Europe on terror alert as lockdown lifts, says Pool Re

Europe on terror alert as lockdown lifts, says Pool Re

Europe on terror alert as lockdown lifts, says Pool Re

The UK’s terrorism threat level sits at substantial, where an attack is likely, said Pool Re in its first update since the terror attack in Reading last month. The reinsurer also warned that attacks may have been shelved during the Covid-19 pandemic but as restrictions are lifted, there could be an increase in the risk of terrorism incidents. “The frequency…

CNA Hardy pauses Covid-19 non-damage BI claims until FCA test case resolved

CNA Hardy pauses Covid-19 non-damage BI claims until FCA test case resolved

CNA Hardy pauses Covid-19 non-damage BI claims until FCA test case resolved

CNA Hardy has told policyholders with Covid-19 business interruption (BI) claims that it will await the decision in the Financial Conduct Authority’s (FCA) test case and put their claims on hold until the outcome is known. Although the insurer is not part of the FCA’s test case, which is seeking clarity from the High Court on non-damage BI policies or…

Hiscox’s variable consortium covers challenging US general liability risks

Hiscox’s variable consortium covers challenging US general liability risks

Hiscox’s variable consortium covers challenging US general liability risks

A new variable consortium is providing cover for a wide range of challenging general liability risks in the US such as wildfire, trucking and construction. The consortium has been launched by Hiscox together with RKH Reinsurance Brokers, and has a maximum line of more than $20m. According to Hiscox, the variable consortium enables it to bind capacity on behalf of…

Chubb books $1.4bn Covid-19 loss

Chubb books $1.4bn Covid-19 loss

Chubb books $1.4bn Covid-19 loss

Covid-19 claims will cost Chubb $1.37bn in the second quarter of 2020, with total cat losses for the period nearer $1.81bn. Chubb said the bulk of Covid-19 losses at $605bn were from entertainment and commercial business interruption policies, as well as accident and health products including travel insurance. A further $553m of its Covid-19 losses is booked to liability products,…

Australia’s bushfires cost industry A$1.9bn, says PERILS

Australia’s bushfires cost industry A$1.9bn, says PERILS

Australia’s bushfires cost industry A$1.9bn, says PERILS

Bushfires that broke out in Australia during the summer months at the end of 2019 and into 2020 will cost insurers A$1.86bn, according to estimates from PERILS, which has raised the loss from an earlier estimate of A$1.57bn. Australia’s ‘Black Summer’ bushfires caused 34 deaths and burned 18.6m hectares of land, peaking around the turn of the year. New South…

FCA rejects insurers’ defences in BI test case

FCA rejects insurers’ defences in BI test case

FCA rejects insurers’ defences in BI test case

UK regulator the Financial Conduct Authority (FCA) has rejected the defences of eight insurers for not paying claims on business interruption (BI) policies for Covid-19 losses. In the latest development in the High Court test case brought by the regulator, the FCA said the defences fail to account for the true nature of the insurance sold to buyers, often small…

Aviation rates harden but industry profits hang in the balance for 2020, says Gallagher

Aviation rates harden but industry profits hang in the balance for 2020, says Gallagher

Aviation rates harden but industry profits hang in the balance for 2020, says Gallagher

Covid-19 could act as a catalyst for future rate increases in aviation insurance and accelerate the upwards trend already in play, according to a market briefing from Gallagher. Aviation rate increases are expected to continue into 2021, the broker said, and pressure on capacity will strengthen insurers’ resolve. The aviation insurance bottom line, however, hangs in the balance. “It is…

Industry refutes claims that conflicts of interest are behind Covid-19 disputes

Industry refutes claims that conflicts of interest are behind Covid-19 disputes

Industry refutes claims that conflicts of interest are behind Covid-19 disputes

Buyer and broker representative bodies have hit back at claims that conflicts of interest are to blame for the growing number of disputed business interruption (BI) claims arising from the coronavirus pandemic. Insurance claims consultant Mactavish argues that legal disputes over Covid-19 BI claims have raised questions around the role of the broker as an adviser to insureds and potential…

Sompo Global Risk Solutions launches new Europe team

Sompo Global Risk Solutions launches new Europe team

Sompo Global Risk Solutions launches new Europe team

Bermuda-based Sompo International subsidiary Sompo Global Risk Solutions (GRS) has formed a new team to serve the European market through retail brokers. Sompo GRS Europe will be based in London and will offer commercial property, primary and excess casualty, and environmental coverage, as well as parametric natural catastrophe products. Sompo GRS said its Europe move builds on Sompo International’s existing…

Worsening underwriting results for US commercial auto sector

Worsening underwriting results for US commercial auto sector

Worsening underwriting results for US commercial auto sector

The US commercial automobile insurance sector has reported the worst underwriting loss in ten years, according to AM Best. The underwriting loss grew to $4.0bn in 2019, with a combined ratio of 109.4%. Best said the loss was a continuation of a decade-long trend of worsening underwriting results, and the commercial automobile insurance line of business has not generated a…