Much transpired in the cyber space in 2019 – record General Data Protection Regulation (GDPR) fines, the introduction of new privacy regulations, systemic ransomware claims, debate around the war exclusion and increasing concern surrounding non-affirmative cyber in the underwriting community. Looking toward the remainder of 2020, we see a number of emerging trends that present b ... Continue Reading »
Property
How the Public Sector Can Respond to Climate Change and Demographic Challenges
The risk landscape for public sector entities is changing rapidly: extreme weather, climate change, mass migration and unfunded social liabilities are set to become the risks of our age. Guy Carpenter explores these interlinked issues and how they will dominate both governmental and commercial agendas for decades to come in a new report, Protecting our Planet and the Public ... Continue Reading »
Hurricane Season: Elevated Storm Activity in the North Atlantic Basin
Current hurricane predictions indicate elevated storm activity in the North Atlantic basin. These include a forecast from The National Oceanic and Atmospheric Administration (NOAA) Climate Prediction Center of six to 10 hurricanes and three to six major hurricanes, compared to averages of six and two, respectively. ... Continue Reading »
2020 Western North Pacific Tropical Cyclone Predictions
The Guy Carpenter Asia-Pacific Climate Impact Centre (GCACIC) at the School of Energy and Environment, City University of Hong Kong, has released its 2020 predictions for tropical cyclone formations and landfalls using a regional climate model focusing on East Asia. This model uses information from a global climate prediction model made available in March 2020. ... Continue Reading »
Weather Sentinel: 2020’s Transition to Summer Wind
Despite an extremely below average May in terms of severe weather activity, recent events, particularly a number of which were wind-driven, have seen an uptick during the first third of June. Three separate derechos were observed in just the first 10 days of June, in addition to other widespread convective activity: A widespread wind and hail event brought damaging hail up ... Continue Reading »
Loss Reserve Protection Covers: Amid an Unprecedented Confluence of Headwinds, 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 »
Weather Sentinel: SCS Moderate Risk – Ohio Valley, Central Great Lakes & St. Lawrence Valley
A threat for severe thunderstorms today will affect areas from the Ohio Valley to the Central Great Lakes and Saint Lawrence Valley, including Southern Ontario Canada. The U.S. Storm Prediction Center (SPC) has flagged areas under threat today, with a rare moderate risk area for portions of the Lower Great Lakes. ... Continue Reading »
Weather Sentinel: Significant Wildfire Potential Outlook; June 2020
With fires already burning in Florida and the Southwest, seasonal dryness and heat are beginning to cure fuels in the western US. Portions of the Rockies, Southwest, and Northern California have experienced large precipitation deficits over winter, and significant wildfire potential is above normal. ... Continue Reading »
Climate Change is a Global Financial Risk
As the risk landscape shifts because of climate change, fluctuating population distributions and rising inequalities, there is now an opportunity for governments to partner with the (re)insurance market and put its expertise to work. Climate change poses a major risk – one that is already impacting the lives and finances of many. The latest Global Risks Report from the World ... Continue Reading »
Hurricane Season Has Started, but FEMA Is Tied Up With Coronavirus
As the COVID-19 pandemic continues into hurricane season and shifts the risk landscape for corporate and public sector entities alike, there is now a prime opportunity for governments to put the wide-ranging expertise and modeling capabilities of the (re)insurance industry to use. The Atlantic hurricane season is now officially underway, and The National Oceanic and ... Continue Reading »
