Policyholders and insurers being made to pay for economic crisis experts warn

Policyholders and insurers being made to pay for economic crisis experts warn

Policyholders and insurers being made to pay for economic crisis experts warn

Insurers, and ultimately policyholders, are being made to pay the price for the financial crisis and resultant state bailouts, according to experts at Swiss Re’s Nordic Risk & Insurance Summit (NORIS). The low interest rate environment now needed to help soften the blow for borrowers will reduce the investment income of insurers and force the industry to raise prices in order to compensate for low investment returns, they warned.

Insurers must avoid investment traps of Solvency II says Swiss Re’s Hess

Insurers must avoid investment traps of Solvency II says Swiss Re’s Hess

Insurers must avoid investment traps of Solvency II says Swiss Re’s Hess

Swiss Re’s Chief Economist, Thomas Hess, has warned that the insurance industry is in danger of being forced into investing in low-risk low-yield investments by Solvency II and in particular government bonds. This will result in a lack of investment income for insurers that will ultimately hit their bottom line and likely lead to increased premiums for buyers, he added.

Stability in Nordic region as high capacity cancels out losses

Stability in Nordic region as high capacity cancels out losses

Stability in Nordic region as high capacity cancels out losses

The Nordic region suffered rising losses last year as both bad weather and a series of industrial fire losses hit local insurers’ numbers. But reinsurance capacity remains plentiful and even rising and so buyers of both primary and reinsurance coverage enjoyed a stable year end at worst and the outlook remains calm.

1 13 14 15