Lloyd’s CEO Sees Prices Rising 30% After BP Oil Spill
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Lloyd’s of London Chief Executive Officer Richard Ward said insurance coverage for offshore oil rigs in the Gulf of Mexico will rise between 15 percent and 30 percent after BP Plc’s Deepwater Horizon spill.
“Prices will have to go up in the Gulf of Mexico,” Ward, 53, said in a Bloomberg Television interview today. “We’ve seen very low prices for covering these offshore installations over many, many years. People recognize that the risks they were pricing a while ago were underpriced and they need to restore pricing levels.”