What’s New: In Brief (June 09, 2009)

Some U.S. property and casualty insurers could be under-reserving, despite the potential onset of a hard market, according to a panel of actuaries and analysts at a Standard & Poor (S&P)’s Ratings Services insurance conference on June 1-2 in New York.
In a report about the conference, S&P’s suggested the oncoming hard market could cause insurers to underestimate their loss experience; if this were to trigger a premature release of reserves, a reserve deficiency could arise, forcing insurers to make up the difference.
Several panelists “expressed concern that broad expectations for a coming positive turn in the business cycle could be overdone and that reserve releases might be premature, leaving insurers exposed to unforeseen future liabilities,” S&P’s reported.
“Now is not the time to be releasing reserves,” said panelist Michael Angelina, chief risk officer and chief actuary at Endurance Specialty Holdings Ltd.

The Canadian Ski Patrol System (CSPS) presented an Outstanding Contribution Award to the Insurance Brokers Association of Canada (IBAC) at the CSPS annual conference and awards banquet on May 23.
The award recognized IBAC for providing and delivering thousands of blankets to ski patrols across the country over the past two years.
“IBAC has helped the CSPS to improve its ability to deliver rescue services to skiers in need,” a joint press release says. “Additionally, the [insurance broker] association’s efforts in promoting this relationship have increased the image of the ski patrol in all parts of the industry nationally.”
The IBAC/CSPS relationship is the extension of a common mission to promote safety and injury prevention, the organizations say.