Liability severity: what verdict data tells us

A small number of large awards can reshape the expected loss cost of an entire liability book. The effect is most visible where policy limits, attachment points, and jurisdictional exposure have not changed with the claims environment.

Global RE reviews verdict trends alongside cedant claims files to understand whether recent severity is isolated, emerging, or already embedded in pricing.

Loss triangles alone rarely explain why severity changed. Strong submissions describe venue shifts, plaintiff strategy, defence posture, settlement authority, and any changes in underwriting selection.

Where the narrative is credible, a reinsurer can distinguish adverse development from a portfolio that has already been remediated.

Clear exclusions, disciplined limits deployment, subcontractor controls, and claims escalation procedures all support a better view of liability risk.

Attachment levels should reflect the time it takes for severity trends to emerge, not only the loss experience visible at renewal.