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Reinsurance

Poor public risk management led to higher Covid-19 Pandemic losses and P&C market exposure:Denis Kessler 

Denis Kessler, chairman and chief executive officer of SCOR said that this is the biggest surprise of the crisis because it’s the opposite of what, broadly speaking, had been anticipated and modelled for pandemic risk. While the industry was certainly not unaware of pandemic threat, it failed to accurately anticipate the lines it would impact most severely

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There would be significant cyber losses in the next 10 years: Mumenthaler

`There are certain tail risks that are too big, in my view, for the insurance industry to carry. We can carry a certain amount of risk, and we are active in the market, but I think the capacity will run out within the next three years.The shadow of cyber risk still looms large, with bad actors or rogue states capable of launching damaging cyber attacks that could even result in human losses, given our dependence on technology. It’s not a random event. It’s perpetuated by people and on the aggregation side it’s a real challenge,” he explained…

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Singapore’s Dy PM launches Global Asia Insurance Partnership,to incubate new risk financing solutions for emerging risks in Asia

“Through GAIP, we aim to produce actionable research insights, develop policy recommendations, There are many structural protection gaps facing Asia, but pandemic risk and climate risk are two critical areas that demand our immediate and collective attention,.” Heng Swee Keat Deputy Prime Minister, Coordinating Minister for Economic Policies and Minister for Finance,Singapore, said adding that GAIP is expected to commence work in January next year.

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Super typhoon Goni slams into Philippines, 1 million evacuated

Manila’s main airport was ordered shut down for 24 hours from Sunday to Monday and airlines canceled dozens of international and domestic flights. The military and national police, along with the coast guard and firefighters, have been put on full alert.

About 1,000 Covid-19 patients were moved to hospitals and hotels from tent quarantine and treatment centers in the capital and the northern province of Bulacan, Jalad said. More emergency shelters would be opened than usual to avoid congestion that can rapidly spark infections.

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GIC Re expects a price rise of 10-15 % in Jan 1 renewals, to implement Lloyd’s best practices:Srivastava

“We don’t have Business Interruption(BI) claims in India because of the lockdown in the country as General Insurance Council(GI Council),the official representetive body of the Indian resurers and general insurers, with the advise of the Indian insurnace regulator IRDAI has clarified that no BI claims are admissible, without physical damages, because of Covid-19 Pandemic.We have some BI exposures in the overseas markets like Europe and we are waiting for clarity to make payments. But we have already provided for it and it is unlikely to put pressure on our balancesheeet,” said Devesh Srivastava, Chairman-cum-Managing Director in an exclusive interview with Asia Insurance Post.
`GIC Re is in favour of participation of other global reinsurers in the Indian “Pandemic Pool’’he said

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Insurers have to collect BI policy premiums for 150 years to make up for COVID-19 global losses:Geneva Association  

Among the report’s, prepared by the Geneva Association, main findings are that, encouragingly, health and life risks for a pandemic resembling COVID-19 pose no fundamental insurability challenges.

However P&C insurers have nowhere near the capacity needed to shoulder projected global output losses of more than USD 4 trillion for 2020. By comparison, they collect USD 1.6 trillion in annual premiums, with just USD 30 billion for business interruption policies.

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Lloyd’s insurer Apollo to stop underwriting Adani coal mine from Sept. 2021

“We participate in one construction liability policy in respect of Adani Carmichael…this particular policy terminates in September 2021 after which we will no longer provide any insurance cover for this project,” chair of Apollo Syndicate Management Julian Cusack said in the memo.

“We have recently declined to participate in an additional policy relating to the port and rail extension and have agreed that we will not participate in any further insurance policies for risks associated with this project.”

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“SIRC 2020 Re-Mind”:Mumenthaler and Kessler to address the virtual event, Global-Asia Insurance Partnership to be launched

Deputy Prime Minister, Coordinating Minister for Economic Policies and Minister for Finance, Heng Swee Keat will announce the launch of the Global-Asia Insurance Partnership (GAIP), a new global centre of excellence in risk management in Singapore that is a tripartite partnership amongst regulators, academia and industry

Singapore’s Nanyang Technological University will be the research institution partner under the GAIP, to work on studies about the future development and needs of the insurance sector. 
All insurance/reinsurance industry practitioners and media can register for the virtual event free of cost at https://sirc.6connex.com/event/SIRC2020REMIND/login

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Peak Re raises $250 million of capital, to boost reinsurance capacity

Commenting on the transaction, Franz Josef Hahn, Chief Executive Officer of Peak Re, said, “The transaction marks a significant milestone for Peak Re. The Securities will enable the company to diversify its capital structure, and bring additional capacity to the reinsurance market from international investors. Our business has shown resilience to the current pandemic, and with the hardening of the reinsurance market, the new capital will enable Peak Re to capture the growth opportunity ahead.”

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