GVNW and Airmic have warned that the hardening insurance market will be a long-term, seismic shift, after recent membership surveys revealed big changes in the price, scope and availability of cover. The surveys also showed widespread dissatisfaction in the way insurers and brokers are handling the changing conditions, with the associations keen to let the market know it could lose…
Airmic and GVNW have told CRE they will be a keeping a very close eye on insurers to make sure early signs of changing claims behaviour in the hardening market do not become a problem for members. As the two associations released membership surveys that suggest the hardening insurance market will be a long-term, seismic shift, and revealed widespread dissatisfaction…
Directors and officers (D&O) insurance rates are expected to continue to rise, according to AM Best, which believes insurers will remain under pressure for the next three to five years, resulting in a firming market and tighter terms and conditions. The ratings agency said the sector has been characterised by inadequate pricing and widening risk exposures brought on from social…
Moody’s says that recent high-profile moves by leading European insurers and reinsurers to pull back from underwriting and investing in the fossil fuel sector, notably coal, is a positive step for creditworthiness. Allianz, AXA, Swiss Re, Munich Re and Zurich have all made pubic commitments to pull away from the fossil fuel sector. This is in response to rising concern…
The Self-Insurance Institute of America (SIIA) has defended captives in light of the US Internal Revenue Service’s (IRS) ongoing clampdown on ‘micro-captives’. Earlier this month, the IRS said it was to significantly increase enforcement activity and “vigorously pursue” those involved in micro-captives. The IRS issued IR 2020-26 announcing the results of a global settlement initiative offered last year to just…
The International Association of Insurance Supervisors (IAIS) has called the development of Insurance Capital Standard (ICS) Version 2.0, which has begun its five-year monitoring period, a major step forward to the ultimate goal of a single global capital standard for internationally active insurance groups (IAIGs). IAIS secretary general Jonathan Dixon said the ultimate goal is a single ICS that includes…
Aon has named Eric Andersen president, as the broker steps up execution of its Aon United blueprint for growth. Michael O’Connor, who worked alongside Mr Andersen as co-president of Aon since May 2018, has decided to leave the firm after 12 years. Aon has also appointed John Bruno as chief operating officer, where he will lead Aon Business Services in…
European and US insurers are likely to comfortably deal with claims from the current coronavirus outbreak, according to S&P. However, it warned that given China’s importance in a “just-in-time world”, contingent business interruption claims could arise anywhere across the globe. But the ratings agency said any claims will fall within the range of capital buffers at insurers and reinsurers in…
Aon said it is now clear that risk managers are heading towards a hard commercial insurance market in Europe following a decisive break in the last quarter of 2019, and warned there will be at least two years of rate increases before any stabilisation. Aon’s global chief broking officer, Hugo Wegbrans, said the firm’s Navigating a Changing Insurance Market report last…
Bermuda has been removed from the European Union’s (EU) so-called tax ‘grey list’ and returned to the ‘white list’ of fully cooperative tax jurisdictions. Bermuda was placed on the grey list in May last year, having been put on the list of non-cooperative tax jurisdictions earlier in 2019. The EU had some concerns over collective investment funds but the Bermuda…