i-law

World Insurance Report

Europe

Howard Davies quits FSA Howard Davies, chairman and chief executive of the UK’s Financial Services Authority (FSA), has resigned his post to become director of the London School of Economics. Mr Davies, who will replace Anthony Giddens at the..
Online Published Date:  20 December 2002
Appeared in issue:  703 - 20 December 2002

North America

Pricing terror risks Chairman of the House Committee on Financial Services, Michael Oxley, was not joking when he said that getting the Terrorism Risk Insurance Act 2002 on the statute books was the easy part. Insurers are now under great pressure..
Online Published Date:  20 December 2002
Appeared in issue:  703 - 20 December 2002

World insurance stock prices

Company/group Currency 31/12/01 28/11/02 12/12/02 Change from 28/11/02 % Capitalisation US$ mn © World Insurance Report Ace US$ 40.15 33.41 32.16 (3.7) 8,447 AIG US$ 79.40 64.67 60.09 (7.1)..
Online Published Date:  20 December 2002
Appeared in issue:  703 - 20 December 2002

Company profile: NEM (West Indies)

Trinidad & Tobago nonlife insurer NEM (West Indies) Limited (NemWil) saw its pre-tax profits fall by 20% to TT$35mn (US$6mn) in 2001 as losses on its Lloyd’s operation and reduced investment income offset the increased profitability of..
Online Published Date:  20 December 2002
Appeared in issue:  703 - 20 December 2002

Company profile: Swiss Re Southern Africa

Swiss Re’s operations in South Africa, and in most other African countries, performed well in 2001. But its operations in Zimbabwe were seriously affected by the political instability and economic problems gripping the country and substantial..
Online Published Date:  20 December 2002
Appeared in issue:  703 - 20 December 2002

Le Mans Ré

French multiline reinsurer Le Mans Ré was set up by Bermuda-based XL Capital and French insurer Mutuelles du Mans (MMA) in 1999 as a joint venture in which MMA held 51%. But in January 2002 XL increased its shareholding in Le Mans Ré to..
Online Published Date:  20 December 2002
Appeared in issue:  703 - 20 December 2002

Insurance sector depressed by local investment market crisis

The insurance market in Cyprus saw a further sharp fall in premium income in 2001 as the poor performance of the country’s stock exchange continued to reduce demand for investment-related life products. Total premium income fell by 20% to..
Online Published Date:  20 December 2002
Appeared in issue:  703 - 20 December 2002

South Korean authorities crack down on unfair practice by insurers

In preparation for the introduction of bancassurance in South Korea next year, the Financial Supervisory Commission, the insurance regulator, is gearing itself to stamp out unfair practices in the industry. According to FSC vice chairman Yoo Jichang..
Online Published Date:  20 December 2002
Appeared in issue:  703 - 20 December 2002

AGF

Banque AGF, the banking offshoot of French insurer AGF, intends to offer more credit products – such as home loans – in an effort to increase the net banking product per customer from €100 (US$98.45) per year to €200. These..
Online Published Date:  20 December 2002
Appeared in issue:  703 - 20 December 2002

Hungarian insurers prepared for EU accession

The past ten years have brought such fundamental changes to the Hungarian insurance sector that EU accession will not present many new challenges to local insurers. This is the view of Mihály Patai, chairman and chief executive of Allianz..
Online Published Date:  20 December 2002
Appeared in issue:  703 - 20 December 2002

Germany’s HDI plans to demutualise by 2005

The German mutual group, Haftplichtverband der Deutschen Industrie VaG (HDI), which owns Hannover Re, is planning a stock market flotation in 2005. It is also planning to change its name to Talanx. Details of the flotation have not been finanlised...
Online Published Date:  20 December 2002
Appeared in issue:  703 - 20 December 2002

French flood losses

The floods in south-eastern France in September of this year caused insured damages of some €700mn ($689mn), according to figures released by the Federation Francaise des Societes d’Assurances (FFSA). The floods, which affected the..
Online Published Date:  20 December 2002
Appeared in issue:  703 - 20 December 2002

