Newslink Global Insurance Trends
This week, the UK Insurance Industry Steering Group was formed to propose a response to the COVID-19 pandemic across the UK and London Market...
Yesterday, the Association of British Insurers(ABI) initially estimates that their members could pay out over £1.2bn in coronavirus claims. Trade credit insurer Euler Hermes downgraded the risk rating of 18 countries due to risk of recession and coronavirus-related bankruptcies, downgraded a record-high level of 126 sectors for the first quarter, and predicted a significant slowdown in global economic growth in 2020, as well as 4.5% contraction in international trade. Willis Re published a COVID-19 Impact Report saying that claims so far are likely to be manageable with reinsurers de-risking. DBRS Morningstar released a commentary headed "ESG Government Risk Factors: The Environment and COVID-19".
Global Data looked at the virus impact on insurance markets in Australia, Hong Kong, The Netherlands, and South Korea. The latest Confused.com/Willis Towers Watson report said uncertainty drives continued price fluctuations in UK motor premiums. Following the lead of several US insurers, Admiral is to give back £110m to its car and van insurance customers because of lower usage during the pandemic. The UK Ministry of Justice announced a delay to the implementation of the Whiplash Reform Programme until April 2021.
Aerial mapping company Bluesky International is partnering with the University of Leicester to develop a new portfolio of geospatial data products for the UK insurance sector. US -based EIS Group announced the UK launch of an intelligent digital insurance ecosystem initiative in collaboration with PwC. The FRISS add-on for fraud detection is now available for download by Guidewire customers, and a new version of Sapiens UnderwritingPro for Life & Annuities was announced. Exposure management tool Sequel Impact celebrated its 50th client(see the Insurance Newslink landing page under "Of Special Interest" for our interview with Sequel ceo Ian Summers a few months ago).
Hannover Re withdrew profit guidance for the current year, and SCOR successsfully renewed its 1st April portfolio. Beazley reported latest financials saying the early estimate of COVID-19 losses was $170m net. Beazley also extended its distribution capabilities in Asia Pacific following the authorisation by the Labuan financial regulator of a new service company, and is introducing a new product recall insurance policy for private enterprises in the US. Chubb and Travelers were early reporters of first quarter figures. There were senior appointments at Coverys and Swiss Re Corporate Solutions.