Abstract
This chapter, “U.S. Insurance Market in Response to COVID-19,” explores the impact of the coronavirus pandemic on the U.S. insurance sector and offers a critical review of the responsive measures suggested by the market players and regulation authorities in order to establish well-balanced insurance systems that could protect businesses from future pandemics and restore confidence in the stability of the American economy. The study is focused on business interruption and cyber insurance segments bearing significant losses due to the nationwide economic shutdown of millions of businesses simultaneously and the prodigious increase in remote working. On conducting quantitative and quantitative analyses and applying web search volume data, it is revealed that private underwriters do not have the infrastructure and capacity to withstand the volume of the incurred and potential insurance losses and demand for proper government support. In-depth studies of the initiatives elaborated by insurers, legislators, and supervision authorities illustrate that the probability of adopting federal-backed insurance programs highly depends on the cost-effectiveness of the project for the government as well as enough political pressure to move the issue to the forefront of public consciousness.
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Nebolsina, E.V. (2021). U.S. Insurance Market in Response to COVID-19. In: Osipov, V.S. (eds) Post-COVID Economic Revival, Volume I. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-030-83561-3_14
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