US asbestos losses almost “fully funded”

Unfunded environmental liabilities totalled $22bn at the end of last year, while outstanding asbestos costs were just $3bn

Despite facing ultimate incurred asbestos losses of around $65bn, the US property/casualty industry’s exposure to these losses is inching toward levels that could be considered fully funded, according to rating agency AM Best. However, in a special report, the agency warned that many individual companies are likely to continue incurring charges for years. Overall trends, however, have been positive, the agency added.