News
North American broker profitability in 2009 expected to be flat or modestly lower
January 20, 2009 by Canadian UnderwriterLooking ahead into 2009, the profitability of the North American insurance broker industry is expected to be flat or modestly lower, Fitch Ratings says in a recent report, Review and Outlook 2008-2009.In making its assessment, Fitch noted the “economic recession…
Loss reserve adequacy may drive ratings, S&P’s says
January 19, 2009 by Canadian UnderwriterGiven the unprecedented volatility in the financial markets, insurers’ loss reserve adequacy, which had been a matter of secondary consideration in the past few years, may once again drive ratings, Standard & Poor’s said in a recent report.The article, Insurers’…
What’s New: In Brief (January 19, 2009)
January 19, 2009 by Canadian UnderwriterJean Chretien, former Prime Minister of Canada, will be the keynote luncheon speaker at the 2009 National Insurance Conference of Canada (NICC).The conference will be held from Wednesday, Sept. 30 until Friday, Oct. 2 at the Ottawa Westin. Registration for…
Scourge of piracy of concern to insurers
January 19, 2009 by Canadian UnderwriterThe scourge of piracy on the international high seas in 2008 reached a new, alarming dimension, according to recent reports by Munich Re and the Piracy Reporting Centre (PRC).The PRC is part of the International Maritime Bureau (IMB) of the…
What’s New: In Brief (January 19, 2009)
January 19, 2009 by Canadian UnderwriterSovereign General Insurance Company is offering a new form of insurance coverage intended to help British Columbians upgrade to ‘environmentally-responsible’ building products when repairing or rebuilding their home after an insured loss.The new insure2green coverage allows British Columbians whose homes…
FSCO approves average auto rate increase of 2.57% in 2008 Q4
January 16, 2009 by Canadian UnderwriterThe Financial Services Commission of Ontario (FSCO) approved automobile rate increases averaging 2.57% in 2008 Q4, based on the entire market.In 2008 Q4, for 69.37% of the market that had rate changes approved, the average rate change was 3.71% when…
Alberta rate board approves rate increases in 2008 Q4
January 16, 2009 by Canadian UnderwriterThe Alberta Automobile Insurance Rate Board (AIRB) has released its 2008 Q4 decisions report, with the majority of insurers applying for rate increases. Four insurers applied for increases in base premiums, which on average would result in an estimated 5%…
Plans to appeal Nova Scotia cap decision announced
January 16, 2009 by Canadian UnderwriterOne day after the Supreme Court of Nova Scotia upheld the province’s Cdn$2,500 cap for minor auto injuries, the Nova Scotia Coalition Against No-Fault Insurance held a press conference announcing it intends to appeal the decision.The coalition is an advocacy…
MPI reports decreased net income
January 16, 2009 by Canadian UnderwriterManitoba Public Insurance (MPI) has reported a net income of Cdn$1.8 million for the nine months ended Nov. 30, 2008. This is down Cdn$15.4 million from the same period in 2007. Also, investment income dropped by Cdn$93.3 million, MPI reports…
Rate of loss of land ice quicker than previously thought
January 15, 2009 by Canadian UnderwriterRising sea levels due to the loss of land ice in Greenland and West Antarctica may be happening faster than previously thought, according to climate change research summarized in PartnerRe’s Hazard & Risk Science Review 2008.PartnerRe’s report notes that the…
Scientists study impact of global warming on Arctic ice cap
January 15, 2009 by Canadian UnderwriterCatlin Group Limited is sponsoring a group of international scientists attempting to obtain the most accurate measurements of the thickness of the Arctic Ocean sea ice. The pioneering survey will begin in February, led by British polar explorer Pen Hadow.…
Alleged ‘Ponzi’ scheme could result in US$3.8 billion in direct insured losses: Aon Benfield
January 15, 2009 by Canadian UnderwriterAon Benfield estimates the range of direct insured losses resulting from the alleged Bernard Madoff ‘Ponzi’ scheme to be between US$760 million and US$3.8 billion, with a best estimate of US$1.8 billion, according to a preliminary forecast.A ‘Ponzi’ scheme is…