Directors and officers of companies that suffer losses or even bankruptcy as a result of coronavirus are likely to face legal assaults from creditors on the basis of inadequate disclosure of risks and failure to react adequately during the crisis, warned Julia Zhu, associate in the finance practice at Brattle Group. “There may be causes of actions against a company’s…
The World Bank has advised national governments not to react to the rise of coronavirus (Covid-19) and its devastating impact on the global economy too hastily by raising protectionist barriers and particularly by restricting the export of badly needed food and medical products. Now is the time for the nations of the world to pull together to combat the virus…
Risk managers should stress test their insurance programmes to see how coverage may be triggered for losses caused by coronavirus (Covid-19), according to Franck Baron, group deputy director, risk management and insurance at International SOS, and chairman of the Pan-Asia Risk & Insurance Management Association (Parima). Key lines that may be triggered by the impact of the virus include business…
The Insurance Council of Australia (ICA), the body that represents the Australian insurance industry, has accused leading consumer group CHOICE of causing “unnecessary and unjustified fear” among householders about the validity of their household insurance coverage, in relation to the bushfires that have devastated the country in recent months. CHOICE has not accused the insurers of dodging claims yet. But…
Cyber coverage is being extended across Asia-Pacific and big investment is being made in raising awareness of the risk by authorities across the region, but risk and insurance managers still seem unwilling to recognise the need for the cover, according to Franck Baron, chairman of the Pan-Asia Risk Management and Insurance Association (Parima) and group general manager – risk management…
New approaches led by insurers to tackle the threat of silent cyber risks will boost the cyber insurance market, according to Fitch Ratings. Recent actions by three major carriers on the growing and unquantified threat of silent cyber risk “will likely shape market direction”, the ratings agency said. “A more active approach by insurers to write affirmative coverage or more…
A new syndicate is to launch at Lloyd’s for 2020 after several unprofitable syndicates have withdrawn for the new year of account. Victor Syndicate 2288 will begin underwriting with capacity of £57m, backed by Marsh-owned US managing general agency Victor Insurance Holdings, which has appointed third-party managing agency Asta to oversee the syndicate. Victor Insurance said the new syndicate will…
Swiss Re will sell its closed life subsidiary ReAssure Group to Phoenix Group for a cash payment of £1.2bn plus shares worth about £2bn in Phoenix. Swiss Re said the sale of ReAssure has been a goal of the firm. Swiss Re will take a seat on the board of directors at Phoenix. Swiss Re said the deal values ReAssure…
The global property and casualty (P&C) industry has retained its stable outlook for 2020, despite increasing claims costs and low investment returns pressuring profits, according to ratings agency Moody’s. Economic growth, though slowing down, coupled with solid levels of capitalisation and “constructive” pricing trends have driven the stable outlook, Moody’s said. The top five markets by premium – the US,…
Risk managers must work with HR and benefits professionals to address the growing threat of people risk within organisations, according to risk management body Airmic. In a new guide to managing people risk, published with Arthur D Little, Willis Towers Watson and Zurich, Airmic says people-related risks for organisations have created “unprecedented volatility”. It says new and integrated approaches are…