Posts Tagged ‘Deductible’



September 18th, 2014

Terrorism Reinsurance Strategies

Posted at 1:00 AM ET

Even if the Terrorism Risk Insurance Program Reauthorization Act (TRIPRA) is renewed without wholesale changes, the recent organic growth in US nationwide workers compensation premiums as a result of rate rises and payroll growth is likely to cause insurance companies’ deductibles to increase. This in turn is likely to increase demand for terrorism reinsurance.

Continue reading…

June 26th, 2014

Chart: Reliance On TRIPRA

Posted at 1:00 AM ET

The chart shows that in 2012 there were over 850 insurers participating in the Terrorism Risk Insurance Program Reauthorization Act (TRIPRA), writing over USD183 billion in premiums. Using the current 20 percent deductible requirement of TRIPRA and policyholder surplus as a filter, Guy Carpenter found that the smaller to mid-sized insurance carriers would be most affected should there be an increase in the deductible of any program that replaces TRIPRA. Without TRIPRA, insurers with less than USD300 million in surplus would likely need to incorporate additional private reinsurance market capacity to protect their capital and to satisfy rating agencies and regulators.

Continue reading…

October 21st, 2013

When Contract Certainty Isn’t So Certain

Posted at 1:00 AM ET

Richard Banyard, Senior Vice President, Lance Finley, Managing Director, Jane Furnas, Senior Vice President and Scott VanKoughnett, Senior Vice President

Contact

Insurance policies are carefully drafted to outline coverage that is needed by policyholders while also specifying those areas where coverage is not expected to apply - the goal is to provide contract certainty, not in the usual sense of timeliness of contract signing, but from the perspective of specific policy language.  Sometimes, however, contract certainty is not so certain.  Recent examples have shown that insurers are increasingly facing reinterpretations of their policies by the judicial system, regulators, politicians and even the public via social media, all exerting pressure on insurers to provide coverage not previously anticipated by the drafters and underwriters of those policies.  As these claims are presented to the reinsurance market, pressure is also put on reinsurers to provide coverage that they may not have originally contemplated.  Insurers need to know that their reinsurers partner with them in such situations, and that reinsurance contracts provide appropriate flexibility to help ensure the reinsurers’ promise to pay.  The comments made in this article are intended solely to foster discussion on this topic.

Continue reading…

November 28th, 2012

Taking Control of Quantifying Your Natural Catastrophe Risk: Part I

Posted at 1:00 AM ET

Elizabeth Cleary, Managing Director, Valerie Kloepfer, Managing Director, Imelda Powers, Ph.D., Global Chief Cat Modeler, Sherry Thomas, Head of Catastrophe Management - Americas and James Waller, Ph.D., Research Meteorologist
Contact

Amidst the fast pace and frequent trends and changes in the market, a single business conversation can stand out. With the passage of time, one sees that it was a precursor to what would become a consistently held view - a sort of drumbeat of the times.

Continue reading…

November 12th, 2012

Superstorm Sandy: Initial Impacts and Implications

Posted at 1:00 AM ET

Guy Carpenter has published a new briefing: Superstorm Sandy: Initial Impacts and Implications

Continue reading…

January 20th, 2010

Directors and Officers Liability Insurance Under New German Rules – The Right Way to Tackle the Problem?

Posted at 12:00 PM ET

wolfram-schultz-small2Wolfram Schultz, Senior Vice President
Contact

The Act on the Appropriateness of Management Board Compensation (VorstAG) came into force in Germany on 5 August 2009. The Act will impact new D&O insurance contracts and existing contracts after 30 June 2010. The Act is causing uncertainty through the introduction of a compulsory deductible for directors and officers.

Continue reading…