GC Capital Ideas recently featured a four-part article on Standard & Poor's (S&P) assessment of COVID-19's impact across the insurance and reinsurance markets. The series discusses the pandemic's effect on U.S. property & casualty (P&C) insurance, U.S. life insurance, global reinsurance and stress test modeling. Global Reinsurance Sector S&P recently ... Continue Reading »
Casualty
The 2020 Captive Landscape Report: Captives Offer Value in Uncertain Times
Medical systems have historically been the quickest to adopt captives to control their employee healthcare costs. From regional hospitals with a single plan, to large hospital systems with multiple plans, the systems have found that a captive-based structure used at the parent level enables a more efficient purchase with uniform protection across plans. Instead of numerous ... Continue Reading »
Risk-Based Capital Stress Testing: Part IV
Guy Carpenter has developed a model that mirrors aspects of how rating agencies perform stress tests on accident and health company financials. The test looks at the effects COVID-19 has on the marketplace and provides benchmark comparisons of company capital levels by estimating changes to company-level RBC ratios based on stresses to both assets and liabilities. ... Continue Reading »
Loss Reserve Protection Covers: Solutions for Achieving Capital Optimization
The COVID-19 pandemic clearly presents significant challenges to insurers, but it is also becoming increasingly clear that (re)insurers are likely entering a far more favorable underwriting environment. After years of relative stability brought about by strong capitalization, the landscape for the sector has undeniably changed, with pressure on the asset side of balance sheets ... Continue Reading »
Risk-Based Capital Stress Testing: Part III
As companies continue to navigate the repercussions of COVID-19, it is important that they understand the pandemic’s impact on risk-based capital (RBC). ... Continue Reading »
Mid-Year 2020 Reinsurance Renewal: Overview
GC Capital Ideas recently featured three posts covering some of Guy Carpenter's observations on the mid-year 2020 reinsurance renewals. ... Continue Reading »
Chart: COVID-19 Announced Losses Versus Top-Down Industry Estimates
Loss activity through the first half of 2020 was dominated by COVID-19. The following chart shows the current average of all reported ranges of COVID-19 announced losses compared to top-down industry estimates. ... Continue Reading »
Evolving a Private Pandemic Market
James Nash, International CEO at Guy Carpenter, noted in a recent interview that the ultimate backstop for all systemic risk is the taxpayer. But insurers have a role to play in covering these risks. ... Continue Reading »
Digital Therapeutics Demonstrate Proven Results But an Untested Model
As the costs stemming from COVID-19 continue to climb, reinsurers are collaborating with healthcare executives on how to mitigate the impacts of the virus on the sector. Virtual healthcare options are becoming increasingly commonplace, and the growing use of telemedicine and capacity constraints within our healthcare system will potentially dull utilization ... Continue Reading »
Review of Pandemic Coverage on GC Capital Ideas
Here we review GC Capital Ideas’ recent stories on the global COVID-19 pandemic. ... Continue Reading »
