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AM Best warns on reserves
After XL Capital's unexpected reserve charge of $191mn, the agency warned that more reinsurers may have to augment their reserves for the 1997 to 2001 period
Online Published Date:
15 July 2005
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767 - 15 July 2005
Court decision reverses trend on policy notification clauses
Saffron Tofield*
and Peter Driscoll*
look at the extent to which the decision by the Court of Appeal in Sirius International Insurance –v– Friends Provident Life & Pensions Ltd (May 2005)
restricts the scope of insurers to reject a claim on the grounds of a breach of the policy notification clause by the insured. They also consider the remedies available to insurers
Online Published Date:
15 July 2005
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767 - 15 July 2005
Cost of European windstorm claims likely to increase by 66%
Climate change could push up the annual cost of flooding in the UK by a factor of 15 by 2080
Online Published Date:
15 July 2005
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767 - 15 July 2005
Scor Vie
Scor Vie
Scor Vie (Scor's life reinsurance division) reported an increase of 3.6% in its consolidated embedded value before tax which rose from €827.7mn in 2003 to €857.6mn (US$1,020.5mn) in 2004. At the same time, the after tax..
Online Published Date:
15 July 2005
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767 - 15 July 2005
Mitsui Sumitomo in Russia
Mitsui Sumitomo in Russia
Japanese non-life insurer, Mitsui Sumitomo, has opened representative offices in Moscow and St Petersburg and has entered into a ‘fronting arrangement’ with Russian insurer Ingosstrakh to provide insurance cover..
Online Published Date:
15 July 2005
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767 - 15 July 2005
Loss modelling
Loss modelling
Lloyd's of London's Loss Modelling Department has licensed AIR Worldwide's catastrophe risk management system to assess the risk from global catastrophes and for the simulation of Realistic Disaster Scenarios..
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15 July 2005
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767 - 15 July 2005
Growing number of insurance brokers driving down rates
Although underwriting results in respect of most classes have been good to date, insurance company profits are likely to suffer should the current levels of competition continue; particularly now that reinsurance terms are hardening.
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15 July 2005
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767 - 15 July 2005
Fall in sterling shields UK insurance stocks from terror attacks
AIG saw biggest rise of the fortnight after the group reported strong first-quarter results and moved to restore its financial accounting credibility
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15 July 2005
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767 - 15 July 2005
American International Group
Restatement of accounts resulted in a reduction of $3.9bn in the group's net income for the past five years
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15 July 2005
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767 - 15 July 2005
Liability, awards & settlements
24. 6, wrongful death, award
US: the family of a 12-year-old boy who was electrocuted at a bus stop shelter was awarded $65.1mn in a civil trial against the outdoor advertising company that built and wired the structure. A Florida jury decided..
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15 July 2005
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767 - 15 July 2005
North America
Metlife completes acquisition
MetLife completed its acquisition of Citigroup's Travelers Life & Annuity business in the US and all of Citigroup's international insurance businesses for $11.8bn. According to a Metlife statement the..
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15 July 2005
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767 - 15 July 2005
Asia
Banks and insurers in China
China's fifth largest bank, the Bank of Communications, will launch an insurance company with head offices in Beijing and Shanghai. The company which will have a share capital of between US$60mn and US$100mn,..
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15 July 2005
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767 - 15 July 2005
Europe
Amlin calls off Chaucer bid approach
Lloyd's insurer Amlin has called off a possible offer for fellow Lloyd's underwriter Chaucer after completing due diligence. In a press release Amlin said that “sufficient value for its shareholders..
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15 July 2005
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767 - 15 July 2005
Aviation
27. 6, crash, fatality
US: billionaire John Walton, the second son of Wal-Mart Stores founder Sam Walton and a Wal-Mart board member, died when a small plane he was piloting crashed shortly after take-off near his Wyoming home. Walton, an..
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15 July 2005
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767 - 15 July 2005
Natural catastrophes
24. 6, storm, damage
US: a freak windstorm hit the Cape Girardeau Regional Airport, Missouri, causing substantial damage to hangars, planes and the airport terminal.
26. 6, floods, fatalities
El Salvador/Honduras: heavy rains caused flooding and..
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15 July 2005
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767 - 15 July 2005
Marine
30. 6, fire, capsize
Taiwan: passenger ship Royal Pacific
(9,805 gt, built 1967) capsized alongside a pier at Kaohsiung due to the weight of water used during firefighting operations. The vessel caught fire during welding operations. All 211 crew..
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15 July 2005
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767 - 15 July 2005
Property & business interruption
24. 6, fire, damage
UK: part of a tea-packing factory collapsed after the building in the Knowsley Industrial Estate, Merseyside, was gutted by fire. The factory was owned by Gold Crown Foods, one of the UK's largest suppliers of tea and..
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15 July 2005
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767 - 15 July 2005
Late reports
13. 6, earthquake, fatalities
Chile: a strong earthquake struck northern Chile, killing at least 11 people, and destroying or damaging 9,235 houses in several Andean mountain villages. The quake also shut down BHP Billiton's 115,000-tonne-a-year..
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15 July 2005
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767 - 15 July 2005
IDB takes 16% stake in offshore reinsurer
The deal will improve the prospects of a viable Islamic reinsurance market
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15 July 2005
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767 - 15 July 2005
Market set for EU entry in 2008
Life insurance accounted for 23.2% of the market in 2003, against 8.2% in 1998
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15 July 2005
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767 - 15 July 2005
European Free Trade Association agency launches integration and competition enquiry into insurance and banking sectors
Despite EFTA's best efforts there is very little cross border trade in the region's financial services sector
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15 July 2005
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767 - 15 July 2005
Stronger case for continuation of TRIA after London terror attacks
As group life insurance was never included in TRIA, group life insurers have been in the precarious position of choosing to remain in the marketplace without a reinsurance backstop or exiting from the market
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15 July 2005
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767 - 15 July 2005
US terrorism cover after TRIA
US terrorism cover after TRIA
A recent US Treasury report found that the Terrorism Risk Reinsurance Program (TRIA) signed into law by President Bush in 2002 has been effective in meeting its goals of supporting the industry during a transitional..
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15 July 2005
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767 - 15 July 2005
Easing crossborder trading
New regime should make it easier to determine which laws should apply in cross-border disputes involving ‘non-contractual obligations’
Online Published Date:
15 July 2005
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767 - 15 July 2005