Posts Tagged ‘Catastrophe’



April 20th, 2017

Public Sector Risk Financing Perspectives in Europe/Middle East/Africa: Part II: Public Sector Strategic Initiatives in EMEA

Posted at 1:00 AM ET

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Charles Whitmore, Managing Director

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Organizations throughout EMEA have significantly increased the establishment of strategic initiatives to close the protection gap and improve society’s ability to recover from the devastating impact of natural catastrophe losses. Marsh & McLennan Companies’ Risk & Insurance Services Segment, comprised of Guy Carpenter and Marsh, have developed resources and expertise to help clients in this area.

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April 19th, 2017

Public Sector Risk Financing Perspectives in Europe/Middle East/Africa: Part I

Posted at 1:00 AM ET

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Charles Whitmore, Managing Director

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On a global basis, approximately 70 (1) percent of the economic loss caused by natural catastrophe events is not covered by insurance. This gap, the cost of uninsured events, frequently falls on governments through disaster relief, welfare payments and infrastructure repair and rebuilding. The ultimate cost of these responses causes a strain on public balance sheets and an increase in public debt, ultimately burdening taxpayers. The protection gap is increasing in emerging economies especially where the amount of natural catastrophe economic loss covered by insurance dropped from 25 percent in 2002 to approximately eight percent in 2014.

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April 13th, 2017

Analytics: Fueling Risk-Informed Decisions: Part II: Portfolio Analytics

Posted at 1:00 AM ET

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Tim Gardner, President, North America

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With robust portfolio analytics, including advanced actuarial and catastrophic risk modeling, insurers are able to manage portfolio risk with confidence. Notable new portfolio-based models are being used for emerging areas such as casualty catastrophe and cyber risk assessment. Significant advances in sub peril modeling, such as for flood, have also transformed previously non-modeled perils into modeled perils, greatly improving knowledge and underwriting decisions in many regions.

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April 12th, 2017

Analytics: Fueling Risk-Informed Decisions: Part I

Posted at 1:00 AM ET

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Tim Gardner, President, North America

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Today’s rapidly changing global environment presents insurers with many challenges and opportunities as capital management and risk transfer techniques evolve at an unprecedented pace. Stakeholders, regulators and ratings agencies are deepening their focus on risk management practices, and revolutionary developments in technology, including the Internet of Things and hyper-connectivity, are driving companies to adapt to the challenges that senior management faces to support risk management decisions material to their business.

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March 30th, 2017

Public-Private Insurance Partnerships Bolster Latin American/Caribbean Resilience: Part IV

Posted at 1:00 AM ET

aidan-pope-headshot-sm25Aidan Pope, Managing Director

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Mexico’s risk management strategy has earned a strong reputation in the international community. The World Bank said it is “at the vanguard of initiatives aimed at the development of an integrated disaster risk management framework, including the effective use of risk financing and insurance mechanisms to manage the fiscal risk derived from disasters,” highlighting it as an example for other governments to follow (1).

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March 29th, 2017

Public-Private Insurance Partnerships Bolster Latin American/Caribbean Resilience: Part III: A Lesson in Resilience from Mexico

Posted at 1:00 AM ET

aidan-pope-headshot-sm24Aidan Pope, Managing Director

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The Mexican federal government’s risk management strategy exemplifies a modern, resilient disaster preparedness plan, including pre- and post-event approaches and public-private partnerships. Following the 1985 Mexico City earthquake, the Mexican National Civil Protection System (SINAPROC) was created, establishing a multi-level system to integrate stakeholders from the three levels of government, the private and social sectors, academia and scientific organizations. Its purpose was to provide an institutional framework for the improved coordination of emergency response. Its capacities in the areas of risk assessment, early warning, preparedness and disaster risk financing were developed. As SINAPROC evolved, it added risk reduction practices to shift from a reactive to a preventative, holistic and integrated risk management plan.

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March 28th, 2017

Public-Private Insurance Partnerships Bolster Latin American/Caribbean Resilience: Part II

Posted at 1:00 AM ET

aidan-pope-headshot-sm21Aidan Pope, Managing Director

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Many recent catastrophe events in the Latin America/Caribbean region provide examples of the protection gap: Only 5 percent of the USD 8 billion economic loss from Haiti’s 2010 earthquake was insured; and the insured portion of the USD 2 to 3 billion economic loss caused by the April 2016 earthquake in Manta, Ecuador, is expected to reach no more than 15 percent. The 2016 earthquake has deeply impacted the local economy and government finances as unemployment increased by approximately 50 percent and the government was compelled to increase sales taxes by two percent to fund national reparation and recovery costs. In general, emerging markets face a much larger protection gap than developed economies:

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March 27th, 2017

Public-Private Insurance Partnerships Bolster Latin American/Caribbean Resilience: Part I

Posted at 1:00 AM ET

aidan-pope-headshot-sm2Aidan Pope, Managing Director

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Globally, three of the ten most costly natural disaster events in the last 35 years occurred in total or in part in the Latin America/Caribbean (LAC) region (1); losses from Hurricane Matthew in the Caribbean are still being assessed.

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March 20th, 2017

Emerging Practices in Risk Tolerances: Part I

Posted at 1:00 AM ET

brian-fischer-2014-hs-sm1Brian C. Fischer, Managing Director, GC Analytics®

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Insurers have long embraced the concept of risk tolerances. In some cases, the risk tolerances were expressly stated in a company’s enterprise risk management (ERM) policy document or in other cases exhibited in the course of normal operations.

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February 8th, 2017

Southern U.S. Severe Thunderstorms

Posted at 2:11 PM ET

us-local-storm-reports-february-7-2017-smA severe thunderstorm outbreak has affected areas from Louisiana to Kentucky to Florida. Several tornadoes have been reported in Southeast Louisiana, Mississippi and Florida. This includes a probable EF-3 tornado affecting the East New Orleans area, according to media reports. Significant property damage has been reported for several areas, with especially severe impacts for the East New Orleans tornado. Downed trees and powerlines with light to moderate property damage have been reported for affected areas of the Florida Panhandle. At least 36 injuries and one fatality have been reported in the media. Rescue and damage survey operations are ongoing, and it is too early to ascertain the full scope and severity of this event. Our first thoughts and concerns are with those directly affected by this event.

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