Insurance news

• Goldman Sachs throws weight behind AIG

  08-08-2016 22:32
  Goldman Sachs has added AIG to its "Americas conviction
  list" following a "strong" set of second quarter
  results from the insurance giant.
  The investment bank said that the insurer's performance
  "added another leg" to its thesis that the carrier will
  see further improvement, attaching a high degree of certainty to
  its forecast by adding it to the select list of companies.
  AIG announced a $1.1bn operating profit last week and in a
  research note today, Goldman Sachs said the "wedge...
  
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• US reinsurance pricing finds floor as commercial rates soften

  08-08-2016 18:40
  There was good news for reinsurers this month as management
  commentary during the Q2 earnings season indicated reinsurance
  rates are bottoming out.
  During the June and July renewals, carriers started to push back
  on demands for further pricing decreases, particularly in property
  catastrophe business.
  "We appear to be reaching a bottom in many
  classes of business," said Greg Hendrick, CEO of reinsurance
  at XL Catlin. "During the quarter, rates for the segment were
  down approximately 3 percent. Ou
  
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• O'Farrell to head new Arch run-off vehicle

  08-08-2016 18:40
  Recently departed Chubb chief reinsurance officer Bill
  O'Farrell is working with Arch to establish a new run-off
  carrier, The Insurance Insider can
  reveal.
  According to sources, O'Farrell has re-emerged at the
  Bermudian (re)insurer just days after Chubb announced he was
  leaving his position to pursue other opportunities.
  The launch of the new legacy reinsurance vehicle is
  not imminent, but sources said that O'Farrell has been brought
  in to execute a project that already has a mature business pla
  
  Read more

• London ILS hub timeline stretched

  08-08-2016 18:40
  Plans to publish draft regulations for a UK insurance-linked
  securities (ILS) regulatory framework have been pushed back,
  The Insurance Insider has learned.
  The UK Treasury originally provided details on the planned
  framework in March and all feedback on the proposals was received
  by 29 April.
  Draft regulations were expected to be published in time for the
  government's Autumn Statement, but sources have told this
  publication this date is now likely to be missed.
  Sources gave a number of potentia
  
  Read more

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• Future of Lloyd's Names under the spotlight

  08-08-2016 18:40
  A report examining the restrictions on private capital entering
  Lloyd's has come up with a series of alternative structures in
  a bid to encourage more money into the marketplace, as it tries to
  augment the contribution made by Names.Following a survey conducted by the Association of Lloyd's
  Members, a broad-ranging report on the future of private
  capital at Lloyd's was authored by ReSolution Underwriting
  chairman Christopher Harman and Deloitte partner Ian Clark. It was
  co-commissioned by member
  
  Read more

• Evidence of AIG turnaround brings investor cheer

  08-08-2016 18:40
  There were encouraging signs for investors buying into the
  American International Group (AIG) turnaround story last week as
  the carrier reported progress in the underlying performance of its
  core commercial insurance P&C division.
  When the insurer unveiled a strategic plan aimed at
  restoring its fortunes in January this year, it set clear targets
  to improve the unit's loss and expense ratios, which had been
  weighing heavily on its profitability.
  And although the division fell to an underwrit
  
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• D&O rates down sharply despite class action spike

  08-08-2016 18:40
  The price of directors' and officers' (D&O) coverage
  fell heavily in the second quarter despite projections of an
  increase in class action litigation to levels not seen since the
  financial crisis.
  Broker Aon's quarterly D&O pricing report found that
  rates for $1mn of limit had fallen by 16.5 percent compared to the
  same three-month period last year, in the 12th consecutive quarter
  when its rating index has been in negative territory.
  It is yet further evidence of a downward trend...
  
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• Beach and Turker win RFP for Turkish cat pool

  08-08-2016 18:40
  Beach & Associates, in partnership with Istanbul-based Turker,
  has won a request for proposal (RFP) to be sole reinsurance broker
  for the Turkish Catastrophe Insurance Pool (TCIP), The
  Insurance Insider can reveal.
  According to sources, in the process the firm went up against
  JLT Re, whose Turkish office is run by Servet Gürkan, the
  former head of Aon Benfield's operation in the country.
  The appointment is effectively a retention of the account by
  Beach, which agreed a deal to take...
  
