Inside FAC December 2018
With a number of reinsurance facilities set to either launch or renew around year-end, a mixed picture is emerging in terms of which projects are nearing completion, with facultative facilities appearing to lag behind treaty vehicles.
International capacity being withdrawn from the Singapore (re)insurance market is quickly being replaced by capacity from domestic Chinese carriers, Inside FAC understands.
AIG’s plans with respect to facultative reinsurance spending remain in the balance as the company reiterated its commitment to “using reinsurance to support sustained profitable growth”.
Lloyd’s managing agency Vibe Syndicate Management has cut the open-market property direct and facultative (D&F) book underwritten by Syndicate 5678.
Liberty Specialty Markets (LSM), the specialty and commercial lines carrier of Liberty Mutual, is to roll out a new Bermudian operation as it integrates the Ironshore Bermuda businesses and brands into a single entity.
StarStone is to cease writing excess casualty business from London, as of 1 January, and has put its London-based construction and excess casualty teams at risk of redundancy.
AIR Worldwide has issued an estimate for insured losses from the Camp Fire in Northern California in November of $6bn-$9bn, and updated its combined estimate for the Camp and Woolsey fires to $9bn-$13bn, in line with a previous estimate from rival modelling firm RMS.
As loss notifications for the California wildfires in November start to filter through, indications are that carriers’ exposures are tending towards the upper end of modelled estimates.
With losses from US wildfires set to exceed $10bn for the second consecutive year, the perception of the risk as a “secondary peril” is likely to change, according to Aon’s Impact Forecasting division.
Cyber insurers are reported to be anticipating a claim in the region of $300mn from a data breach revealed by the Marriott hotel chain in late November.
A fire that broke out at a warehouse belonging to US luxury retail store chain Macy’s in November is expected to be a $100mn loss to the cargo market.
A fire at a Greater London bus depot belonging to bus and rail operator Go-Ahead Group could cost (re)insurers in the region of £3mn ($3.8mn), after a number of vehicles were destroyed.
Insured losses from Typhoon Jebi, which made landfall in Japan on 4 September, have reached 585.1bn yen ($5.2bn), according to the General Insurance Association of Japan (GIAJ), making it the most expensive typhoon on record.
CNA Hardy has ceased underwriting new business at Lloyd’s Asia in Singapore and Lloyd’s China as it reins in its local underwriting presence in Asia.
Marsh & McLennan Companies (MMC), which acquired JLT Group in September, has begun the process of re-ordering its reinsurance operations, following changes to its specialty business earlier this month.
Berkshire Hathaway Specialty Insurance (BHSI) is expanding into the London construction market, with the hire of Simeon Seamer, head of construction for the Europe, Middle East and Africa region at Scor Business Solutions, to lead its new unit.
With the prospect of further claims from ageing infrastructure and defective new works, a hard construction market could be more than a flash in the pan
The facultative market is entering an era of growing opportunity, according to Toby Wemyss, head of Global Fac at Willis Towers Watson
With little sign of rates bottoming out in Singapore, some players are losing their nerve, finds Helen Yates. But Chinese carriers are more than happy to fill any capacity void…
With the Democrats regaining the House, more US states legalising cannabis use and Lloyd’s recently changing tack, the cannabis insurance market is poised for dramatic growth, as Marcus Alcock discovers
Ed Broking has appointed Andrew Draycott as CEO-designate, subject to regulatory approvals. He will take up the role once Ed’s acquisition by BGC Partners has completed. Draycott is global head of sales and retention at Ed and before was CEO of its energy, marine and construction division.
As it’s nearly Christmas, and our readers may be in high spirits at the prospect of an uptick in fac business, it seems like a good time to share one of Inside FAC’s favourite cocktail recipes.