Berlin conference report: how medical progress drives insurance

R ising life expectancy, rapid advances in medical technology and genetic testing were debated at a conference in Berlin entitled How medical progress drives society and insurance . The conference was organised by the international insurance think..
Online Published Date:  20 December 2002
Appeared in issue:  703 - 20 December 2002

Asia Pacific

Australian pool The Australian parliament is currently debating legislation to set up a A$10.3bn (US$5.8bn) terrorism insurance pool for property risks. The proposed pool will be funded by premiums collected from local insurers as well as bank..
Online Published Date:  20 December 2002
Appeared in issue:  703 - 20 December 2002

27 November–9 December 2002

Property and business interruption 28.11, explosion, injuries Mexico: an explosion at a Gulf coast refinery controlled by the state-owned oil monopoly Petroleos Mexicanos (Pemex) injured eight workers. According to a Pemex statement, a sudden..
Online Published Date:  20 December 2002
Appeared in issue:  703 - 20 December 2002

Company profile: Polskie Towarzystwo Reasekuracyjne (Polish Re)

Polish reinsurer Polskie Towarzystwo Reasekuracyjne (Polish Re) returned to profit in 2001 after posting its first ever loss in 2000. The company, which was established in 1996, recorded a pre-tax profit of Z3.6mn (US$1mn) in 2001 compared with a..
Online Published Date:  20 December 2002
Appeared in issue:  703 - 20 December 2002

Peru insurance premium growth to slow down to 12% next year

Rafael Freire, chief executive of insurer Rimac Internacional, estimates that premium income in Peru might rise by 17% in 2002 after the increase in insurance costs following higher reinsurance prices. However, his premium growth expectations for..
Online Published Date:  20 December 2002
Appeared in issue:  703 - 20 December 2002

Mitsui Mutual Life turns to Sakura bank in bid to increase capital

Japan’s Mitsui Mutual Life said that it is seeking a capital injection of ¥130 to ¥150bn from Sakura Bank and other Mitsui Group firms. The news comes at a time when falling premiums and poor investment returns due to sliding stock..
Online Published Date:  20 December 2002
Appeared in issue:  703 - 20 December 2002

India excludes stockbrokers from insurance business

India’s Insurance Regulatory and Development Authority has barred stock brokers from acting as insurance brokers, and vice versa. The government wants each to exclusively focus on their core businesses and not stray into adjacent areas in the..
Online Published Date:  20 December 2002
Appeared in issue:  703 - 20 December 2002

Merger to create fourth largest Polish insurer

The legal procedures have now been completed for the merger between Polish life insurance companies Towarzystwo Ubezpieczeniowe Compensa Zycie SA and Towarzystwo Ubezpieczen′ na Zycie Vienna Life SA. Compensa Zycie and Vienna Life have been..
Online Published Date:  20 December 2002
Appeared in issue:  703 - 20 December 2002

Uphill struggle for companies despite the hardest market in decades

How has the US reinsurance sector fared in recent months? The most obvious piece of good news in the Reinsurance Association of America’s (RAA), recently published survey of US reinsurers statutory results for the third quarter 2002 is that..
Online Published Date:  20 December 2002
Appeared in issue:  703 - 20 December 2002

Be careful what you wish for

On 26 November 2002, President Bush signed the Terrorism Risk Insurance Act of 2002 into law. The legislation provides for a temporary risk-sharing mechanism among the Federal government, insurers and insurance policyholders for insured losses..
Online Published Date:  20 December 2002
Appeared in issue:  703 - 20 December 2002

Central Bank supervision

Tighter regulation of the Trinidad and Tobago insurance industry – the second largest in the Caricom region – is finally on the cards and the first step will be bringing companies under the control of the Central Bank. A little over two..
Online Published Date:  20 December 2002
Appeared in issue:  703 - 20 December 2002

Doctors sue medical insurers

Providing third party liability cover to France’s doctors now involves more than just the usual risks. Two doctors’ associations, Afirm (Alliance pour le Financement de la Retraire des Medecins) and UCCSF-Alliance, have sued two mutuals,..
Online Published Date:  20 December 2002
Appeared in issue:  703 - 20 December 2002

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