News
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…
Non-cancellable broker contracts needed for market stability
October 6, 2008 by Canadian UnderwriterIn order to achieve market stability, insurers and brokers should consider non-cancellable broker-partner contracts, Paul Martin, president and chief operating officer of KRG Insurance Group, told delegates of the National Insurance Conference of Canada (NICC) in Ottawa-Gatineau, Que.Martin spoke as…
Collateral investigation of H.A.R.M files key
October 3, 2008 by Canadian UnderwriterThere are a small percentage of bodily injury claims that represent a high exposure for an insurance company based solely on the credibility of the plaintiff, Marc Gorbet, lawyer, Gerald A. Swayne & Associates, told delegates at the Annual Toronto…
Validity of accidents should be questioned where SABS claims are involved
October 3, 2008 by Canadian UnderwriterAn insurance company can put itself in a much better position if it questions the validity of an accident when Statutory Accident Benefit Schedule (SABS) claims are involved, John Desjardins, partner, Regan Desjardins, told delegates at the Toronto Fraud Forum…
What’s New: In Brief (October 03, 2008)
October 3, 2008 by Canadian UnderwriterThe Insurance Bureau of Canada is hosting its eighth annual Regulatory Affairs Symposium on Nov. 5, 2008. The symposium, ‘Current Regulatory Environment For P&C Insurers,’ will be held at the St. Andrew’s Club & Conference Centre in Toronto, with registration…
AIG to focus on p&c business moving forward
October 3, 2008 by Canadian UnderwriterAmerican International Group Inc. (AIG) intends to retain its foreign general insurance businesses, its U.S. property and casualty businesses and to retain a continuing ownership interest in its foreign life insurance operations.“Literally, everything else that does not fit that definition,…
OSFI defends Part XIII changes to Insurance Act
October 2, 2008 by Canadian UnderwriterThe Office of the Superintendent of Financial Institutions (OSFI) is reassuring the insurance industry that its scheduled changes to Part XIII of the Insurance Act are not intended to disenfranchise a class of Canadian policyholders in favour of protecting foreign…
Higher ROE returns needed for stability in volatile auto market
October 2, 2008 by Canadian UnderwriterInsurers should reconsider their future return on equity (ROE) targets in light of the volatility existing in the Canadian private auto insurance markets, actuarial panelists told delegates attending the National Insurance Conference of Canada in Ottawa-Gatineau, Quebec.“Return on equity: this…
US$700-billion bailout not sufficient liquidity to resolve financial crisis, TD Bank’s chief economist says
October 2, 2008 by Canadian UnderwriterThe US$700-billion bailout package the U.S. Senate passed on Oct. 1 will not solve the fiscal problems plaguing the U.S. economy, but it will help to some degree, Don Drummond, TD Bank’s chief economist, told delegates attending the National Insurance…