Keyword
Ratings/Research
Consolidation push will be on in 2004: Towers
December 11, 2003 by Canadian UnderwriterIn making its 2004 predictions for the insurance industry, Tillinghast-Towers Perrin says consolidation will be key trend in the coming year, with major players dominating the market.Taking off from the recent merger of St. Paul and Travelers, the firm predicts…
MPI rates to rise 3.7% in 2004
December 9, 2003 by Canadian UnderwriterManitoba Public Insurance (MPI) has broken its six-year rate freeze, and will up basic auto insurance rates by 3.7% for 2004. The province’s Public Utilities Board (PUB) ordered the increase, which will add about $30 to the average family passenger…
SCOR capital raising gets mixed reviews from raters
December 9, 2003 by Canadian UnderwriterRating agencies are taking a mixed view of the recent capital raising move by French reinsurer SCOR, despite it exceeding the original EUR 600 million mark.SCOR has announced a fully underwritten rights issue of EUR 750 million, higher than its…
World insurance in 2002: high premium growth in non-life insurance
December 3, 2003 by Canadian UnderwriterWhile financial market turbulence continued to plague the insurance markets in 2002, some signs of recovery were evident in the most important markets: the non-life insurance sector grew at a record-breaking rate, the life sector posted minor improvement according to…
Drilling Down for New Solutions
December 1, 2003 Craig HarrisThe oil and gas industry was already facing steep insurance rate hikes and capacity concerns before the terrorist attacks of 9/11. More than two years after that event, it is still reeling from coverage restrictions, record-level deductibles and a massive spike in prices. However, the bigger players appear to have learnt their lesson of the insurance market’s pricing vagaries, and they have identified and created alternative risk transfer mechanisms.
Primary Insurer Strategies 2004: Towing The Bottom-Line
December 1, 2003 Sean van Zyl, Editor“Cautious optimism” – would seem to generally sum up the points of view of primary insurer CEOs in looking ahead to 2004. While this year saw the first signs of a profit recovery within the Canadian property and casualty insurance industry – with the premium pool rising by almost a third to reach a staggering $30 billion – the past 12 months also dealt insurers several blows in the form of higher catastrophe losses, rising prior-year adverse reserve developments, a spilling of red ink from the Facility Association, and provincial political intervention on loss-making mandatory covers. The latter, which applies to mostly personal lines auto, remains the greatest concern of insurers as governments have been slow to react with necessary product loss reduction reforms whilst introducing politically-motivated rate freezes. With much riding on the future viability of the auto product, insurer CEOs partaking in CU’s annual “strategic outlook” are hesitant to declare the industry “out of the woods” in terms of achieving a healthy and stable marketplace.
Market Force
December 1, 2003 Vikki SpencerWhen David Simpson took over leadership of the Facility Association (FA) in 2001, the auto insurance industry was on the cusp of difficult times – facing mounting losses and rate inadequacy. Over the past two years, that situation has come to a head, and its impact has been seen in rising volumes and mounting losses for FA, the industry’s pool for high-risk drivers.
The Facility Association – A Market Competitor?
December 1, 2003 Bob Tisdale, President and COO of Pembridge InsuranceWhen the market of “last resort” – the property and casualty insurance industry’s Facility Association (FA) – begins to show exponential growth, something in the market is wrong…terribly wrong! The FA is presently growing at an alarming rate, with total business of about $1 billion, while losses for just this year have topped $500 million. Ultimately, insurers have to ask just where does the “buck stop”.
Turning Soft…
December 1, 2003 Sean van Zyl, EditorSome in the property and casualty insurance industry believe that “price stabilization” could translate into “soft market” as insurers head into a new year. U.S. industry results at this year’s half mark already showed a dramatic reduction in the growth…
Dominion CEO takes issue with Flaherty comments
November 28, 2003 by Canadian UnderwriterThe Dominion of Canada General Insurance Co. CEO George Cooke is taking issue with comments made by former Ontario Minister of Enterprise Jim Flaherty. Cooke notes that his company’s Ontario auto insurance rate filing in September reflected the fact that…
Asbestos tops US insurer concerns
November 26, 2003 by Canadian UnderwriterA full 92% of U.S. property & casualty insurers list asbestos claims as their number-one concern, according to a survey conducted at the Executive Conference for the P&C Industry in New York recently. Standard & Poor’s rating agency released the…
S&P slams actuaries for industry reserve issues
November 25, 2003 by Canadian UnderwriterIn a recent report, rating agency Standard & Poor’s points the finger at actuaries for problems with property & casualty insurer reserve shortfalls. “Actuaries are signing off on reserves that turn out to be wildly inaccurate,” says S&P’s Steve Dryer.…