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• August sees double-digit movements

  08-08-2016 18:40
  There were significant shifts in some (re)insurers' share
  prices in the first week of August, as the second wave of Q2
  results saw investors rally behind outperformers and punish those
  who missed consensus forecasts.
  UK personal lines carrier Direct
  Line was the week's biggest winner with its shares up
  by 12.7 percent to 394.5 pence ($4.55) per share on Friday (5
  August).
  The positive reaction came after the carrier reported first half
  profits of £323.6mn, which was 3.6 percent below...
  
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• AmTrust settles Italian med-mal suit

  08-08-2016 18:40
  AmTrust has ended a long-running feud with its former Italian
  medical malpractice broker Trust Risk Group and its CEO Antonio
  Somma, the insurer said in a US Securities and Exchange Commission
  filing last month (20 July).
  The insurer settled the dispute with Trust Risk Group on
  confidential terms and withdrew the complaint that it had lodged in
  the US.
  It puts to bed a saga that included allegations of bribery,
  corruption and even death threats after the broker claimed it...
  
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• Martyn Green is new RSA product and pricing director

  08-08-2016 17:55
  
  Martyn Green has been appointed as RSA’s new personal lines product and pricing director. He replaces Andy Baughan.
  
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• Two ‘fundamentally dishonest’ claims against AXA thrown out

  08-08-2016 17:24
  
  Man and wife duo and taxi driver caught lying about claims
  
  Read more

• RMS highlights ports at risk of $1bn+ loss

  08-08-2016 16:13
  Six global ports would be susceptible to losses in excess of $1bn
  during a 1-in-500-year event as the value of international
  catastrophe-exposed cargo continues to grow, according to analysis
  by RMS.
  According to the risk modelling firm, the increased size of
  container ships has made many river ports inaccessible. This has
  forced shipping firms to rely on seaside ports, which are more
  vulnerable to natural catastrophes such as storm surge, hurricanes
  and typhoons.
  In addition, the propensity for
  
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• Global Risk Partners acquires broker BB Insure

  08-08-2016 15:37
  
  Global Risk Partners has acquired commercial and personal insurance broker BB Insure.
  
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• GRP buys BB Insure

  08-08-2016 15:00
  
  Consolidator swoops for Lincolnshire based firm.
  
  Read more

• Court of Appeal favours insurers in cocaine boat claim

  08-08-2016 14:58
  The UK Court of Appeal has ruled that 14 insurers will not have
  to pay a constructive total loss claim on a war risks policy for a
  boat implicated in cocaine smuggling in Venezuela.
  The three appeal judges overturned a prior ruling from December
  2014, which would have seen the carriers lose a $22.5mn court
  battle relating to a ship impounded by the Venezuelan authorities
  after three large bundles of cocaine were found strapped to its
  hull.
  In a 1...
  
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• Allianz pushes for £3bn profit despite half year setbacks

  08-08-2016 14:42
  
  Despite having a 4% drop in gross written premiums and income, Allianz is still aiming to hit a £3bn income target by 2018.
  
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• Allianz pushes for £3bn profit despite half year set backs

  08-08-2016 14:42
  
  Despite having a 4% drop in GWP and income, Allianz is still aiming to hit a £3bn income target by 2018.
  
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• Allianz pushes for £3bn GWP despite half year setbacks

  08-08-2016 14:42
  
  Despite having a 3.6% drop in gross written premiums, Allianz is still aiming to hit a £3bn target.
  
  Read more

• GRP buys commercial and personal broker BB Insure

  08-08-2016 14:32
  
  Broker’s management team will continue to lead the business
  
  Read more

• Insureds to break longstanding relationships: Marsh

  08-08-2016 13:53
  Big three broker Marsh has warned insurers that some of its clients
  may look to break longstanding relationships as the market shows
  signs of flattening out.
  US property practice leader Duncan Ellis said a plateauing in
  reinsurance rates was likely to have a trickle-down effect for its
  insurance clients.
  "One second quarter briefing that I recently saw was
  talking about the difficulty of completing a reinsurance programme
  that was seeking greater than low-single-digit reductions, which of
  course
  
  Read more

• UK motor rates jump 10% Y/Y

  08-08-2016 12:54
  UK private comprehensive motor insurance rates increased by 10
  percent year-on-year in the second quarter of 2016, according to
  the Association of British Insurers (ABI).
  Rates also rose 1 percent compared to the previous quarter.
  The ABI said the figures demonstrated ongoing upward rates
  pressure, which was attributable to increases in Insurance Premium
  Tax and the rising cost of personal injury claims.
  Average premiums costs in Q2 hit £434, up £39 on the
  same period last year.
  The
  
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• Irdai outlines executive pay guidelines

