News
What’s new: In brief (February 07, 2005)
February 7, 2005 by Canadian UnderwriterZurich Financial Services Group says claims relating to the South Asian tsunami disaster of December 26, 2004 will cost US$65 million, after tax and net of reinsurance (US$90 million pre-tax). Zurich also revised upward its estimate of losses from the…
What’s new: In brief (February 06, 2005)
February 6, 2005 by Canadian UnderwriterZurich Financial Services Group says it will pay Equitas US$547 million to commute policies purchased from Zurich’s Centre operation by Lloyd’s syndicates reinsured by Equitas. Zurich says the agreement ends Centre’s exposure to those syndicates. “This commutation represents significant progress…
Reinsurers stress risk selection in the face of competition
February 6, 2005 by Canadian UnderwriterCommenting on January 1, 2005 renewals, French reinsurer Scor says pricing was fragmented by line of business and geography, with specific rate erosion in short-tail lines as competition increased in the marketplace.Overall, the company says it expects annual premium income…
ACE to fight Connecticut civil suit
February 6, 2005 by Canadian UnderwriterIn a conference call last week, ACE Ltd. CEO Evan Greenberg says the insurer will ask the court to dismiss civil charges filed by Connecticut Attorney General Richard Blumenthal.Blumenthal filed the civil case late last month, alleging ACE paid broker…
Australian storms produce $115 million loss
February 6, 2005 by Canadian UnderwriterRecent storms across Australia are expected to produce AU$120 million (Cdn$115.5 million) in claims, according to preliminary estimates from the country’s Insurance Disaster Response Organisation (IDRO).The IDRO says insurers should face almost 30,000 claims from the storms which hit New…
What’s new: In brief (February 03, 2005)
February 3, 2005 by Canadian UnderwriterWestern Financial Group has successfully netted $22.25 million from its offering of subscription receipts. The offering was made in part to fund the company’s acquisition of Federated Life Insurance Co. and the subscription receipts can be redeemed for a share…
Texas study vindicates use of credit scoring
February 3, 2005 by Canadian UnderwriterThe second phase of the study on credit scoring engaged by the Texas Department of Insurance (TDI), has found the use of credit scores in underwriting “significantly improves pricing accuracy when combined with other rating variables in predicting risk”, according…
S&P comments on potential non-renewal of TRIA
February 3, 2005 by Canadian UnderwriterWith no clear indication that the U.S. Congress will extend the Terrorism Risk Insurance Act (TRIA) beyond its December 31, 2005 sunset, the insurance industry is already seeing the potential impact of TRIA’s non-renewal, says a new report by Standard…
Commercial rates continue moderate decline: RIMS
February 3, 2005 by Canadian UnderwriterCommercial insurance rates continued their moderate decline for the fourth straight quarter, finds the latest market survey by the Risk & Insurance Management Society (RIMS) and Advisen.The fourth-quarter 2004 benchmark survey took in its greatest number of respondents ever, and…
Many concerns linger one year after privacy implementation: OIAA Claims 2005
February 2, 2005 by Canadian UnderwriterA full year into the implementation of the federal Protection of Information Privacy and Electronic Documents Act (PIPEDA), many issues remain unresolved for insurers, lawyers told delegates of the Ontario Insurance Adjusters Association (OIAA) Claims 2005 Conference in Toronto Wednesday.Lawyer…
S&P predicts Florida homeowners’ rates to rise 10%
February 2, 2005 by Canadian UnderwriterAs the day draws near for Florida’s insurers to request a rate increase following last year’s record hurricanes, Standard & Poor’s expects an average 10% increase may be in the offing.S&P’s Robert McNatt says insurers are in far better shape…
Slow premium growth but underwriting profit still predicted for 2005: III
February 2, 2005 by Canadian UnderwriterU.S. analysts are predicting property & casualty insurers will post a combined ratio of 98.9% in 2005, despite a slow down in premium growth, according to results of the Insurance Information Institute’s annual “Groundhog forecast”.Analysts from various investment and research…