Category:

Reinsurance

Covid-19 Pandemic:US life insurance claims may touch $7.2 bn

The estimate includes costs for policyholders between the ages of 56 and 74, which are projected to reach as much as a combined $4.1 billion for individual and group plans, the researcher said in a study released Thursday. Life insurers are in good shape and should be able to manage surging costs, according to the report’s author, Samantha Chow.

Individual policies would account for 81% of claims, while group plans such as those offered by employers would make up the rest, the Aite study found. Insurers’ main challenge will be how to handle claims as economic hardship spreads, Chow said.

“The biggest issue is going to be that these beneficiaries that are calling after losing a loved one who might have passed as a result of Covid-19 — they’ve incurred a lot of health-care costs,” she said. “They might need the money really quickly in order to survive.”

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Top insurers face lawsuit from UK hospitality sector on rejected biz interruption claims

Any successful claim will hinge partly on whether the lockdown triggers a clause in business interruption policies designed for insured premises that cannot be used because of restrictions imposed by a public authority, experts say.

The Financial Conduct Authority (FCA) said earlier this month that most insurance policies bought by smaller British companies do not cover the coronavirus-related disruption, but that those that do should pay out quickly.

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BSE puts in place penalty structure for non-submission of cyber security report

Non-submission of the report after three months will attract disablement of trading terminals across segments after giving two weeks’ notice, the exchange said.

BSE, further, said “disablement notice issued to the member would be shared with all the exchanges for information” and member will be enabled only after submission of the report.

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Willis Towers Watson launches customised cyber cover for shipowners

The new product addresses the growing need for an explicit marine cyber solution, built from the ground up to specifically address ship-operators’ exposures, rather than trying to use pre-existing generic cyber products amended marginally to fit marine exposures.  Shipowners are increasingly reliant on technology for all aspects of their operations and their unique risks associated with this dependency can lead to significant financial damage. 

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Aon to cut salaries of most employees, suspends stock buybacks

Gregory Case, chief executive officer; Christa Davies, chief financial officer; Eric Andersen, president; John Bruno, chief operating officer, and Tony Goland, the company’s chief innovation officer, have agreed to a temporary 50% reduction in their base salary from May 1, 2020 through December 31, 2020, or until another date is determined by the company, according to a filing with the Securities and Exchange Commission.

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GIC RE improves its Brazilian status from ‘Occasional Reinsurer’ to ‘Admitted Reinsurer’

Devesh Srivastava, CMD, GIC Re, said “The upgrade to the new status was published in Brazilian Official Gazette, on April 14, 2020, through an ordinance by SUSEP. The license will allow the company to expand its presence and do more reinsurance business in Brazil. It is valid for an indefinite period.However, the admitted reinsurer is mandated to submit annual documents to SUSEP. The Americas have been a territory where the footprint of GIC Re has traditionally been weak and this will present us with good opportunities to harness more business and forge relationships in the area.”

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