CAT-i Bulletin: Typhoon Vamco (Ulysses): The typhoon made its first landfall on Patnanungan Island (Quezon Province, Philippines) on November 11 as a category-1 equivalent on the Saffir-Simpon scale. The typhoon then gained category-2 strength before crossing Quezon and then Luzon. The system caused extensive flood damage, with Metro Manila seeing its worst flooding in years. Disruption to power and drinking water infrastructure has been reported, along with considerable property damage.
Catastrophe Bond Activity: Looking Towards 2021: Catastrophe bonds are set to buck the trend elsewhere in the insurance-linked securities (ILS) market, with a strong issuance pipeline for the fourth quarter of 2020 and first quarter of 2021, according to Des Potter, Managing Director, ILS origination and structuring at GC Securities.*
Health Insurers and COVID-19: Background and Timeline: As COVID-19 spreads throughout the United States and the resulting economic disruption continues, medical insurance carriers are responding to the needs of their customers in a rapidly changing market landscape shaped by legislative and competitive conditions. In this article, we provide an overview of how large medical insurance carriers are adapting to the needs of their insureds and employees.
Video: Cedent Differentiation at the Heart of the Casualty Renewals: Lara Mowery, Global Head of Distribution at Guy Carpenter, highlights how renewal discussions are focusing on the offsetting trends of underlying rate changes on casualty business and loss activity that has occurred in the past. While it will take time for the full impact of this to play out, Guy Carpenter is concentrating on the individual dynamics of the renewal and the specific conversation relative to each treaty. Reinsurers have been very responsive to understanding what those underlying rate change dynamics look like and how that starts to shift the conversation.
How (Re)insurance Fits into the COVID-19 Landscape: Leading Up to January 2021 Reinsurance Renewals: Prior to COVID-19, the (re)insurance industry was already facing a range of challenges. The widespread impact of a global lockdown added to this challenging market and created the potential for even greater volatility. For an industry founded on the principles of diversification, we are now grappling with the implication of the first globally systemic insurance loss.
And, you may have missed….
The Changing Nature of Risk – Casualty Dynamics: History shows that the insurance market is cyclical, and this is especially true for casualty lines of business. As long-tail casualty lines, the ultimate profitability of a year is not known for many years as changing loss trends and causes may not be recognized until it is too late to protect against adverse development.
*Securities or investments, as applicable, are offered in the United States through GC Securities, a division of MMC Securities LLC, a US registered broker-dealer and member FINRA/NFA/SIPC. Main Office: 1166 Avenue of the Americas, New York, NY 10036. Phone: (212) 345-5000. Securities or investments, as applicable, are offered in the European Union by GC Securities, a division of MMC Securities (Europe) Ltd. (MMCSEL), which is authorized and regulated by the Financial Conduct Authority, 12 Endeavour Square, London, E20 1JN. Reinsurance products are placed through qualified affiliates of Guy Carpenter & Company, LLC. MMC Securities LLC, MMC Securities (Europe) Ltd. and Guy Carpenter & Company, LLC are affiliates owned by Marsh & McLennan Companies. This communication is not intended as an offer to sell or a solicitation of any offer to buy any security, financial instrument, reinsurance or insurance product.