News
Munich Re downgraded on second-quarter loss
August 29, 2003 by Canadian UnderwriterAfter posting its second quarterly loss in a row, Munich Re saw its ratings further downgraded by Standard & Poor’s (S&P). The world’s largest reinsurer posted a first-half 2003 net loss of EUR603 million (Cdn$915 million), following net income of…
Insurers face US$250 million price tag on U.S. breast implant case
August 29, 2003 by Canadian UnderwriterA recent Minnesota Supreme Court ruling could see insurers paying out as much as US$250 million in claims related to breast implants. 3M, also known as the Minnesota Mining and Manufacturing Company, went to court with 29 insurers who balked…
Economic damage from Sobig virus estimated at US$7.05 billion
August 29, 2003 by Canadian UnderwriterThe month of August has been a challenge for computer networks, with two large viruses causing widespread damage, despite a drop in hacker attacks.In recent months, hack attacks had been a significant problem, largely politically motivated by the situation in…
RBC Insurance division produces higher net income on home & auto
August 28, 2003 by Canadian UnderwriterHome and auto insurance performance is the key factor in increased net income, says Royal Bank of its RBC Insurance division, along with Canadian life and reinsurance progress. The division reports that for the third quarter ending July 31, 2003,…
Western Financial increases Jennings Capital investment
August 28, 2003 by Canadian UnderwriterBroker network and banking company Western Financial Group (TSX: WES) says it has increased its investment in Jennings Capital Inc. Jennings is a western Canadian investment dealer which Western Financial says will add to its ability to offer investment products…
Securities litigation costs on the rise in the U.S.
August 27, 2003 by Canadian UnderwriterIn 2002 and the first seven months of 2003, settlements in U.S. securities litigation have continued to rise, according to a new study by PriceWaterhouse Coopers. For the first seven months of 2003, settlements reached US$1.5 billion, on 60 settlements.…
Insurers not impressed with Newfoundland auto reforms
August 27, 2003 by Canadian UnderwriterThe package of auto insurance reforms announced by the Newfoundland government yesterday is drawing the ire of insurers. The Insurance Bureau of Canada (IBC) says the government needs to “rethink” the reforms as they will add confusion and additional cost…
U.S. insurer surplus drops on investment decline
August 26, 2003 by Canadian UnderwriterDespite premium increases and better underwriting performance, the stock markets are hampering the recovery of U.S. p&c insurers, according to the Insurance Services Office Inc. (ISO).Although 2002 saw the largest premium increase in more than 15 years, industry surplus dropped…
Kansas pegs 2003 storm losses at US$256 million
August 26, 2003 by Canadian UnderwriterThe state of Kansas says 2003 has been a difficult year for insurers who have already paid out US$256 million for storm losses between April and July.“The storm season extended well beyond spring this yearand we’ve exceeded the amount of…
Newfoundland auto insurance plan includes optional coverage and rate freeze
August 26, 2003 by Canadian UnderwriterNew changes to Newfoundland’s auto insurance system announced today include optional coverage for minor pain and suffering, and a rate freeze.Following on the heels of other Atlantic provinces introducing changes to tackle rising auto insurance rates, Newfoundland has released a…
Pressure mounts from rating agencies: Swiss Re study
August 25, 2003 by Canadian UnderwriterWhile the opinion insurers hold of rating agencies is generally positive, many feel rating agency standards have become increasingly stringent, says a new study by Swiss Re.In “Insurance Company Ratings”, Swiss Re notes that insurers see rating agencies as “reasonably…
Kelowna fires leave 244 homes destroyed
August 25, 2003 by Canadian UnderwriterAfter a month of forest fires raging through areas of B.C., Kelowna is now the target zone. Some of the 24,000 residents under evacuation order were returning to their homes on Sunday, but many did not know if they would…