July 2021 Outlook and Insights

Looking ahead

• Employer’s medical insurance premiums will likely increase in 2022 and 2023 to recover 2020 medical claim costs relating to COVID-19, which averaged approximately $1,000 per employee
• Many employees are resisting giving back the additional time they picked up not commuting five days a week. Some say they’ll change jobs if their bosses don’t offer the flexibility to work remotely. Projections suggest 25-30% of US employees will work remotely two or more days a week by year-end.
• Cybersecurity insurance premiums appear to be increasing more than 100% compared to last year

Looking back

• The median existing-home sales price has increased a record 24% compared to this time last year
• A May 2021 WSJ article, “Issuance of bundles of risky loans jumps to 16-year high” by Sebastian Pellejero, provides insight into the growing Collateralized Debt Obligation (CLOs) market https://www.wsj.com/articles/issuance-of-bundles-of-risky-loans-jumps-to-16-year-high-11621849782

Resources, recommendations, and reminders

• “I need you to buy some gift cards.” Maybe you have received a fake message like this from a friend or even your boss. You delete it, but is that enough? To protect yourself, check out the "10 Ways to Prevent Cyber Attacks" article (https://leaf-it.com/10-ways-prevent-cyber-attacks/)
• Can Endless Spending Prevent Economic Calamity? “The Age of Magic Money” article (https://www.foreignaffairs.com/articles/united-states/2020-05-29/pandemic-financial-crisis) by Sebastian Mallaby discusses the latest worldwide economic policy, “don’t tax – just spend”

About Westfield Bank?

Westfield Bank has grown to $2 billion in assets and serves 25,000 customers throughout the NEO regional metro area comprised of Cuyahoga, Mansfield, Medina, Stark, Summit, and Wayne counties in addition to providing insurance premium financing, loan, and deposit services to independent insurance agencies and RIAs across the US.

Westfield Bank's vision and strategies are built on a “mobile-first” platform providing real-time, secure, cloud-based, comprehensive digital loan, deposit, and payment capabilities.

Westfield Bank, a 2020 recipient of two awards for best places to work, is the 9th largest of 171 community banks headquartered in Ohio.

The information contained herein is provided for informational purposes only, and should not be construed as advice on any subject matter. You should not act or refrain from acting on the basis of any content herein without seeking other professional advice. Any statistics contained herein have been obtained from sources deemed reliable, but the accuracy or completeness of the information cannot be guaranteed and is expressly disclaimed. The information herein is information of general nature, and may or may not address your situation. As such, the author and Westfield Bank disclaim all liability for actions you take or fail to take based on this information.?

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