Rachel Moir has joined International Risk Management Institute, Inc. (IRMI), as its captive and risk finance products manager. In this role, Ms. Moir is responsible for the quality and growth of IRMI's risk finance and captive insurance product line. This includes "Risk Financing," "Captive Insurance Company Reports," Captive.com, online continuing education, and books on the topics.
An A.M. Best briefing finds that the Reported Solvency II ratios are very strong for the reviewed sample of its rated European captives. The ratios range from approximately 160 to 240 percent. In Best’s view, the disclosures fail to demonstrate the importance of captive risk management and governance practices.
Strategic Risk Solutions (SRS) announced the winners of its first Captivator Awards: NiSource Insurance Corporation, Inc.; Ophthalmic Mutual Insurance Company; and East Isles Reinsurance, Ltd. The awards recognize the captives that SRS feels have led the industry in the use of captives, through new uses and innovations in captive structures and excellence in operational performance.
Legacy and run-off acquisition and management specialist Randall & Quilter Investment Holdings Ltd. (R&Q) has recently written two loss portfolio transfer (LPT) reinsurance contracts. The first assumes a bonds portfolio issued by a Fortune 500 Insurance Group. The second covers the livery, trucking, and contractors liability programs of a California-based insurance group.
AIG, IBM, and Standard Chartered Bank have successfully piloted the first multinational, “smart contract”-based insurance policy using blockchain technology. The “smart contract” is a conversion of a multinational, controlled master policy and three local policies, providing a shared view of policy data and documentation in real time.
Governor Greg Abbott has signed House Bill 1944, which makes important changes to the Texas captive insurance law, opening up a variety of opportunities. This is the second consecutive session in which the Texas Legislature has made improvements to the captive statute since its enactment in 2013.
The Aon catastrophe report reveals that several major outbreaks of severe weather swept across central and eastern sections of the United States during May, causing extensive damage through large hail, straight-line winds, tornadoes, and flash flooding. Total aggregated economic losses from US severe weather was set to exceed $4 billion.
Commercial insurance prices in the United States were nearly flat during the first quarter of 2017, according to Willis Towers Watson’s most recent “Commercial Lines Insurance Pricing Survey” (“CLIPS”). Price changes reported by carriers averaged less than 1 percent for the sixth consecutive quarter.
The Bermuda Business Development Agency (BDA) has announced the appointment of Greg Wojciechowski to its Board of Directors. Mr. Wojciechowski, president and CEO of the Bermuda Stock Exchange (BSX) for the past 15 years, joined the BDA Board this month.
Kroll Bond Rating Agency (KBRA) released their research report “Reinsurance Pricing and Capacity Are Rays of Sunshine for Florida Insurance Market.” Excess capacity and increased pricing competition in reinsurance markets are positively impacting the market for Florida property writers as we head into what is forecast to be an active hurricane season.
The latest Swiss Re SONAR report identifies 20 emerging risks and 6 emerging trend spotlights affecting the insurance industry. Of the 20 emerging risks identified, some key risks are reduced market access, regulatory fragmentation, the return of inflation, cloud risk accumulation, and liability legislation for artificial intelligence.
unisonBrokers (unison) and Steadfast Group have formed a strategic partnership, including an agreement where Steadfast acquires a noncontrolling stake in unison to grow the global distribution platform for both networks. unison will be renamed unisonSteadfast following the transaction. Steadfast will join the unisonSteadfast network and facilitate access to international markets.
In its fourth 2017 acquisition and its first captive purchase, the independent insurance and reinsurance legacy specialist Compre Group will acquire Equinox CA Europe. Terms of the deal are confidential and completion is subject to regulatory approval from the Central Bank of Ireland. The acquisition is Compre’s first in Ireland.
Excess capacity and strong competition among traditional and insurance-linked securities (ILS) markets were again instrumental in driving rates down. Specifically, renewed vigor by ILS markets to deploy capital was notable this year as they looked to increase participation, particularly with stronger performing cedents.
IVANS, a division of Applied Systems, recently announced the commercial lines premium results for May’s "IVANS Index: Premium Renewal Rate Index" report. May 2017 marks the first time in several months that all major commercial product lines are in positive territory. Most notably, workers compensation has moved into positive rate change.
The European Council has adopted a decision authorizing the signing of the covered agreement by the European Union and United States on insurance and reinsurance. The agreement is intended to provide legal certainty for EU and US insurers and reinsurers in the application of regulatory frameworks. It will enable improved protection for policyholders and other consumers.
A.M. Best has affirmed Financial Strength Ratings of A+ (Superior) for Intercona Re, A- (Excellent) for Builders Re and Builders Direct, and A- (Excellent) for Cedar Court. The rated captives respectively cover Nestlé, HOCHTIEF Aktiengesellschaft, and Honeywell with mutual financial benefits realized.
Hamilton Re, the Bermuda-based operations of Hamilton Insurance Group, announced that it has established its first special purpose vehicle, Turing Re Ltd. Turing Re will provide collateralized capacity for Hamilton Re’s global reinsurance portfolio. Turing Re is funded with $65 million of capital in support of Hamilton Re’s property treaty book of business.
The risk of cyber crime attacks is a reality for all companies, including those in Switzerland, and Swiss companies' awareness of this risk has grown accordingly. New perils are arising in connection with the Internet of Things and advancements in artificial intelligence. These are just some of the insights revealed by KPMG's latest study.
Marsh has released their 2017 benchmarking report on captives, offering a comprehensive review of how organizations around the world use their captive insurer. It reports a 40-percent increase in the total number of captives globally over the past 10 years as more companies see captive use at the core of innovative risk management strategies. Using captives for cyber risks is the biggest trend, it revealed.