Market News
Increased Captive Use Includes Spread to New Markets, Report Finds
As companies increase their use of captive insurance due to the hardening commercial market, captive insurance use is spreading from advanced markets to Asia and Latin America, according to a new report from the Swiss Re Institute. Meanwhile, in advanced markets, midsized companies are increasingly using new captive business models. Learn More
Most Commercial Lines Saw Premium Increases during First Quarter
Nearly all major commercial insurance lines experienced quarter-over-quarter premium renewal rate increases during the first quarter of 2021, according to the January IVANS Index, a regular premium renewal rate index compiled by the IVANS insurance exchange service. Learn More
Delaware Legislation Would Ease Captive Dormancy Requirements
Legislation passed recently in Delaware would reduce the length of time captive insurance companies would have to be inactive to file for dormancy. Under the measure, S. 1, captive insurance companies could go into dormancy if they were inactive for 12 consecutive months instead of the currently required calendar year. Read More
Alabama Legislation Expected To Spur State's Captive Industry Growth
Legislation recently approved by Alabama lawmakers and on its way to Gov. Kay Ivey for her signature makes a variety of changes affecting captive insurance companies. Under SB 23, minimum capitalization requirements for pure captive insurance companies and protected cell captives would be reduced to $100,000 from $250,000. Read More
2020 Catastrophe Experience Shows Growing Risk of Secondary Perils
With the COVID-19 pandemic and a high level of natural disasters, 2020 was a year that strained business, society, and the insurance industry. In a recently released sigma report, Swiss Re noted that 2020's $202 billion in global economic losses from catastrophes was the ninth highest for single-year economic losses. Read More
Firm Pricing the Norm at April 1 International Reinsurance Renewals
April 1 international reinsurance renewals were consistent with earlier trends as pricing remained firm in virtually all classes and territories, according to Willis Re. The intermediary said reinsurance capacity was adequate across the board, and there were no substantive changes in negotiations over exclusionary language. Read More
Nevada Captive Bill Would Expand Commissioner's Review Authority
The Nevada insurance commissioner would be given new authority to review the qualifications of a captive insurer's manager and, if appropriate, disqualify the manager or suspend or revoke the captive's license under A.B. 45, legislation now under consideration by state lawmakers. Read More