Company-reported COVID-19 losses are near USD 30 billion. When added to 2020 large losses, total loss is approximately USD 110 billion. Using the mid-point of public COVID-19 loss estimates, a number in excess of USD 140 billion is generated. ... Continue Reading »
Property
Institutional Structures for Community-Based Catastrophe Insurance Solutions
Community-based catastrophe insurance (CBCI) solutions have the potential to enhance the financial resilience of communities and their residents, provide affordable and reliably available disaster insurance, and create incentives for community-level and individual risk reduction. Four broad institutional structures for CBCI illustrate the different roles and res ... Continue Reading »
CAT-i Bulletin: February 2021 U.S. Arctic Air Outbreak
An intrusion of Arctic air into the central and eastern United States has brought periods of record-setting cold to areas as far south as the Southern Plains. Along the boundary between cold and warm air, several impactful winter storms have crossed from the Southern Plains into the Mid-Atlantic over the recent two weeks. One of these storms, unofficially named “Uri” by the W ... Continue Reading »
Cyber Risk: The Emerging Cyber Threat to Industrial Control Systems
Lloyd’s, in partnership with Guy Carpenter and cyber analytics specialist CyberCube, has launched a new report, The Emerging Cyber Threat to Industrial Control Systems, which provides an original analysis of potential cyber-attack pathways to an industrial target. As cyber threats continue to evolve and become more sophisticated, it is crucial for insurers to understand the ... Continue Reading »
Reinsurance Implications of the United Kingdom’s Business Interruption Test Case
Authors: David Priebe, Chairman, Guy Carpenter, Lara Mowery, Global Head of Distribution, Guy Carpenter and Michael Sevi, General Counsel and Chief Compliance Officer, Guy Carpenter. On January 15, 2021, the UK Supreme Court issued its widely anticipated decision in the Financial Conduct Authority’s business interruption (BI) test case. The FCA brought the test case to r ... Continue Reading »
CAT-i Bulletin: Mw 7.1 Fukushima Earthquake, Japan February 13
The Fukushima Mw 7.1 earthquake occurred at 23:07 local time (14:07 UTC), on Saturday February 13. The United States Geological Survey (USGS) reported the epicenter to be 96.6 km southeast of Sendai, Japan at a depth 49.9 km. The Japan Meteorological Agency (JMA) reported this event to be Mj 7.3, at a depth of 55 km. Multiple aftershocks occurred within less than an hour, and ... Continue Reading »
Community-Based Catastrophe Insurance: Role of Modeling
To determine needs and design of an effective Community-Based Catastrophe Insurance (CBCI) program, data and modeling are needed to quantify the risks at a fine degree of spatial resolution. This may be provided by private modeling firms, academics, reinsurance brokers or others with the relevant expertise. Such modeling would look at the full range of possible disaster events ... Continue Reading »
Video: Heightened Volatility and Prolonged Uncertainty To Drive Reinsurance Demand in 2021
David Priebe, Chairman, Guy Carpenter, highlights how, while the industry is facing a range of new risks in 2021, it is presented with new opportunities. ... Continue Reading »
Climate Change Impacts Cannot Be Ignored: Global Risks Report 2021
Environmental concerns gained traction among risks identified by businesses surveyed in the World Economic Forum’s (WEFs) Executive Opinion Survey, which informs the 2021 Global Risks Report, published by the WEF with support from Marsh & McLennan. Four of five environmental risks featured in the top 20 global rankings for the first time. This trend is particularly p ... Continue Reading »
Chart: Significant Insured Catastrophe Losses 2011 – 2020
Based on Guy Carpenter tracking, large losses generated near USD 80 billion of loss in 2020, an above-average number without considering COVID-19. ... Continue Reading »
