Claims

Hurricanes starting point better predictor for landfall

By focussing on the 2004 and 2005 hurricane seasons, risk models may overestimate the probabilities of both U.S. landfall risk and potential insured losses, new research from AIR Worldwide says.”By only focusing on the 2004 and 2005 seasons, it is easy to forget every hurricane season is unique and actual landfall activity is a function […]

By Canadian Underwriter | January 7, 2008

1 min read

Claims

IBC calls for formation of working group to ensure best protection against B.C. earthquake

The Insurance Bureau of Canada has called for the formation of an ongoing working group between the insurance industry and the government of British Columbia to ensure residents of B.C. are protected as best as possible against an earthquake. Two strong earthquakes on Jan. 5 shook the area just south of the Queen Charlotte Islands, […]

By Canadian Underwriter | January 7, 2008

2 min read

Claims

Aon predicts 2008 will be even warmer than 2007

The first half of 2008 will likely bring warmer weather in southern Canada and increased storm activity in the southern United States, Aon’s Annual Global Climate and Catastrophe Report: 2007 says.The period between January and May 2008 will mainly be influenced by the El Nino/Southern Oscillation, which is an anomalous warming or cooling of the […]

By Canadian Underwriter | January 3, 2008

2 min read

Claims

2007 natural catastrophe losses increase without mega-catastrophe

Despite the absence of any mega-catastrophes, the global insurance industry had to cope with far higher natural catastrophe losses in 2007 than in 2006, Munich Re has reported on its Web site.”Despite the general absence of extreme events, overall economic losses had reached US$75 billion by the end of December an increase of 50% on […]

By Canadian Underwriter | January 3, 2008

1 min read

Claims (January 01, 2008)

Go-kart not an “automobile” on private track, court rules A go-kart operated on a private track is not an “automobile” according to the standard Ontario automobile insurance contract, the Ontario Court of Appeal ruled in Adams v. Pineland Amusements Ltd. Denis Potvin was driving a go-kart on a track owned and operated by Pineland Amusements […]

December 31, 2007

4 min read

What’s New: In Brief (December 19, 2007)

Phishing attacks in the United States soared in 2007, as US$3.2 billion was lost to these attacks, according to a survey by Gartner, Inc.Phishing is essentially the practice of luring Internet users to a fake Web site through the use of authentic-looking emails with a real organization’s logo in an attempt to steal passwords, financial […]

2 min read

2007 international p&c losses totalled US$25 billion

Natural and man-made catastrophes led to overall financial losses of US$61 billion across the globe, with property insurers contending with losses totalling US$25 billion, according to preliminary estimates by Swiss Re.Although the insured losses, at US$25 billion, were US$9 billion higher than in the previous year, 2007 is below the long-term trend, a Swiss Re […]

1 min read

Alberta insurer pays out Cdn$150 million for 2007 hailstorm claims

Agriculture Financial Services Corp. an Alberta crown corporation (with a private-sector board of directors) that provides farmers and agribusinesses with crop insurance and farm income disaster assistance paid out a record of more than 7,200 hail-related claims this year.The Edmonton Journal has reported that a record 89 hailstorms flattened farmers’ fields in the summer, resulting […]

2 min read

Beware of business interruption goblins

Underwriters need to beware of seemingly “harmless” business interruption (BI) coverages such as for interdependent and contingent losses, power outages and the financial consequences of prevented access that could accumulate into a big payout should a claim occur, Swiss Re warns.In its report, The Vitzliputzlis of Business Interruption Insurance, Swiss Re says a Vitzliputzlis is […]

1 min read

Facultative reinsurers looking to capital markets

Facultative reinsurers are exploring capital markets techniques that could boost their competitive position in hard markets, while at the same time allowing underwriters to reduce excess capital in soft markets, Benfield has written in the 08 edition of The Fac Report.”Structured as financial options, such market-based products in effect enable reinsurers to put down an […]

2 min read