A new report from Chatham House, a policy institute for international affairs based in the UK, paints a very dire picture for the future of the global insurance industry. The past two years have been incredibly difficult in terms of insurance. Two record-breaking years for natural disasters have left the industry rattled and somewhat disoriented. The impact of these disasters has taken a toll on the global economy as well, damaging what was already a fragile structure. According to the report, the global economy can only withstand one week of…
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Floods in Thailand causes insurance capacity to contract
Companies that have been waiting to resume business following the massive flooding last year are now struggling to restart their production again as a result of an insurance capacity that has been significantly reduced, and because those coverage options that are available have significantly higher prices and stricter terms. According to Aon Benfield, the insurance industry in the country saw significant losses which reached an estimated $10 billion as a result of the floods that began in the summer of 2011. Much of the insured losses came from the international…
Read MoreLawyers gain broadened professional liability coverage from OneBeacon
OneBeacon Insurance Group member, OneBeacon Professional Insurance (OBPI), has launched a broadened lawyers’ professional liability (LPL) coverage so that its protections will now include network security and privacy (NSP) liability. Lawyers can access this new offering in either of two possible ways, which are: 1. As an LPL policy endorsement 2. As its own standalone coverage According to the OBPI senior vice president of the LPL division, Kim Noble, these days, a law firm’s lifeblood is its information systems, and it is vital to protect those systems, as they may…
Read MoreSwiss Re expects long lasting economic impact from Thai floods
Swiss Re, a global reinsurance corporation, has released its estimates of the damage done by the recent flooding in Thailand. Heavy rainfall in July caused widespread flooding in many parts of Thailand. Waters first began receding in late October and many parts of the country are still inundated. More than 600 people have lost their lives to the disaster with many thousand more losing their homes. According to Swiss Re, the damage caused by the floods could cost the insurance industry as much as $11 billion. More than 1,500 industrial…
Read MoreAIR Worldwide Updates European Wind and Earthquake Catastrophe Models
MONTE CARLO, Sept. 12, 2011 – Catastrophe risk modeling firm AIR Worldwide (AIR) released updates to its Extratropical Cyclone and Earthquake Models for Europe. Both models were significantly expanded to include additional European countries and provide a consistent and comprehensive assessment of the extratropical cyclone and earthquake risk throughout Europe. “AIR Worldwide offers complete and robust extratropical cyclone and earthquake models for Europe,” said Dr. Jayanta Guin, senior vice president of research and modeling at AIR Worldwide. “With the expanded regions and enhancements to these models, insurers and reinsurers now…
Read MoreIrene Weakens to Tropical Storm as it Makes Landfall on New York’s Coney Island
BOSTON, Aug. 28, 2011 – According to catastrophe modeling firm AIR Worldwide, Irene deviated slightly from the NHC forecast track yesterday, taking a slight westward shift before resuming its north-northeast direction. This brought the center of the storm into New Jersey, near Little Egg Inlet, for its second landfall at 5:30 am this morning. Sustained winds, as reported by the NHC, were 75 mph. “It is worth noting, however, that as yet there have been no onshore wind observations of greater than tropical storm force since Irene made landfall near…
Read MoreProfessional Liability Insurance Services Announces its New Bedbug Coverage
The Underwriting Facilities of Professional Liability Insurance Services, Inc. announced that as of the start of June, it is offering an insurance coverage to lodging facilities for business interruption and extra expenses that result from infestations of bedbugs. According to the insurer, it is the first firm to offer this type of coverage. The features of its policy include the following: Expenses of up to $5,000 (no co-insurance applies) related to decontamination of the affected room(s) of the lodging, as well as the room(s) that are immediately adjacent. After the…
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