The excess and surplus (E&S) insurance market has enjoyed seven years of strong growth, and industry leaders expect this momentum to continue. Mike Miller, president and CEO of Pivix Specialty Insurance Services, shared his insight on what’s driving this expansion and what challenges lie ahead.
Miller, who previously led Scottsdale Insurance, sees the growth as rooted in lasting market factors rather than short-term trends. He points out that risks needing more flexible coverage, which standard insurers often can’t offer, keep driving demand for E&S solutions. “This market has consistently grown for 20 years because it meets needs others can’t,” Miller said.
Founded in 2024, Miller’s company Pivix operates as a managing general agent (MGA) focusing on wholesale distribution. He highlighted three main forces shaping the market’s future: the overall economy, new risks emerging from areas like artificial intelligence, and the strength of wholesale brokers. A strong economy helps, especially for new businesses seeking insurance, but Miller notes demand can also rise in slower times since insurance is crucial for business activity.
On the topic of new risks, Miller says the E&S market is especially well suited to adapt quickly. “We don’t yet know exactly what AI-related risks will look like, but they’re coming,” he said. Wholesale brokers play a key role, acting as trusted middlemen for handling unusual or challenging risks that retail agents often cannot place directly. Pivix relies heavily on these relationships, which Miller says are essential to their success.
However, challenges remain. Miller points to the difficulty of attracting and keeping young talent in the industry. He views building a diverse and skilled workforce as a top priority. Efficiency is equally important — quick decisions and controlling costs help make coverage more affordable and accessible.
Despite these hurdles, Miller is optimistic about the E&S market’s outlook. His MGA recently launched a casualty program offering general liability coverage to sectors like contractors, real estate, hospitality, and manufacturing. Miller expects 2025 to maintain near double-digit growth, driven by steady demand and the sector’s flexibility.
Summing up his view, Miller said the key to continuing success lies in adapting to new risks, supporting wholesale partners, and fostering the next generation of talent. “Whether the economy is hot or slow, the need for E&S won’t go away,” he said. The market’s ability to adjust quickly and efficiently ensures it remains a vital piece of the insurance world.