  08-08-2016 11:53
  The Insurance Regulatory and Development Authority of India
  (Irdai) has unveiled new guidelines on remuneration for
  carriers' executive and management teams.
  In a letter to private insurers dated 5 August, the regulator
  said there was an immediate need to implement guidelines,
  particularly for managing directors, CEOs and full-time directors,
  for whom there had previously been few restrictions.
  Carriers will now have to formulate a pay policy covering these
  positions which must be reviewed annua
  
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• ILS specialist Jackson joins RFIB

  08-08-2016 11:53
  Glenn Jackson has joined independent broking house RFIB Group as a
  managing director of RFIB Americas.He will be based in the Tampa office, reporting to Nick
  Foden-Pattinson, managing director of alternative reinsurance
  products.
  Jackson has worked in the insurance-linked securities world for
  11 years, recently as a senior vice president for Beach Re,
  previously known as Axiom Re.
  In that role he advised on the structuring, modelling and
  execution of alternative reinsurance transactions.
  He also
  
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• Axa exposes two crash-for-cash cases after fundamentally dishonest evidence was given

  08-08-2016 11:24
  Axa has successfully exposed two cases of crash-for-cash fraud by proving that evidence given in court was fundamentally dishonest.
  
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• Axa expose two crash for cash cases after fundamentally dishonest evidence was given

  08-08-2016 11:24
  Axa has successfully exposed two cases of crash for cash fraud by proving that evidence given in court was fundamentally dishonest.
  
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• Gauntlet GWP grows to £21.7m

  08-08-2016 11:01
  
  Commission and fee income is also up to £3.1m as broker says growth is down to development of AR network.
  
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• Aston Scott teams with Lutine to provide business protection cover

  08-08-2016 11:01 via insuranceage.co.uk
  
  The agreement is effective immediately and will see Lutine's products such as key man and group life being offered to Aston Scott's SME client base.
  
  Read more

• Motor insurance premiums up 10% from last year

  08-08-2016 10:45
  
  The average price paid for private comprehensive motor insurance has increased by 1% in Q2 2016, up 10% from the same period last year, according to the Association of British Insurers.
  
  Read more

• Profits more than double at Enstar

  08-08-2016 10:37
  Legacy-to-live carrier Enstar has reported
  pre-tax profits of $58.3mn in the second quarter, more than twice
  the $24.0mn it recorded in the prior year period.
  Improved investment performance was a major driver of the jump
  in profitability, with net investment income climbing 56.2 percent
  on Q2 last year.
  Its active underwriting operations Atrium and Starstone had
  mixed fortunes, with the former seeing its loss ratio increase by
  17.8 percentage points to 53.6 percent.
  The increase pushed Atrium's
  
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• R&Q increases capacity to £15m

  08-08-2016 10:31
  
  The MGA has announced a three year underwriting capacity agreement which will allow it to write larger line sizes for property owners’ products.
  
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• #Insagepeople: 08 - 14 August 2016

  08-08-2016 10:27
  
  Keep abreast of the movers and shakers in the insurance world this week.
  
  Read more

• Euna readies Manchester office expansion

  08-08-2016 09:00
  
  The firm has also hired a new employee to boost its efforts in property and casualty.
  
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• ABI: Q2 motor rates up 10% year on year

  08-08-2016 08:41
  
  Prices rise 1% quarter on quarter
  
  Read more

• R&Q MGA benefits from Lloyd’s push to write more UK SME

  08-08-2016 08:11
  
  New deal boosts MGA’s capacity to £15m
  
  Read more

• FTSE 100 chief executives enjoy 10% pay rise – study

  08-08-2016 08:09
  
  FTSE 100 chief executives were paid an average of £5.48m in 2015, up 10% on the £4.96m they were paid the previous year, according to research by the High Pay Centre.
  
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• Legal: The cost-benefit of emerging rehabilitation technologies

  08-08-2016 08:00
  
  The disability market is benefiting from an expanding range of innovative equipment, fuelled by a combination of technological advances and by crossover into the civilian sector from military aftercare of combat veterans.
  
  Read more

• Brodies' Elena Fry on the Apologies (Scotland) Act

  08-08-2016 08:00
  
  The Apologies (Scotland) Act 2016 has caused some discussion north of the border, as insurers and policyholders consider how the Act will impact upon civil claims in Scotland.
  
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• RDG unit strikes SME distribution deal with Aston Scott

  08-08-2016 07:30
  
  Companies also considering partnering on further products
  
  Read more

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