US industry trade groups have suggested their own proposal for covering future outbreaks, and provide a number of reasons for why they want the Pandemic Risk Insurance Program (Pria) proposed by House Democrats to be ripped up.
The private ILS collateralised reinsurance market will face significant Covid-19 losses from ground-up transactions such as private QS deals and sidecars, leading to another year of trapped capital and potential investor discontent.
In a curiously precise estimate, Lloyd’s predicts Covid-19 will cost the non-life industry $203bn in insured and investment losses, making it the largest loss event ever experienced by the global market by some distance.
Industry loss warranty (ILW) spreads have become increasingly tight in the past two weeks as the market nears the 1 June renewals, new data from Tremor shows.
London loses reinsurance ground but strengthens overall position, finds latest London Matters report
The London Market continues to lose ground on its global reinsurance competitors but has strengthened its position as the leading overall global (re)insurance hub, according to the latest iteration of the London Matters report.
Brokers report that Covid-19 has added a further layer of stress for US professional lines, with underwriters preparing for losses and some accounts proving very tricky to place.
Covid-19’s impact on the economy may have leapt to the top of the list of risk professionals’ biggest concerns in the latest World Economic Forum study, but the threat posed by pandemics has been conspicuous by its absence from the thinking of insureds in recent years.
UK-headquartered carriers and brokers have so far pledged over £150mn ($183mn) in donations to charities supporting coronavirus relief efforts amidst growing criticism of the industry’s response to the crisis.
Specialty insurer Hallmark Financial was the hardest hit on yet another red week on Wall Street with its stock shedding almost 25 percent of its value over the five day trading period to lead the sell-off across The Insurer’s universe of US-listed P&C carriers and brokers.
In what proved to be another volatile week for European P&C stocks, shares in London-listed Beazley shed over 15 percent of its value over the five day trading period to lead a renewed sell-off across The Insurer’s universe of European-listed carriers.
Proclamations from politicians, judges and civil authority officials could prove influential as plaintiffs suing their insurers over Covid-19 business interruption (BI) losses look to argue that direct physical damage has been caused.
Pricing and rates continue to harden in North America’s insurance market with Covid-19 only serving to accelerate the transition as losses and low interest rates take their toll on underwriters’ ability to turn a profit.
Just $4.2bn of an emerging, albeit wide-consensus range of $30bn to $100bn of (re)insurance industry losses relating to the Covid-19 outbreak have been booked, according to Willis Re.
German insurance giant Allianz today revealed it had experienced Eur500mn ($542mn) of Covid-19 related losses in its P&C division in the first quarter, as well as Eur300mn in its life and health business, the largest estimate yet from any European P&C insurer.
Most lines of US commercial insurance saw accelerating renewal rates in April compared to March 2020, according to the latest Ivans Index update.
A bill introduced in Pennsylvania at the end of April takes a different approach to business interruption (BI) claims by stipulating that “direct physical damage” includes the presence of Covid-19.
Arch-backed Bermudian Watford Re saw its shares climb almost 17 percent to lead The Insurer’s universe of US-listed brokers and carriers while Wall Street posted consecutive rallies to end last week higher amid the prospects of the global economy reopening soon.
In a volatile week for European P&C stocks, a long-short on Hiscox-Allianz would have resulted in a 24 percent gain, highlighting the variation in equity performance last week.
Munich Re today revealed it had set aside Eur800mn for Covid-19 related losses, leap-frogging rival Swiss Re in disclosing the industry’s largest estimate yet for the pandemic.
Recent weeks have seen US plaintiffs look to consolidate Covid-19 business interruption (BI) coverage disputes through class actions and other means that industry observers counter are not suitable for insurance.