News
AIG borrows an additional US$37 billion
October 9, 2008 by Canadian UnderwriterAmerican International Group, Inc. (AIG)’s domestic life insurance subsidiaries have borrowed approximately US$37.2 billion from the Federal Reserve Bank of New York. The New York Fed will borrow investment grade fixed income securities from these AIG subsidiaries in exchange for…
Insurer to pay costs in “mixed” defence, even if they relate to uninsured claims
October 8, 2008 by Canadian UnderwriterIn a lawsuit involving “mixed claims,” some of which are insured under a policy and some of which are not, the costs of defending a lawsuit should be apportioned between an insurer and an insured based on the operative language…
BFL Canada joins forces with Kansas City broker Lockton
October 8, 2008 by Canadian UnderwriterBFL Canada and Kansas City-based Lockton have formed an alliance to serve clients in North America. BFL Canada is Canada’s largest independent commercial insurance broker and Lockton is the world’s largest privately held insurance broker, according to a news release…
Risk managers predict both hard and soft markets arising out of financial crisis
October 8, 2008 by Canadian UnderwriterThe cascading financial services crisis in the United States has risk managers bracing for a hard market, although some suggest the crisis may actually prolong the current soft market, participants of a Risk and Insurance Management Society (RIMS) Webinar heard.Janice…
Allianz invests US$2.5 billion in The Hartford
October 8, 2008 by Canadian UnderwriterAllianz SE will provide a US$2.5-billion capital investment in The Hartford Financial Services Group, purchasing roughly a quarter of Hartford’s outstanding common shares. In a second-quarter filing to the U.S. Securities Exchange Commission (SEC), The Hartford reported having slightly more…
New York insurance regulator calls for regulation of credit default swap market
October 7, 2008 by Canadian UnderwriterThe Superintendent of the New York State Insurance Department has called on the United States federal government to regulate the credit default swap (CDS) market, after CDS played a major role in the financial unravelling of the American International Group…
Judge should determine whether injury is serious and permanent prior to jury deliberations
October 7, 2008 by Canadian UnderwriterOntario courts should consider if it would be best for a trial judge to determine whether or not an injury meets Ontario’s threshold test of a “permanent, serious impairment” prior to a jury deliberating on the outcome of the case,…
What’s New: In Brief (October 07, 2008)
October 7, 2008 by Canadian UnderwriterFM Global has made some changes to its senior management team, effective Jan. 1, 2009. Brian J. Hurley, currently executive vice president of the North and South America operations, will retire. Ruud H. Bosman will assume the role of vice…
Combined ratios in U.S. property and casualty likely to break 100% by year-end
October 7, 2008 by Canadian UnderwriterA.M. Best Co. has revised its year-end projections for the U.S. property and casualty industry, noting the adjusted combined ratios for the overall and individual segments of the industry will each likely break the 100% mark.A.M. Best believes the overall…
Minor auto injury claimants do not have “immutable” characteristics eligible for Charter protection: lawyer
October 6, 2008 by Canadian UnderwriterMinor auto injury claimants suffering from temporary disabilities do not have the same “immutable” characteristics required to receive constitutional protection against discrimination, insurers’ counsel have argued on appeal in Alberta.Alan D’Silva, a partner at Stikeman Elliott LLP, presented to the…
Canadians homes and businesses estimated to be underinsured by Cdn$11 billion
October 6, 2008 by Canadian UnderwriterAbout 80% of Canadian houses today are undervalued by 27%, which hasn’t changed since 1995, according to Peter Wells, president of Marshall & Swift/Boeck (M&S/B), a provider of building cost technologies.In addition, 60% of commercial buildings are undervalued by 40%.In…
Customer satisfaction with auto insurers increasing, homeowners insurance flattens
October 6, 2008 by Canadian UnderwriterThe gap in customer satisfaction reported by home insurance policyholders and auto insurance policyholders has steadily widened since 2004, JD Power and Associates reports.Homeowners insurance customer satisfaction has remained essentially flat during the past five years, while satisfaction with auto…