The rapid growth of new technologies such as nanotechnology also presents significant challenges to risk managers and (re)insurers. Nanotechnology, the science of manipulating matter at the molecular level, is already being used in numerous consumer and industrial products such as paint, fabric, cosmetics, treated wood, electronics and sunscreen. Its use is also expected to grow in areas such as medicine, pharmaceuticals, pollution clean-up and electronics. Despite the widespread use of nanomaterials in many products today, very little is known about the long-term implications on health or the environment.
Posts Tagged ‘Liability’
Having examined the three emerging risks of cyber, climate change and space in detail, it is clear they present serious threats to businesses and (re)insurers. Not only will the fallout from these risks result in losses we can currently anticipate and predict (such as increased property damage and liability vulnerability), but they also have the potential to trigger costly secondary impacts such as a breakdown in supply chains, reputational damage, disrupted power supplies and possibly others that are more difficult to foresee.
Transferring risk through insurance is the last step in the risk management process. Traditional insurance products have fallen short of providing protection that is required as solutions for property, fidelity, general liability and professional liability only cover very clear and precise areas of risk. While there may be overlapping coverage for some cyber risks, various exclusions mean they generally do not cover privacy and cyber perils.
The (re)insurance sector is today operating in a rapidly changing and uncertain risk landscape. Against this backdrop, it is important that (re)insurers attempt to identify and understand emerging risks to plan for the long term and challenge assumptions about the future risk landscape environment.
Georg H. Fülles, Head of European Casualty Strategy and Morley Speed, Managing Director
Reinsurance buyers in Continental Europe have complained for decades about an imbalance between property lines and casualty lines in the depth of knowledge and services offered by brokers. Reinsurance broking has predominately been driven by expertise in property lines and, particularly, in the natural catastrophe area. Guy Carpenter has recently closed this gap with its new Casualty Solutions Group (CSG).
Nick Frankland, Chief Executive Officer, EMEA
Are the insurance and reinsurance industries adequately serving their clients in the transfer of risk? The question is a timely one because much recent discussion has focused on the entry of new capital into the industries and its effect on capacity and pricing. Regulatory and economic conditions have also concentrated minds on capital optimization with reinsurance playing an increased role in risk finance that may have deflected attention from the fundamental business of protecting against risk.
Many of the products people use every day are made in foreign countries - from coffee makers produced in China to cars built in Germany to cell phones manufactured in India. While many of these products fulfill their purpose without any complications, there are others that cause problems for their users. A coffee maker might spill boiling water or a car’s airbag might not open properly. These problems can be caused by manufacturing errors or flaws in product design.
On December 12, 2007, there was a fire in an industrial plant in Turin that was owned and managed by ThyssenKrupp Acciai Speciali Terni S.p.a. (ThyssenKrupp), an Italian subsidiary of ThyssenKrupp Stainless group. The violent fire occurred in a cold annealing and pickling line, called APL5, where there is typically a significant amount of lubricant oil and paper, as well as sparks generated by the plant’s industrial process.
Criminal Liability of Companies Under Spanish Law: What is the Real Impact on Directors & Officers Coverage?
The financial crisis has triggered a number of criminal investigations against companies and their directors. In light of these developments, this section provides an overview of the recently introduced Spanish regulation concerning criminal liability of companies and the real impact this reform will have on directors and officers (D&O) policies.
Recent Legislative and Judicial Developments in Continental Europe Affecting the Casualty Insurance Industry
Recent Legislative and Judicial Developments in Continental Europe Affecting the Casualty Insurance Industry is the latest installment in Guy Carpenter & Company Ltd.’s (”Guy Carpenter’s”) legislative update series, designed to provide our international clients and markets with a concise overview of key trends in the Continental European legal environment. These issues have had an impact on insurers and reinsurers or are expected to have an effect in the near future.