UK regulator the Financial Services Authority (FSA) has fined UK insurer the Prudential Group £30 million for its actions in relation to its failed attempt to acquire AIA, the Asian subsidiary of AIG, in early 2010. The FSA has also censured Tidjane Thiam, Prudential’s group chief executive.
Lloyd’s of London has announced a profit of £2.77bn for 2012, marking a return to profit following last year’s loss of £516m, which was the costliest year on record for natural catastrophes.
William (Bill) Keogh, the president of risk modelling firm Eqecat, has joined TigerRisk Partners, the reinsurance broking and risk/capital management firm founded by industry leaders Jim Stanard and Rod Fox. He will become a member of the company’s Decision Support Team.
The convergence of traditional reinsurance and capital markets solutions was finally complete in 2012 with new ILS-type solutions now as relevant and available to cedants as more traditional reinsurance solutions. This means a time of change and opportunities for cedants and brokers alike.
PartnerRe has become the latest reinsurer to launch a so-called sidecar – a special purpose company the reinsurer will use to facilitate third-party investors to participate in collateralized reinsurance deals.
The Montpelier Re-backed Blue Capital Global Reinsurance Fund, which invests in catastrophe exposed collateralised reinsurance-linked contracts and other ILS investments, is looking to raise more funds through a series of placements of new shares. One market participant said the placement illustrated the still growing demand for ILS products among investors.
A significant mismatch still exists between the risk appetite of insurers and their risk limit structure, according to a survey of insurance executives globally which assessed their enterprise risk management (ERM) practices.
The Arab Spring and political turbulence in some parts of the Middle East and North Africa (MENA) has not dented the long-term prospects for the insurance industry in this area with strong growth still expected on the back of a combination of low insurance penetration and rapidly growing energy, infrastructure and healthcare sectors.
XL Group has appointed Matthew Huels into its surplus lines team as vice president and general liability line of business head. Based in Chicago, he joins from CoverX Specialty in Chicago where he served as vice president and Midwest primary casualty manager. He will report to Roxanne Mitchell, president of XL Group's Surplus Lines business. "To successfully serve hard-to-place risks that rely on the Surplus Lines market, you need intuitive, seasoned underwriters. That’s why we’re pleased to attract the underwriting talent that we do,” said Mitchell.
Ming Lee, the president and chief executive of catastrophe modelling firm AIR Worldwide has been named Honoree of the Year by The Chinese American Insurance Association (CAIA).