AAIS CEO on disruptive technology, new economy, regulation & ‘CannaBOP.’ AAIS President and CEO Ed Kelly discusses the major issues industry executives are concerned about heading into 2018, including technology, the new economy and buying behavior, as well as government regulation. While technology remains an enabler in the insurance industry, Mr. Kelly notes that the new uses of technology are the “disruptors.” “We’ve seen that with automation…the use if drones, … Read More
“Lone Wolf Terror” and the rapid evolution/frequency of liability exposures. Saad Mered, Group Chief Claims Officer at Zurich, lays out key concerns of risk managers today including the emergence of liability internationally, the frequency of claims, and the unexpected impact of “lone wolf terror” attacks. Mr. Mered sees the rapid evolution of liability frameworks in many countries as surprising to risk managers and carriers alike. The trend is emerging even … Read More
Cyber Update: Ransom-ware of Things, Malware as a Service Industry, Risk Management Tips. Emy Donavan, Global Head of Cyber at Allianz Global Corporate & Specialty, provides an update on the world of cyber risk, including an increase in attacks on consumer devices, malware as a business, and tips for risk managers looking to prepare for inevitable attacks. More recent developments in cyber risk include an increase in attacks on consumer devices such as … Read More
Protectionism, Middle East conflicts and water scarcity driving geopolitical risk. David Anderson, Head of Credit & Political Risk at Zurich Insurance Group, explains the key findings from a recent study released along with the Atlantic Council, a think tank in Washington DC. The report entitled “Our World Transformed: Geopolitical Shocks and Risks”, looks at global risks with geopolitical consequences and interconnections. Mr. Anderson says, for example, if multiple economies start … Read More
Ironshore CEO discusses emerging tech, the “Trump Effect”, PPPs, M&As and more. Kevin Kelley, CEO of Ironshore, addresses the key concerns of risk managers today, including emerging technology, the “Trump effect”, PPPs, M&As, and more. One of the biggest concerns of risk managers is technology and how digital transformation will affect their business and how exposures may change as a result. Emerging technologies are having a significant impact on risk managers. According … Read More
The risks of the religious…and opportunities in assisted living & not-for-profits – Church Mutual CEO Richard Poirier is CEO of Church Mutual Insurance, which focuses primarily on the risks of faith-based ministries, as well as public schools, assisted living facilities, non-profits and secular and religious camps. Mr. Poirier points out some risks to physical plants of social service facilities, including workplace violence, active shooters, cyber security, and the unpredictable weather. According to Mr. Poirier, flood … Read More
Small Business Insurance Market being reshaped by new entrants, new capital, new distribution channels. Leslie Rippley, VP of Commercial and Agricultural Lines at AAIS, sees a lot of change in the small business insurance segment with regard to technology, appetite, and a continuing flow of capital. Ms. Rippley says the carriers that introduced BOP (Business Owner Policy) products in the 1980s once dominated the small business category. Now, new entrants, news capital, new distribution … Read More
Record breaches, D&O risk, new regs… All part of Billion-dollar cyber insurance market. According to Symantec, a record-setting nine mega-breaches were reported in 2015, each compromising more than 10 million records. But cybercrime affects more than just large companies. Microsoft says 20 percent of small to midsized businesses have been victims of cybercrime as well.. Fitch estimates the 2015 cyber insurance market to be close to $1 billion in direct written premium, and estimates the … Read More
Arch buys AIG mortgage insurance business to become world’s largest AIG has agreed to sell United Guaranty Corporation (UGC), its mortgage-guaranty unit, to Arch Capital for about $3.4 billion – $2.2 billion in cash – the rest in Arch Capital stock. In January, AIG said it would spin off the mortgage insurance unit to fend off activist shareholders Carl Icahn and John Paulson. AIG’s President and CEO Peter Hancock says … Read More
Pokémon GO spawning lawsuits and liabilities The augmented reality game Pokémon GO has earned more than $200 million in net revenue since it launched in July. Avid Pokémon GO players have chased cartoon monsters onto private property, cemeteries and national monuments….and here come the lawsuits. A New Jersey resident is seeking a class-action suit against Niantic and Nintendo on behalf of all Americans whose properties have … Read More
