News

The insurance industry is changing its approach to product pricing, increasingly using price optimization to differentiate themselves from competitors, according to Celent, a Boston-based financial research and consulting firm.Celent’s recent report, Price Optimization in Insurance: A Revolution in Progress, defines…

American International Group, Inc. (AIG) reported a 2009 Q4 net loss of $8.9 billion, compared to a net loss of $61.7 billion in 2008 Q4. According to AIG, the quarterly net loss can be primarily attributed to: • $6.2 billion…

An 8.8-magnitude earthquake struck central Chile on Feb. 27, leaving behind more than $2 billion in insured losses, according to AIR Worldwide. Total economic damages are anticipated to be between $15 and $20 billion — roughly 10% to 15% of…

The Co-operators has ultimately raised $298,270 for the Canadian Red Cross in support of the organization’s relief efforts for victims of the January 2010 earthquake in Haiti. A total of $149,135 was donated personally by Co-operators employees, agents and their…

Specific features of the insurance business model make it a source of stability in the financial system, according to The Geneva Association, an international research organization supported by the insurance industry.For example, insurance is funded by up-front premiums, giving insurers…

The economy is a relevant factor in rising claims loss costs, according to property and casualty claims officers surveyed by Tower Watson.The poor economy seems to have stimulated third-party losses, and a number of survey respondents reported increases in general…

The Financial Services Commission of Ontario (FSCO) has denied the appeal of an insurer that was ordered to pay auto insurance benefits to a man (now deceased) who suffered a stroke at about the same time he was involved in…

Canadian Imperial Bank of Commerce (CIBC) does not plan to establish standalone, insurance facilities of the type that Royal Bank of Canada is opening.In an interview with Bloomberg Business Week, CIBC CEO Gerald McCaughey is cited as saying CIBC won’t…

New Brunswick is amending its Insurance Act to prohibit the use of credit scoring for underwriting and rating practices in all classes of insurance.“Regulations will prohibit using credit scoring for underwriting and rating of property and casualty insurance, including automobile…

RSA Canada reported an underwriting profit in 2009 of $112 million, in spite of what the company described as tough economic conditions, a significant increase in weather losses and regulatory uncertainty in the auto market.Premiums increased to $1.8 billion, driven…

Eighty-three per cent of British Columbians are concerned about fraud, and 95% have taken preventative steps to avoid becoming a victim, according to the TD Canada Trust Fraud Prevention Month Poll.Conducted by Angus Reid, the survey asked questions of 1,059…

Aviva Canada is continuing to recruit new members to its executive team, following the appointment earlier this year of Maurice Tulloch as its CEO.James Russell has been appointed as Aviva Canada’s chief underwriting officer. Russell has held several executive roles…