Segment
Reinsurance
Fitch predicts reinsurers to post 97% combined ratio in 2004
September 8, 2004 by Canadian UnderwriterIn its assessment of the global reinsurance sector, Fitch Ratings is predicting a 2004 combined ratio of 97%, a slight improvement over 97.2% in 2003. The prediction follows the rater’s decision in July to change the sector’s outlook to stable…
Frances likely to be “major loss” to primary insurers
September 7, 2004 by Canadian UnderwriterWhile primary insurers are likely to face a “major loss” as a result of Hurricane Frances, the impact on their reinsurance counterparts is less clear, but likely to be less severe, according to early analysis by Fitch Ratings.Fitch notes that…
Hurricanes may force reinsurers to readdress frequency issue
September 7, 2004 by Canadian UnderwriterWhile the relative severity of losses from the recent hurricanes Frances and Charley is well below that of Hurricane Andrew, their coming in the same season may cause reinsurers to give more credence to frequency in predictive models, notes a…
Converium to restructure North American operations
September 1, 2004 by Canadian UnderwriterAs part of its plan to tackle reserving challenges, Swiss reinsurer Converium AG says it will run-off one of its North American companies, shifting some business to its other brand here. The company says Converium Reinsurance (North America) Inc. will…
Fitch takes dim view of Fairfax liquidity
September 1, 2004 by Canadian UnderwriterRating agency Fitch has placed a negative “rating watch” on Fairfax Financial Holdings and its subsidiaries, citing concerns over the insurer’s disclosure practices. Fitch says it will either downgrade or withdraw its ratings if its public disclosures do not give…
Swiss Re cites “resiliency” of Canadian economy
August 30, 2004 by Canadian UnderwriterSwiss Re’s August 2004 Canadian Economic Outlook suggests the nation’s economy has shown resiliency despite slowdown in other countries. Swiss Re chief economist Kurt Karl predicts GDP growth of 2.7% for 2004, and 3.5% in 2005 for Canada. He also…
World’s largest reinsurers report profit gains
August 29, 2004 by Canadian UnderwriterThree of the world’s largest reinsurers have recently reported healthy profit gains in the second quarter of this year.Zurich-based Swiss Re says it posted net income of CHF 1.4 billion for the first six months of 2004, up from CHF…
Fairfax expects US$35 million Charley loss
August 23, 2004 by Canadian UnderwriterToronto-based Fairfax Financial Holdings says its companies could be exposed to losses totaling US$35-$45 million as a result of Hurricane Charley. The preliminary estimates, which are net of reinsurance, include Odyssey Re, Crum & Forster and Northbridge.Other insurers are beginning…
Life reinsurance market marked by consolidation
August 22, 2004 by Canadian UnderwriterThe Canadian and U.S. life reinsurance markets are characterized by consolidation, with three players Swiss Re, Munich Re and RGA dominating the market, according to a new report by A.M. Best. The result has been price and term discipline, but…
Odyssey Re net income drops on realized gain dip
August 2, 2004 by Canadian UnderwriterFollowing in the footsteps of parent Fairfax Financial Holding, Odyssey Re Holdings Corp. (NYSE: ORH) saw earnings drop as a result of a massive slide in realized gains in the second quarter ending June 30, 2004.Net income was down to…
What’s new: In brief (July 28, 2004)
July 28, 2004 by Canadian UnderwriterFairfax Financial Holdings Ltd. says some of its affiliates have priced an offering of 3.1 million shares of common stock of Zenith National Insurance Corp. for gross proceeds of US$133 million. An overallotment of 400,000 shares was also offered to…
Fitch gives reinsurance sector stable outlook
July 27, 2004 by Canadian UnderwriterGlobal reinsurers are cleaning up their act, prompting Fitch Ratings to change its outlook on the sector to stable from negative, where it has been since 2001.Fitch says there should be fewer rating changes in the near term, and downgrades…