Claims

Standard & Poor’s takes Lloyd’s off CreditWatch

Standard & Poor’s Ratings Services has affirmed its ‘A’ long-term insurer financial strength rating on the U.K.-based Lloyd’s insurance market and removed the ratings from CreditWatch, where they had been placed with negative implications on Sept. 9, 2005.The outlook for Lloyd’s is now stable, S & P has affirmed. At the same time, S& P […]

By Canadian Underwriter | December 12, 2005

2 min read

Claims

State Farm issues refunds in Alberta

State Farm Insurance is issuing refunds to approximately 6,300 automobile insurance policyholders in Alberta as a result of an error in the application of a New Business Discount that was introduced in 2000.The average refund is approximately $74.00State Farm reported the error to the Alberta Superintendent of Insurance and advised of its plan to process […]

By Canadian Underwriter | December 12, 2005

1 min read

Claims

Reinsurers cannot collect duty-of-care (December 08, 2005)

The U.K. Court of Appeal recently ruled that excess-of-loss coverage cannot be denied even on the grounds that reinsurance buyers owe their reinsurer a duty of care to underwrite original risks prudently, unless this duty of care is stated in policy wordings.In the nonproportional energy reinsurance coverage case of ‘Bonner & Others vs. Cox & […]

By Canadian Underwriter | December 8, 2005

1 min read

Claims

TSR predicts active 2006 Atlantic hurricane season

The United States and the Caribbean should brace themselves for yet another busy Atlantic hurricane season in 2006, according to Tropical Storm Risk (TSR), a forecasting consortium.TSR predicts landfalling hurricane activity in the United States and the Atlantic basin during the 2006 season will be 60% above the norm for 1950-2000. “The two main climate […]

By Canadian Underwriter | December 7, 2005

2 min read

Survey pegs Ontario winter tire usage at 29% (December 05, 2005)

Although drivers in Canada are more frequently switching to the use of winter tires during the snowy months, only 29% of Ontario drivers make use of winter tires, according to a recent study by the Canadian Press and Leger Marketing.The results of the study, released by the Transport Canada and the Rubber Association of Canada […]

2 min read

Cat losses Number 1 threat to insurers’ solvency

A.M. Best Co. says it “considers catastrophic loss, both natural and man-made, to be the Number 1 threat to the financial strength and credit quality of property and casualty insurers” in the face of increasing exposures.In a recent report, A.M. Best says it is concerned about “the rapid escalation in insured exposures over the past […]

2 min read

Insurance industry calls for gas emission reductions at Kyoto conference

Members of the insurance industry are among a group of Canadian business representatives that is calling on the federal government to embrace the new plan to reduce greenhouse gas emission beyond the current Kyoto deadline of 2008-12.Among the members of the Executive Forum on Climate Change are: Alban D’Amours, ceo, Desjardins Group; George Cooke, ceo, […]

1 min read

Peel tests new road temperature sensors (December 02, 2005)

The Region of Peel is pilot-testing a new initiative this winter, the Road Temperature Monitoring System, to help monitor winter road conditions.The system uses a series of round road markers the size of hockey pucks to advise winter control staff of pavement temperatures approaching the freezing point. “Air temperature and road temperature are not directly […]

2 min read

Catastrophic losses lead to higher reinsurance costs

Reinsurance costs will likely see an increase next year as a result of 2005’s catastrophic hurricane season. Hurricane Katrina and the other major hurricanes of 2005 will lead to an increase in reinsurance costs next year, executive vice president and chief financial officer of Arch Capital Group Ltd. (ACGL) John D. Vollaro reports. Presenting at […]

1 min read

Hurricane losses mounting, industry reports

With additional information regarding claims and losses resulting from this years three major hurricanes flowing through the pipelines, many insurers and reinsurers are updating their loss forecasts associated to Hurricanes Katrina, Wilma and Rita.Kiln P.L.C., which operates Lloyd’s of London syndicates 308, 510, 557 and 807, says the pretax cost of the hurricanes may range […]

2 min read