Canadian Underwriter


Dr. Tim Doggett, research scientist, at AIR Worldwide Corp.
Feature

Severe Thunderstorms – Canada’s Billion Dollar Risk

September 1, 2003 David Lalonde & Dr. Tim Doggett

According to the Insurance Bureau of Canada’s (IBC) “Facts 2002”, the individual perils that comprise severe thunderstorms – tornado, hail and straight-line winds – have been responsible for more than half of the natural catastrophe losses incurred by Canadian insurers over the past 20 years. While the earthquake threat in Canada is very real and must be managed, insurers should not ignore the risk of significant losses from severe thunderstorms.

Feature

Reinsurance Outlook: 2003 CAT Rates

August 1, 2003 Catherine Fagan, assistant vice president atSwiss Reinsurance Co. Canada

Although pricing of catastrophe covers began rising in the wake of the 9/11 terrorist attack, it is important to note that these rate increases only brought premium levels to a point last seen almost a decade ago. Should the Canadian insurance industry see a normal “cat burden” for 2003, then the combination of primary and reinsurance rate increases should be enough to allow reinsurers to see improved combined ratios at yearend. But, whether the market’s result will be good enough remains to be seen. Swiss Re’s annual cat study highlights the major factors likely to come into play in evaluating and pricing exposures.

Feature

2003 Hurricane Season: La Nina’s Revenge

July 1, 2003 Vikki Spencer

Insurers and reinsurers may soon find themselves caught in the “eye of the storm”, as La Nina rears its head once more, bringing in her wake predictions of increased hurricane activity. Should the Atlantic coast be hard hit this year by tropical cyclones, it would be a difficult blow for an industry trying to regain profitability. And, with even more meteorological mayhem expected for the winter season, La Nina may be a very unwelcome visitor indeed.

Feature

Catastrophe Modeling: Shifting Perceptions

June 1, 2003 Eric Gobble and Don Windeler at RMS

As Canada’s insurers seek to quantify their catastrophe exposure, earthquake models offer an insight into how technology can further underwriting. Even events south of the border illustrate the wealth of new information at insurers’ fingertips to better comprehend large losses that can have a significant impact on reinsurance and reserves.

David Keen
Feature Mergers and Aqcuisitions

“Kick-Starting” Competition in B.C.

June 1, 2003 Sean van Zyl, Editor

This year’s annual general meeting and conference of the Insurance Brokers Association of British Columbia (IBABC), which was recently held in Victoria, focused on implementation of increased competition in the province’s optional auto insurance marketplace. Also included in the association’s top priorities in the year ahead is facilitating increased underwriting capacity in commercial lines, where the province’s brokers have most experienced the effect of the “hard market” cycle.

News Insurance

U.S. cat losses hit US$1.46 billion in first quarter

April 15, 2003 by Canadian Underwriter

Bucking the trend of first quarter 2001 and 2002, the first three months of this year produced a relatively high US$1.46 billion in cat losses south of the border. However, the figure still represents a mid-range of losses compared to

Feature

National Broker Roundup: Back to Dating

April 1, 2003 Sean van Zyl, Editor

Insurers and brokers have always emphasized the close working relationship that has afforded both segments of the property and casualty insurance industry to not only survive, but presumably to prosper. Just over two years ago – the year 2000 BHM

Feature

Nuked Covers?

April 1, 2003 Craig Harris

Insurance and reinsurance companies are trying to get on the same page when it comes to exclusions, particularly for fire following nuclear incidents. According to sources, it’s a work in progress. Primary insurers are caught between a classic rock and

News Insurance

U.S. homeowners’ market still inadequate: Aon Re study

March 19, 2003 by Canadian Underwriter

Rate increases are not enough to help a struggling U.S. homeowners’ insurance market, says a new report by Aon Re Worldwide.Although the industry has increased rates by 7.8% since last May/June, and tightened underwriting, homeowners’ insurance stills falls short of

News Insurance

European floods top cat losses in below-average year: Swiss Re

March 12, 2003 by Canadian Underwriter

Insurers experienced below-average losses from catastrophes in 2002, according to a new sigma study by Swiss Re. Overall, natural and man-made losses cost p&c insurers US$13.5 billion (Cdn$19.9 billion) last year, with property losses below the long-term average since 1970.

Feature

Homeowner Property Losses: Underwater

January 1, 2003 Susan Vella, senior vice president of personal insurance at Chub

Water-related losses on homeowner property covers seem to be seeping increasingly into the red-ink. While insurers have been battling the onslaught of losses arising from auto business, water poses a new threat to personal property covers, one which insurers can

Feature

Capital Power

December 1, 2002 Sean van Zyl, Editor

In the latest edition of “Perspective” – the Insurance Bureau of Canada’s (IBC) quarterly industry financial newsletter – chief economist Paul Kovacs notes (with perhaps a hint of irony): “Not long ago, many [within the property and casualty insurance industry]