Global
4. Standard deviations:
< 2010 34 – 47% (avg. 40%) (16 – 80% (avg. 39%))
2010 ff 12 – 28% (avg. 18%) (14 – 30% (avg. 19%))
9IMIA – The International Association of Engineering Insurers
38%
31%
6%
25%
< 5 Mio
5 Mio to 20 Mio
20 Mio to 50Mio
50 Mio to 100Mio
25%
6%69%
Follower
Leader
More Follow
More Lead
25%
31%13%
31%
National
Regional
Continental
Global
Email dtd. 4/6/2019
▪ Largest NatCat and man-
made losses in recent years
▪ All segments stabilising at
approx. 60% of highest level
▪ Slight rate increase
observable in Operational
Energy (O&G and Power)
▪ Strong variation in range of
responses from „2019 far
lower than 2015“ to „2019
considerably higher than
2015“
IMIA Engineering Index Survey - Analysis Result 2019
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Rate Level Index 2019 (2010 = 100)
2012 HU Sandy
2011 EQ / Tsunami Fukushima2001 WTC
2005 HU Katrina & Wilma
2008 HU Ike
2004 EQ / Tsunami Sri Lanka, Indonesia
2017 HIMM
2018 Ituango
IMIA Engineering Index Survey - Analysis Result 2019
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Rate Level Index (2010 = 100)
Pro
jects
Opera
tional
IMIA Index Development
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Comparison 2017 and 2018
50%
60%
70%
80%
90%
100%
110%
120%
130%
140%
150%
160%
2002 2010 2015 today
4.1 Project Business (Construction / Erection) 4.1.1 Civil / Infrastructure "Building"
4.1.2 Civil / Infrastructure "Road" 4.1.3 Erection / Power Plant
4.2 Operational Business incl. Machinery Breakdown 4.2.1 Oil&Gas Industry
4.2.2 Power Plant 4.2.3 Heavy Industries
50%
60%
70%
80%
90%
100%
110%
120%
130%
140%
150%
160%
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
4.1 Project Business (Construction / Erection) 4.1.1 Civil / Infrastructure "Building"
4.1.2 Civil / Infrastructure "Road" 4.1.3 Erection / Power Plant
4.2 Operational Business incl. Machinery Breakdown 4.2.1 Oil&Gas Industry
4.2.2 Power Plant 4.2.3 Heavy Industries
2017 2018
FLASHBACK
50%
60%
70%
80%
90%
100%
110%
120%
130%
140%
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
4.1 Project Business (Construction / Erection) 4.1.1 Civil / Infrastructure "Building"
4.1.2 Civil / Infrastructure "Road" 4.1.3 Erection / Power Plant
4.2 Operational Business incl. Machinery Breakdown 4.2.1 Oil&Gas Industry
4.2.2 Power Plant 4.2.3 Heavy Industries
IMIA Index Development
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Comparison 2018 and 2019
2018 2019
IMIA Index Development
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Comparison Expectation 2017 and Actuals 2018
50%
60%
70%
80%
90%
100%
110%
120%
130%
140%
150%
160%
2002 2010 2015 today 2018 2020
4.1 Project Business (Construction / Erection) 4.1.1 Civil / Infrastructure "Building"
4.1.2 Civil / Infrastructure "Road" 4.1.3 Erection / Power Plant
4.2 Operational Business incl. Machinery Breakdown 4.2.1 Oil&Gas Industry
4.2.2 Power Plant 4.2.3 Heavy Industries
2018
50%
60%
70%
80%
90%
100%
110%
120%
130%
140%
150%
160%
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
4.1 Project Business (Construction / Erection) 4.1.1 Civil / Infrastructure "Building"
4.1.2 Civil / Infrastructure "Road" 4.1.3 Erection / Power Plant
4.2 Operational Business incl. Machinery Breakdown 4.2.1 Oil&Gas Industry
4.2.2 Power Plant 4.2.3 Heavy Industries
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2017 2018
FLASHBACK
2018
IMIA Index Development
16IMIA – The International Association of Engineering Insurers
Comparison Expectation 2019 and Actuals 2019
2019
▪ Expectation higher than
actuals, except for buildings
and roads
▪ Widest E/A gaps in „Energy“
sectors
▪ Steepest drops against 2015 in
civil construction
▪ All LoB below 2015 values
IMIA Index Development
50%
55%
60%
65%
70%
75%
80%
85%
90%
4.1.1 Civil /Infrastructure
"Building"
4.1.2 Civil /Infrastructure
"Road"
4.1.3 Erection /Power Plant
4.2.1 Oil&GasIndustry
4.2.2 PowerPlant
4.2.3 HeavyIndustries
Rate Level Index 2018 (2010 = 100%), Comparison Prognosis, Actual and Level 2015
Prognosis 2018 in 2017 Actual 2018 Actual 2015
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Comparison Expectation 2017 and Actuals 2018
FLASHBACK
Pro
jetc
sO
PS
▪ For all segments actuals 2019
were higher than expectations
in 2018
▪ Widest E/A gaps in Civils –
Building, Ops – Oil&Gas and
Ops – Heavy Industries
▪ Generally approximating 2015
values
IMIA Index Development
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Comparison Expectation 2018 and Actuals 2019
▪ Enter own „Result
Sheet“ Data in Yellow
Box
▪ Allows for immediate
self-assessment of own
figures against market
figures
▪ Splits automatically into
individual Lines of
Business
▪ Excel Tool will be
available on IMIA web-
site after conference
IMIA Index self-comparison tool (IIS)
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Source: Fotosearch
FLASHBACK
Next steps
1. Collect feedback
2. Repeat survey
3. Motivate for a large number of participations
4. Widen segment analysis
5. Display results on IMIA members area
6. (Collect survey data via web-page)
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Objectives for 2019
☺
☺
1. Repeat survey
2. Motivate for a large
number of
participations
Objectives for 2020
Thank you for your attention and …
21IMIA – The International Association of Engineering Insurers
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