Market News
Oklahoma Legislation Specifies Captive Premium Tax Distribution
Legislation approved by Oklahoma lawmakers and signed into law May 19 by Governor Kevin Stitt specifies how premium taxes paid by captive insurance companies must be allocated by the state insurance commissioner. Read More
Hard Market, Industry Disruptions Create Captive Opportunities
With a traditional insurance market that appears likely to continue hardening, and that market facing disruption from events like the COVID-19 pandemic and potential new competitors, there are opportunities for captive insurance companies. Changes in market rates are drivers of alternative risk transfer activities, including captive insurance companies. Read More
Actuaries Group Offers Guidance on Federal Pandemic Risk Backstop
The American Academy of Actuaries has suggested that existing US insurance backstop programs may provide insights into crafting a pandemic risk backstop. Those programs help the insurance marketplace provide coverage by capping the risk the market is expected to handle and providing a federal backstop for losses exceeding that cap. Read More
Lloyd's Projects Industry COVID-19 Underwriting Loss at $107 Billion
The Lloyd's market says that it anticipates paying out up to $4.3 billion as a result of COVID-19, while projecting $107 billion in overall industry underwriting losses. Lloyd's said the industry's projected $107 billion in COVID-19 losses are on par with some of the biggest major claims years for the industry. Read More
Commercial Market Hardens but Pandemic To Delay Insurer Profitability
The COVID-19 pandemic will hit commercial insurers hard, and most may only return to technical profitability in the second half of 2021, assuming normal levels of catastrophe losses, according to Fitch Ratings. Fitch also said it expects continued rate hardening in the commercial insurance market. Read More