Arch Capital said its fourth-quarter results will be hit by catastrophe losses in the range of $155m to $165m across its P&C insurance and reinsurance books. The Bermudan (re)insurer said Hurricanes Delta and Zeta in Q4 and higher estimates for nat cats booked to Q3 accounted for the loss estimate. Arch Capital said the estimate includes exposure to Covid-19 claims,…
Sompo International has partnered with UK insurtech company Flock, which provides data-based insurance solutions for commercial drone operators, to support the future of unmanned aviation by providing cover for drone cargoes, flying taxi passenger flights and drone swarm shows. It also paves the way to combine Sompo’s aviation underwriting expertise with Flock’s risk algorithms to provide insurance solutions for further…
A US federal district court in Cleveland has refused to dismiss Covid-19 business interruption (BI) coverage litigation filed by a restaurant chain against Zurich Insurance, holding that its policy language was ambiguous, and a “microorganism” exclusion was inapplicable. As first reported in Business Insurance, Henderson Road Restaurant Systems – which operates restaurants in Ohio, Pennsylvania, Michigan, Indiana and Florida –…
The recent judgment on Covid-19-related business interruption (BI) insurance by the UK’s Supreme Court will affect policies and laws well beyond the UK, and means policyholders from various jurisdictions are more likely to get claims paid, according to legal experts. The 15 January UK Supreme Court judgment found in favour of policyholders that had been denied cover for Covid-19-related BI…
Regulatory fines for data breaches under the GDPR increased 39% in Europe during the past year to €158.5m, according to new research from law firm DLA Piper. The company said regulators “tested their powers” under the GDPR in 2020 after a slow start during the regulation’s first 20 months when fines totalled €114m. Total fines levied since the GDPR was…
Losses from US storms could increase by about 20% by 2050 as more hurricanes make landfall, with storm surge losses modelled to increase by at least a third and potentially almost double, according to new research from AIR-backed Axis Capital Holdings. The research, which was also conducted with the Brookings Institute, finds that increased losses could be even higher for…
Sedgwick is combining its Norwegian and Swedish operations to create a new regional hub in Scandinavia, which the firm said will support growth in the region. The new hub will begin operation in February. Sedgwick said it will provide “consistent and expanded” services to clients across the entire region, giving Scandinavian and international clients a central point of contact. Sedgwick…
Liberty Specialty Markets (LSM) has launched new terrorism insurance cover for SME German corporate buyers. LSM entered the German war and terrorism market in 2018 and has since used standard London market cover for German risks. The new policy is, however, specifically tailored for the German SME sector and compares with standard terrorism cover in the market, known as Allgemeine…
Axis Capital Holdings said Covid-19 claims will cost a further $125m in Q4 and have been impacted by last week’s UK BI ruling, with total catastrophe and weather-related losses for the period to range between $195m and $205m. Axis’s Covid-19 losses come on top of $235m worth of pandemic claims booked in the first quarter of last year. The additional…
The Supreme Court’s ruling on Covid-19 business interruption (BI) claims is a credit negative for UK (re)insurers and will broadly lead to additional losses, but the financial impact should be manageable for insurers net of reinsurance protection, said Moody’s Investors Service. Moody’s added that the clarity provided by the judgment will end “damaging” disputes between insurers and their clients. The…