edition
• Some insurers have taken a stance against paying ransoms directly, but most still offer cover for associated costs like digital forensics, legal counsel, and business interruption.
• Assessing cyber risk and providing appropriate coverage is particularly challenging for less digitally mature organisations and markets
• But the cyber insurance underwriting process itself will serve as a powerful risk mitigation tool, panelists said.
• The increasing use of AI tools is also helping to level the playing field by enabling more companies to strengthen their cybersecurity posture.
• Rising geopolitical conflicts are driving up insurance costs and fragmentation as insurers take a more restrictive approach to high-risk areas.
• The rise of sanctions and “shadow fleets” operating without insurance coverage are contributing to higher expenses and a more complex risk environment.
• Insurers are facing pressure to support customers’ sustainability transitions and address their own environmental impact, but more coordinated action is still needed from the industry to support decarbonization goals.
• Advanced technologies around risk monitoring and climate reporting are becoming more important tools for navigating geopolitical threats and regulatory demands related to ESG issues.
• The National Financial Regulatory Administration issued new guidelines to promote inclusive insurance in China, focusing on broad coverage, affordability, fairness, and sustainability.
• Insurance companies must integrate inclusive insurance into their strategic planning and performance assessments, with oversight from the administration.
• The guidelines aim to enhance insurance services for key groups including farmers, low-income urban groups, small and micro enterprises, and individual business people.
• Richard Li has revived plans to list FWD Group in Hong Kong, three sources told Reuters under condition of anonymity.
• Li reportedly aiming for up to US$9bn valuation, subject to market conditions.
• Revival is still in early stages and could change based on market conditions and investor sentiment.
• Previous listing attempts in Hong Kong and New York were delayed due to regulatory issues and market volatility.
• SEADRIF’s 2023 financial results show a decrease in insurance revenue and an increase in insurance service expenses, leading to a larger insurance service result loss.
• However, the insurer sees an 84% surge in profit after tax thanks to US$295.88m, attributed to grant money and deferred expenses.
• The company focused on four strategic priorities: client engagement, product expansion, in-house capacity development, and strategic partnerships.
• SEADRIF aims for continued growth and enhanced disaster risk financing in 2024, with strategic discussions and collaborations under the ASEAN+3 Disaster Risk Financing Initiative.
• Fitch Ratings expects Japanese life insurers to maintain robust capital adequacy and strong profitability in FYE25.
• Total core profits rose by 35% year-on-year to ¥2,080bn (US$13.37bn) in FYE24, but investment income remains impacted by high currency hedging costs.
• Major life insurers are likely to continue M&A activities to expand, as the growth of profitable protection life insurance products is expected to peak within 10 years due to Japan’s contracting population.
• New Zealand’s EQC secured a record NZ$9.2bn reinsurance to protect homeowners from natural hazards, effective from 1 June 2024.
• Homeowners pay a levy of up to NZ$480 for EQC’s programme, covering the first NZ$300,000 of damage, with part of the levy used for reinsurance.
• EQC’s reinsurance coverage activates for losses exceeding NZ$2.1bn, with past triggers in the 2010 and 2011 Canterbury earthquakes.
• Rivers Insurance Brokers acquires IOOF Insurance Brokers, enhancing capabilities and scale.
• Combined entity to operate under Rivers Insurance Brokers name with operations in Cairns, Innisfail, Melbourne, and Brisbane, employing 60 staff and serving 10,000 clients.
