John Neal Neal, after six years in Lloyd's as a CEO, will play an...
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“Acquisitions in India remain an option if a compelling opportunity arises aligning with our long-term vision”
Laurent Rousseau, CEO of Europe, IMEA and Global Capital Solutions,...
Powerful Tibet earthquake near Nepal kills at least 96
The quake hit at 9:05 a.m. (0105 GMT), with its epicentre located...
Arctic headache for ship insurers as routes open up
As climate change opens new sea routes, experienced polar captains like Whatley are coveted for Arctic voyages that can save money on the run between Europe and Asia. But as activity in the Arctic’s waters picks up, insurance companies are grappling with a fundamental question: If something goes wrong, who pays?
So far, it’s unclear that the cost of a major accident would be completely covered by insurance. Damages from a ship spilling oil, hitting an iceberg or becoming marooned can run into the hundreds of millions of dollars.
Epidemic & Pandemic insurance contracts less ambiguous in Asia:Peak Re CEO
“Specifically, when you look at COVID-19, this part of the world is going through its fifth epidemic this century, and this century is only 20 years old. There are much less problems on the wordings side in respect of pandemics in Asia,” Franz-Josef Hahn, chief executive officer, Peak Re said.
Looking ahead to January 1, 2021 renewals,Hahn highlighted that the period represents a chance for reinsurers to “correct pricing” – a move he believes necessary for the development of a “sustainable” marketplace. Otherwise, [the marketplace] is not going to go any further and no capacity will be provided any longer,” .
Insurance costs too steep? Try writing your own
“For many, insurance has become or is becoming more expensive, so people are turning to captives,” said Rodney Bonnard, insurance leader for EY UK Financial Services.
“We are seeing a massive uptick.Seventy-six new captives were formed this year globally, a 200% year-on-year growth, according to insurance broker Marsh. That level of growth is “unprecedented”, Michael Serricchio of Marsh Captive Solutions told a recent webinar.
Swiss Re raises $ 775 mn Cat bond for California Earthquake Authority, to protect Californians against earthquakes
“Swiss Re’s mission as a company is to make the world more resilient. We’re delighted to partner with CEA which has been helping to protect Californians from the financial consequences of earthquakes for almost 25 years,“ said Jonathan Isherwood, Swiss Re’s CEO Reinsurance Americas and Regional President.
“Only around 13% of Californians who purchase residential insurance also have earthquake protection. It’s not a matter of if, but when, the next one strikes. This transaction supports CEA’s ability to extend financial protection to a greater number of California residents who are highly exposed to earthquakes.“
Lloyd’s Approves Syndicate-in-a-Box, Picnic Syndicate 2460, to cover Mutuals
Picnic will commence underwriting on Jan. 1, 2021 and would initially provide re/insurance support to the innovative mutuals that Picnic’s parent, Picnic Labs, forms and develops in Australia and New Zealand.
Less carbon, more electric vehicles: automakers prepare for potential Biden win
Trump’s and Biden’s policies for autos and transportation diverge, presenting automakers with very different sets of risks and rewards.
f elected, Biden is expected to quickly reinstate the legal basis for California’s zero-emission vehicle rules and begin the process of reversing the Trump administration’s decision to ease fuel efficiency and carbon emission requirements through 2025.
Automakers could also face sharply higher penalties for failing to meet fuel-efficiency requirements. The Trump administration rolled back those penalties, which the industry said saved at least $1 billion in annual compliance costs, but a federal appeals court in August reversed the administration action.
Further rate hardening expected,cyber insurance market to surpass $ 7bn in 2020:Munich Re
Recent experiences following the lockdown of public life and the business world in many countries have been a wake-up call regarding the staggering potential for systemic risks to result in losses that subsequently trigger many different repercussions. Yet it is by definition impossible to insure risks that lead to losses everywhere at the same time, thus violating the fundamental criterion of insurability, said Munich Re.
Interest rates have dropped to record lows once again in 2020. Against the backdrop of the coronavirus crisis, it is increasingly likely that the current interest-rate environment will continue to affect low-risk investments for the foreseeable future. These circumstances mean that sustained profits, in long-tail business and elsewhere, will only be possible if prices match the assumed risks, explained Munich Re..
Berkshire Hathaway to pay $4.14 million to settle Iran sanctions violations claims
Berkshire voluntarily reported the apparent violations in May 2016 after receiving an anonymous tip, replaced employees who were involved, and upgraded compliance procedures for its foreign subsidiaries, OFAC said.
Insures should partner banks to issue Surety Bonds:IRDAI Panel
Instead of Insurance industry handling alone, a mechanism is required wherein the banking sector and the insurance sector could collaborate for sharing of customer information since banks have more experience in managing these types of risks, suggested the panel..
To start with performance bonds / surety bonds can be issued limited to the projects of NHAIs only and not for all the contractors. The rate should be determined by a market agreement, suggested the panel
Hurricane Delta to cost insurers between $2bn – $3.5bn:RMS
“The overlapping nature of Delta and Laura will create a complicated claims management and loss attribution process for the industry. Using an innovative combination of high-resolution aerial imagery and machine-learning techniques, the modeling teams at RMS assessed the competing impacts of Hurricane Laura on Hurricane Delta losses. We determined that more than half of the impacted postal codes were also impacted by Laura, representing more than 90% of loss in this event. While Delta caused higher than expected damage to many structures due to pre-existing damage from Laura, reduced overall exposure-at-risk in the overlapping region after Laura means losses attributed to Delta will end up being lower than if Laura had never happened,” said Jeff Waters, senior product manager, RMS North Atlantic Hurricane Models.