What term describes market conditions with intense insurer competition, lower premiums, and decreased insurer profitability?

The term that describes market conditions characterized by intense competition among insurers, lower premiums, and decreased profitability for insurance companies is referred to as a "soft market." In a soft market environment, insurers are often willing to offer lower prices or more favorable terms to attract clients due to heightened competition. This typically results in lower premiums for consumers and may lead to reduced revenue for insurers, as they prioritize market share over profitability.

In contrast, a "hard market" features higher premiums, reduced availability of coverage, and generally less competition due to stricter underwriting and an overall increase in claims. A "stable market" suggests a level of consistency in pricing and underwriting practices without the extremes of competition or profitability concerns. The term "competitive market" is more general and does not specifically describe the conditions of lowering prices or profitability associated with a soft market.