Munich Re adds €1.1bn of Covid-19 losses

Munich Re adds €1.1bn of Covid-19 losses

Munich Re adds €1.1bn of Covid-19 losses

Munich Re said its reinsurance operation will face €3.4bn of Covid-19 losses this year, up from €2.3bn for the first nine months, and has revised its group profit forecast for 2020 to €1.2bn, down from €2.7bn last year. The majority of Munich Re’s Covid-19 reinsurance losses this year, at more than €3bn, were booked to Munich Re’s P&C account. It…

Germany’s credit insurance backstop close to extension says GDV

Germany’s credit insurance backstop close to extension says GDV

Germany’s credit insurance backstop close to extension says GDV

German’s insurance association GDV said it is close to reaching an agreement with its government to extend the Covid-19 credit insurance backstop for a further six months, according to a report by Reuters. The scheme, which launched in April to protect supply chains during the pandemic, provided up to €30bn in guarantees for commercial insurers. It was due to expire…

Mahnke urges government to step up efforts on credit and pandemic schemes

Mahnke urges government to step up efforts on credit and pandemic schemes

Mahnke urges government to step up efforts on credit and pandemic schemes

The German risk and insurance management association GVNW has repeated its recent call for federal government and the German insurance association (GDV) to step up efforts to extend the state-backed credit insurance scheme, which was created to protect supply chains during the Covid-19 crisis, beyond the end of this year. During his annual speech to the association’s general assembly this…

Leading trade credit insurers face higher claims but remain resilient, says Moody’s

Leading trade credit insurers face higher claims but remain resilient, says Moody’s

Leading trade credit insurers face higher claims but remain resilient, says Moody’s

Moody’s Investors Service has said the three leading trade credit insurers will remain resilient in 2020, despite a coronavirus-related drop in revenue and rise in claims. The ratings agency said that Atradius, Coface and Euler Hermes have been helped by wide economic stimulus from governments as well as direct support, but will face higher claims in the months ahead as…

AIG suffers $790m Q3 cat loss and plans to split the group

AIG suffers $790m Q3 cat loss and plans to split the group

AIG suffers $790m Q3 cat loss and plans to split the group

AIG said it will spin off its life and retirement business from P&C operations, as it estimated catastrophe losses of $790m in the third quarter of 2020 net of reinsurance, including a $185m Covid-19 hit. The pandemic loss adds to an estimated $730m of Covid-19 losses in the first half of the year. AIG said that during the quarter to…

Czech insolvency levels set to rise at year-end as relief measures expire, warns Atradius

Czech insolvency levels set to rise at year-end as relief measures expire, warns Atradius

Czech insolvency levels set to rise at year-end as relief measures expire, warns Atradius

Corporate insolvency is expected to surge in the Czech Republic towards the end of this year as pandemic relief measures put in place by the government expire, warns credit insurer Atradius in a new country trading report. The report explains that an amendment to the country’s solvency law to halt insolvency proceedings and relieve the pressure of Covid-19 on businesses…

Extending state support for credit cover ‘imperative’, says GVNW

Extending state support for credit cover ‘imperative’, says GVNW

Extending state support for credit cover ‘imperative’, says GVNW

The German risk and insurance management association GVNW and the Federal Association of German Insurance Brokers (BDVM) have asked their government for a “rapid” extension of the state-backed credit insurance protective shield that is due to expire at the end of this year. The protective shield was introduced in April as German companies faced up to a sudden loss of…

AMRAE reports extremely tough market for French buyers and warns of ‘bitter’ renewals

AMRAE reports extremely tough market for French buyers and warns of ‘bitter’ renewals

AMRAE reports extremely tough market for French buyers and warns of ‘bitter’ renewals

A new AMRAE report finds that the French insurance market is now hard pretty much across the board and warns of “rising tensions” as we enter what it predicts will be a “bitter” renewal season. A graphic included in the association’s annual State of the Market provides a worrying illustration of how gloomy the picture looks right now for French buyers. The graphic’s…

China and India to account for bulk of 2020 global recession

China and India to account for bulk of 2020 global recession

China and India to account for bulk of 2020 global recession

China and India will account for almost all of the very poor economic outlook in 2020, according to the latest analysis from the Institute of International Finance (IIF). The institute now predicts that the Covid-19 shock will create a global recession of -3.8% in 2020, which is substantially worse than the -0.4% contraction caused by the 2009 global financial crisis.…