Insurers support Olympics/ IOC with over $1B in coverage The 2016 Olympics are underway amid anxious insurers covering the Games in Rio. The International Olympic Committee (IOC) acquired approximately $1 billion in coverage for this event. The policy underwritten by Swiss Re and Munich Re, covers event cancellation due to a natural catastrophe, civil unrest, pandemic or terrorism. Terror coverage for the Olympic Village, which houses the athletes, has … Read More
WEF: Global Risks more interconnected…more imminent The Global Risks Report 2016, published by the World Economic Forum and its Global Competitiveness and Risks Team, draws attention to ways that global risks may evolve and interact in the next decade. The 11th edition of the report includes perspectives from nearly 750 experts regarding the impact and likelihood of prevalent global risks, including economic risk, environmental, geopolitical, societal … Read More
“Scary” that today’s underwriting results are “not what they appear on paper.” Steve Crim is a founding partner of C&S Specialty Underwriters, specializing in commercial casualty risks. He speaks with WRIN.tv about the causes and impact of prolonged soft market conditions on the insurance industry. Mr. Crim says the soft market, caused by excess capital in the insurance system is putting pressure on insurance rates, negatively impacting underwriting margins. He believes “most … Read More
Emerging/Cyber risk, soft market, regs and governance add complexity in insurance Nancy Gray, a Regional Managing Director at Aon Insurance Managers, speaks with WRIN.tv about the growing complexity in the insurance industry due to emerging risks and regulation. According to Ms. Gray, the risks have grown more complicated. She notes that ten years ago we were not speaking about cyber risk and the many other emerging risks we see today. She … Read More
Wisconsin changes course – allows RRGs to underwrite healthcare liability Tim Padovese, President & CEO at Ophthalmic Mutual Insurance (OMIC), speaks with WRIN.tv about Wisconsin legislation that will now allow RRGs to write healthcare liability cover. He notes that this landmark decision will allow the State’s ophthalmologists to gain access to important medical professional liability coverage and the risk management and claims services that will provide for better patient safety. … Read More
Property insurers fear the “Big One” and “Death of a Thousand Cuts” – RPS National Property President Wes Robinson, National Property President at Risk Placement Services (RPS), discusses the state of the E&S property insurance market with WRIN.tv during the recent NAPSLO Convention. He says the market conditions in the surplus property market as “very soft.” For the past several years property rates have been declining. This past year saw significant declines, particularly in the catastrophe market. … Read More
Data and technology issues for insurers: cost, price optimization, innovation and new entrants like Google – AAIS CEO Ed Kelly, President & CEO of the American Association of Insurance Services (AAIS), speaks with WRIN.tv about data and technology, ‘price optimization’, and new product development. Mr. Kelly sees two sides to the data issue: how to protect it, and how to use it appropriately in a business like insurance, including price optimization.” He acknowledges the regulatory debate over price … Read More
Lexington CEO comments on data/risk modeling, 2015 hurricane season, capital and commoditization During the 2015 National Association of Professional Surplus Lines Offices (NAPSLO) Convention in San Diego, WRIN.tv spoke with Jeremy Johnson, President & CEO of Lexington Insurance, where he discusses the transformational impact data and modeling has had on all industries like insurance, the “benign” 2015 hurricane season and the danger of insurance being commoditized due to the influx of alternative … Read More
A.M. Best optimistic about Medical Professional Liability market In highlights from its First Monday series, A.M. Best’s Senior Financial Analyst Dan Teclaw discusses the profitable Medical Professional Liability (MPL) market. According to A.M. Best, 2014 was the ninth straight year of underwriting profit, significant rate increases and tougher underwriting. Mr. Teclaw sees medical professional liability premiums coming down due to competition, and the market is slowing He notes … Read More
Top D&O risks to executives: Regulation, M&As and Securities Litigation – Arch EVP. WRIN.tv spoke with John Rafferty, EVP at Arch Insurance Group about the recent trends in executive liability during the 2015 RIMS Conference in New Orleans. He said the top three executive risks facing large companies involve the regulatory environment, mergers and acquisitions (M&A) and securities class action litigation. According to Mr. Rafferty, the regulatory environment has become … Read More