Newslink Global Insurance Trends
This week, the UK High Court handed down its judgement in the Financial Conduct Authority’s (FCA)’s business interruption insurance test case...
The Court found in favour of the arguments advanced for policyholders by the FCA on the majority of the key issues. The Association of British Insurers(ABI) said the judgement divides evenly between insurers and policyholders. Time will tell if there are any appeals from insurers, but one thing is certain-insurers must react quickly to pay claims where the ruling is clear. The Chartered Insurance Institute(CII) has regularly emphasized that building public trust in the insurance industry is an ongoing strategic issue-it has created a Chartered transparency forum to examine ways the profession can best meet the expectations of consumers. Looking forward, GlobalData research indicates that a substantial number of UK SMEs are interested in pandemic-specific cover.
The key to cyber risk resilience is a combination of risk management actions, both pre-and post attack, said S&P Global Ratings in a report, whilst the latest Beazley Breach Insight indicated middle-market cyber attacks rose during the pandemic. Marsh said captive use rose amid challenging global market conditions. Swiss Re introduced a triple-digit internal carbon levy to support transition to net-zero emissions in operations by 2030, and a Munich Re US white paper enquired: "Can We Use Lessons Learned from COVID-19 Pandemic to Mitigate the Risks of Climate Change?" China’s general insurance industry growth is to slow down in 2020 due to COVID-19, reported GlobalData.
Insurance Europe published its high-level views in response to a consultation by the EC on an intra-EU investment protection and facilitation initiative. It also responsed to a consultation by the EC on ethical and legal requirements for trustworthy artificial intelligence(AI) in the EU, and published its reply to a consultation by EIOPA on the (re)insurance value chain and new business models arising from digitisation. The latest Insurance Development Forum(IDF) white paper demonstrated the power of innovation and technology in closing the protection gap at micro-level.
Duck Creek partnered with WPS and InsurTechnix-jointly developed Cyban Solution which is available to general insurers in the UK. Experian extended its comparison offering to include car insurance. South African short-term specialist insurer Sasria selected Guidewire to support strategic business objectives, and Old Mutual in Zimbabwe upgraded to the new SSP Insurance Platform. Xceedance and Oasis LMF are offering on-demand exposure analysis services for US earthquake, flood, and hurricane catastrophe models. Ki, the first fully digital and algorithmically-driven Lloyd’s syndicate, announced that it has raised $500m of committed capital from two backers-funds managed by Blackstone Tactical Opportunities and Fairfax Financial Holdings.
Aviva is to sell a majority shareholding in Aviva Singapore to a consortium led by Singapore Life, but retain a 25% shareholding. Hannover Re expects to see significant price increases, and Compre announced a capital raise. There were senior appointments at Lloyd's and Canopius.