Non-life profits increase but firm reinsurance market to continue, says Fitch

Non-life profits increase but firm reinsurance market to continue, says Fitch

Non-life profits increase but firm reinsurance market to continue, says Fitch

Fitch Ratings said it expects the firm reinsurance market will continue through the January 2020 renewals period, despite below-average catastrophe losses in the first half of 2019 having boosted non-life reinsurers’ underwriting profitability. Fitch added that reinsurers will retain more capital in the near term on the back of more favourable pricing. Fitch’s universe of 16 monitored reinsurers posted in…

Leveraging AI to improve the customer experience

Leveraging AI to improve the customer experience

Leveraging AI to improve the customer experience

Technology is continually improving the customer experience in the insurance industry. One area that has been a problem, not just for the insurance industry but for the broader financial sector, is unstructured data, and in particular, text documents and emails with attachments. Automation has struggled with unstructured data, but now artificial intelligence (AI) is being used in pilot projects in…

Insurance Europe responds to IAIS on systemic insurance risk

Insurance Europe responds to IAIS on systemic insurance risk

Insurance Europe responds to IAIS on systemic insurance risk

Insurance Europe has published its response to a consultation by the International Association of Insurance Supervisors (IAIS) on systemic risk, pointing out that conventional insurance is not systemically risky. It adds that systemic risk “can only originate from a very limited number of activities undertaken on a large scale in the wrong conditions”. As a result, a greater focus by…

Reinsurance pricing for California wildfires could be up 70% in 2020 renewals: S&P

Reinsurance pricing for California wildfires could be up 70% in 2020 renewals: S&P

Reinsurance pricing for California wildfires could be up 70% in 2020 renewals: S&P

Re/insurers were surprised by the California wildfires of 2017-2018 because the losses were outside market understanding of the risk and affected both property and casualty lines, according to Standard & Poor’s Global Ratings. The firm said reinsurance pricing for the risk could therefore rise by as much as 70% going into 2020 renewals. The ratings agency said that insured losses…

CICA taskforce to help women advance in captive industry

CICA taskforce to help women advance in captive industry

CICA taskforce to help women advance in captive industry

The Captive Insurance Companies Association (CICA) has launched a new initiative to support women in the captive industry and close the gender gap at senior levels. The new initiative, Amplify Women, comprises a new taskforce focused on connecting women with opportunities for education, networking and influence in the captive insurance industry. “Creating a group to help women advance their captive…

New US construction group captive programme from Artex

New US construction group captive programme from Artex

New US construction group captive programme from Artex

Alternative risk management solutions firm Artex has launched a new group captive programme, which has been designed specifically for construction companies within the US. According to Artex, Construction Risk Containment Insurance Company (CRCIC) provides an alternative risk transfer solution for construction companies that are typically viewed as higher hazard in the industry. CRCIC is domiciled in Grand Cayman and offers…

HSBC Bank (UK) Pension Scheme in £7bn longevity swap

HSBC Bank (UK) Pension Scheme in £7bn longevity swap

HSBC Bank (UK) Pension Scheme in £7bn longevity swap

A longevity swap has been announced involving the HSBC Bank (UK) Pension Scheme and Prudential Insurance Company of America (PICA). According to Aon, which advised HSBC in Bermuda on the deal, the £7bn longevity swap is the second-largest-ever deal of its type. The deal uses a captive solution with a HSBC-owned insurer in Bermuda, with PICA then reinsuring the transaction,…

Cyber: A threat without borders

Cyber: A threat without borders

Cyber: A threat without borders

Most cyber attacks are multinational and show little regard for borders. As a result, cyber risk transfer is ideally suited to a multinational programme, explains Mark Camillo, head of cyber, AIG. The WannaCry ransomware attack was unprecedented in its scale when it spread around the world in 2017. It is estimated that around 200,000 computers were infected across 150 countries,…

Global insurance M&As at highest level since 2015, says Clyde & Co

Global insurance M&As at highest level since 2015, says Clyde & Co

Global insurance M&As at highest level since 2015, says Clyde & Co

Global insurance industry mergers and acquisitions (M&A) have increased by 13% in the first half of 2019, the highest level since 2015, according to Clyde & Co’s Insurance Growth Report mid-year update. The first half of 2019 saw 222 completed deals worldwide, up from 196 in the second half of 2018, the biggest increase in the volume of transactions since…