Risk

What’s new: In brief (October 26, 2004)

The Property-Casualty Insurers Association of America (PCI), says the issue of broker commissions has become confused the long-standing practice of contingent commissions is being lumped in with alleged acts of wrongdoing which are not accepted by the industry. “While those guilty of any illegal business practices should be punished, it is unfair to paint the […]

By Canadian Underwriter | October 26, 2004

1 min read

Risk

Third quarter of commercial market softening highlighted by RIMS survey

Average commercial insurance premiums dropped for a third consecutive quarter, according to the latest release of the RIMS/Advisen Benchmark Survey of corporate risk managers in North America.The survey finds softening across many lines of business on third quarter renewals, with property, excess and fiduciary liability dropping 2-3%, and general liability and directors’ and officers dropping […]

By Canadian Underwriter | October 26, 2004

1 min read

Risk

Lloyd’s challenges market to avoid “compliance silo”

A recent survey of Lloyd’s managing agents found that while 78% said the most important driver of good risk management is business benefit, half of those surveyed felt compliance was the best means of achieving good risk management.These results are disappointing and signal the need for Lloyd’s market participants to do more than “box ticking”, […]

By Canadian Underwriter | October 25, 2004

2 min read

Risk

Marsh CEO resigns; S&P gives negative outlook to commercial insurers

Ending weekend speculation, Marsh CEO Jeffrey Greenberg has resigned, amid civil charges filed against the international broker by New York Attorney General Eliot Spitzer. In a statement, Marsh says Greenberg “placed the interests of the company first” in resigning, and added that on Tuesday it would unveil changes to the way it does business “which […]

By Canadian Underwriter | October 25, 2004

2 min read

Reinsurers face “key test” with 2005 renewals: A.M. Best

The upcoming renewal season will be a “key test” of reinsurers’ resolve to maintain price discipline, says rating agency A.M. Best.Cedants and brokers will be expecting price softening, Specifically in the property line, despite the rash of catastrophe losses seen in the third quarter of 2004, the rater says. There may also be some expectation […]

2 min read

US commercial brokers report market competition and price softening

The average premium decline on commercial insurance accounts in the third quarter of 2004 was almost 6%, according to the latest quarterly market index from the U.S. Council of Insurance Agents and Brokers (CIAB).”Price competition has definitely returned to the marketplace, although more so for new business than renewal business,” says CIAB president Ken A. […]

2 min read

Teen driving not viewed as problem: poll

Although road accidents are the leading cause of death amongst young adults, a new poll is finding a surprisingly lack of concern about young driver safety.The poll, released by the Traffic Injury Research Foundation (TIRF) in Ottawa, finds that less than one-quarter of the 1,200 Canadian drivers surveyed believe young drivers are a serious problem […]

1 min read

RIMS names new executive director

The Risk & Insurance Management Society (RIMS) has chosen a new executive director to replace Jack Hampton, who exited the position this past summer. Mary Roth, most recently RIMS’ chief operating officer was named to the post. Roth has been with RIMS since 1985 in a variety of roles including assistant director of research and […]

1 min read

Commission investigation fueled by broker consolidation: Fitch

In its analysis of the recent civil charges filed against Marsh by New York Attorney General Eliot Spitzer, rating agency Fitch says the probe into broker commission practices may be an effect of broker consolidation.In a statement, the rater notes, “Fitch believes that this situation is partially an outgrowth of the greater market power that […]

2 min read

Aon Re Rendezvous: Industry likely to maintain discipline

The insurance industry may defy predictions that it will sink rapidly back into price competition given the number of lingering issues still hampering the industry.Speaking at the 3rd annual Aon Re Rendezvous, A.M. Best vice president John Andre says the issues still facing insurers include 2004’s hurricane catastrophe losses, the continued malaise of the investment […]

1 min read