Chart exhibits the significant insured losses from 2011 through the third quarter of this year. Insured loss for the third quarter 2019 is approximately USD 17-19 billion. This quarter’s insured loss is mainly driven by two major events: Typhoon Faxai in Japan and Hurricane Dorian. ... Continue Reading »
Catastrophe
2019 Asia Pacific Catastrophe Reinsurance Report
Guy Carpenter has released its 2019 Asia Pacific Catastrophe Reinsurance Report. The report reviews property catastrophe cover trends; market conditions, including losses and pricing; and catastrophe events in each of the major Asia Pacific countries during 2019. The Executive Summary of the report highlights key findings, including discussion of the various catastrophe ... Continue Reading »
Weather Sentinel: Extremely Critical Wildfire Weather
Overnight, firefighters took advantage of a break in Santa Ana wind conditions to enhance containment of the Kincade Fire in Northern California, and the Getty Fire in Southern California. Collectively, nearly 135 structures have been lost, while many thousands remain threatened and evacuated. Offshore flow is forecast to strengthen during the mid-day in the Bay Area and ... Continue Reading »
Environmental Risks Are the Leading Concerns for Doing Business Across East Asia and the Pacific
Results from the World Economic Forum’s 2019 Executive Opinion Survey indicate that environmental risks are the leading concerns for doing business across East Asia and the Pacific, with “natural catastrophes” ranking first and “extreme weather events” ranking fifth. The concerns about “natural catastrophes” were heavily driven by responses from Japan and New Zealand, where they ... Continue Reading »
The Changing Nature of Risk
In a recently published report by Guy Carpenter, we analyze how an accumulation of losses from recent extreme weather events, the specter of climate change and higher loss cost trends in a number of long-tail business lines are forcing carriers to reassess views of risk. Capital inflow levels and risk appetites are responding accordingly, according to Robert Bentley, CEO, ... Continue Reading »
Chart: Guy Carpenter U.S. Property Catastrophe Rate-on-Line Index 1990 – 2019
The U.S. property catastrophe Rate-on-Line (ROL) index for January through July renewals was up 3.3 percent year-on-year. The full year index represents a slightly larger increase than the January 1 increase. ... Continue Reading »
Chart: Guy Carpenter Asia Pacific Property Catastrophe Rate-on-Line Index 1990 – 2019
The Guy Carpenter Asia Pacific Rate-On-Line (ROL) Index rose in 2019; this was the first time in nearly a decade that the index did not decline. Price increases were not uniform across the region, but were targeted toward cedents or even specific layers that suffered losses. ... Continue Reading »
The Changing Nature of Risk: Part I
Today, the (re)insurance sector operates in a rapidly changing and uncertain world. Elevated levels of VUCA – volatility, uncertainty, complexity and ambiguity – are unlikely to relent any time soon. In fact, the impending degree of change over the next decade looks set to transform the risk landscape like never before, according to Rob Bentley, CEO, Global Strategic Advisory, G ... Continue Reading »
Recent Coverage of the Peril of Wildfire on GC Capital Ideas
Here we review GC Capital Ideas’ recent stories on wildfire peril and protection. Wildfire Risk and Underwriting Strategy: In 2018, California suffered its most costly and deadly fire season to date. The year’s costliest insured loss event was California’s Camp Fire at USD 12 billion — also the most destructive fire in the state’s history. Read the article >> Guy ... Continue Reading »
Do Real-Time Event Loss Estimates Inform Model Fitness? Part III: Historical Event Reconstruction and Model Fitness
It takes time to clarify the hazard measurements at locations with instruments. Hurricane Michael hit Florida on October 10, 2018 as a Category 4 event. Six months later, on April 19, 2019, the National Hurricane Center upgraded Michael to Category 5 because reanalysis showed that its landfall wind speed was 160 MPH instead of 155 MPH. ... Continue Reading »
