Making the case for Trump: no agenda, less regulation, an understanding of risk

An online poll of Intelligent Insurer’s readers has indicated that only 35 percent felt Donald Trump, the newly elected US President, would have been the best choice for the global re/insurance industry.

The poll, conducted in the 24 hours in the run up to the election result in the US, showed that, in contrast, 63 percent felt Hillary Clinton would be good for the industry; 4 percent wanted neither candidate.

Looking at the reasons given by the 35 percent who backed Donald Trump, it seems many feel he has less of an agenda than Clinton, can boost the US economy and, critically for the re/insurance industry perhaps, is less likely to increase regulation.

“He is less oriented towards additional regulatory control,” one said. Another suggested: “I anticipate reduced government intervention and less federal oversight of financial services industry.”

Many also felt he would be pro-business in a more general sense, which would both benefit US re/insurers directly and potentially kick-start the US economy. “Trump would facilitate greater economic growth through tax cuts for corporations and individuals and reduce regulatory burdens,” one respondent said.

Another added: “He wants the US open for business with less regulation – and if the economy grows our industry grows.”

A couple of respondents also pointed to concerns over Clinton’s understanding of the re/insurance industry. One said she “demonstrated her lack of knowledge of insurance when she said she would lower deductibles and lower premiums. She has no vision that makes sense.”

Another highlighted her historical stance of foreign reinsurers. “Clinton has demonstrated a propensity to attack reinsurance industry with her historical negative stance (rhetoric) on foreign reinsurers accusing them of hiding assets offshore.

“Trump, through his own large scale construction operations clearly intrinsically understands the basic commercial necessity of risk transfer and the global nature of spreading and laying off risk.”