News
New study highlights dangers of marijuana grow operations
December 23, 2003 by Canadian UnderwriterIn a report highlighting concerns over commercial marijuana grow operations, insurance concerns over the increased danger of fire are being brought forward by the Ontario Association of Chiefs of Police (OACP).The OACP-commissioned report speaks to several concerns, including the cost…
Auto accidents account for half of major injuries in Canada
December 23, 2003 by Canadian UnderwriterA new report from the Canadian Institute for Health Information (CIHI) notes that almost half of all major injuries sustained in 2001-2002, 47%, were the result of motor vehicle accidents. And men bore the brunt, accounting for 67% of all…
Rent Shield buys Lloyd’s provider
December 22, 2003 by Canadian UnderwriterRent Shield Corp., which provides specialized insurance and reinsurance products, has signed a letter of intent to purchase Toronto-based Canadian Intermediaries Ltd. (CIL) for $5 million in stock and cash.Rent Shield chairman Stephen Stonhill is the majority shareholder in CIL,…
Kingsway placement raises US$12.6 million
December 22, 2003 by Canadian UnderwriterKingsway Financial Services Inc. (TSX, NYSE: KFS) has completed its sixth private placement of trust preferred securities for the past twelve months, this time netting US$12.6 million.The placement included US$13 million in 30-year floating rate securities, with the proceeds earmarked…
P&C reserves are actually improving, says Conning
December 19, 2003 by Canadian UnderwriterDespite reports from rating agencies suggesting reserve deficiencies remain a major concern for U.S. p&c insurers, Conning Research & Consulting says the situation is actually improving.Although reserve deficiencies persist, significant reserve additions made by companies in 2002 have turned the…
StatsCan auto rate data misleads: Fraser Institute
December 18, 2003 by Canadian UnderwriterStatistics Canada data on auto insurance premiums is not only misleading, it caused the Bank of Canada to incorrectly hike interest rates, suggests a new study by right-wing think tank The Fraser Institute.The study says that StatsCan has been incorrectly…
Fraudulent cyclist tops list of insurance scams
December 18, 2003 by Canadian UnderwriterA scamming cyclist tops the list of insurance frauds for 2003, according to the annual survey by the Insurance Bureau of Canada (IBC). While the list makes light of ridiculous insurance frauds committed each year, fraud is no laughing matter,…
All is sunny in Bermuda market: A.M. Best
December 18, 2003 by Canadian UnderwriterThe Bermuda market experienced blue skies in the first nine months of 2003, according to data from rating agency A.M. Best. The top 15 Bermuda-based reinsurers and insurers posted a combined ratio of 87.5% year-to-date at the end of the…
2003 a “modest” year for cat losses: Swiss Re
December 17, 2003 by Canadian UnderwriterA new Swiss Re sigma study shows 2003 should be a relatively modest year for cat losses, with insurers paying out about US$17 billion (Cdn$22.5 billion) globally.The preliminary estimates put total financial losses from cats at US$65 billion (Cdn$86 billion),…
Forecasters predict 2004 will be “just right”: III
December 17, 2003 by Canadian UnderwriterWall Street analysts are predicting a solid 2004 for the U.S. insurance industry, according to the annual “earlybird forecast issued by the Insurance Information Institute (III).Analyst tell the III that a combined of premium growth and investment market recovery could…
Prior year losses and flattening prices stymie U.S. insurers
December 16, 2003 by Canadian UnderwriterDecelerating premium increases and adverse loss-reserve development chipped away at the strong premium growth and improved underwriting results of U.S. insurers in the first nine months of 2003, says rating agency A.M. Best. Each of reinsurance, commercial primary and personal…
S&P pegs US commercial reserve shortfall at US$60 billion
December 16, 2003 by Canadian UnderwriterNotwithstanding asbestos and environmental liabilities, the U.S. commercial insurance market is facing a reserve shortfall of about US$60 billion, says rating agency Standard & Poor’s. This is despite reserve additions of US$22 billion in 2002 towards prior year losses.“As its…