edition
• Ardonagh Group is set to acquire PSC Insurance for AU$2.26bn, subject to PSC shareholder and regulatory approval, with completion expected in September.
• The acquisition aligns with Ardonagh's strategy to expand in Australia and the APAC region, enhancing its market presence and diversifying its operations.
• Analysts and rating agencies view the deal as strategically sound but note potential short-term risks related to integration and leverage.
• New master circular issued by the IRDAI introduces new reforms for the life insurance industry in India.
• The regulator has mandated policy loan facilities for all non-linked life insurance savings products.
• New regulations on surrender value, which will increase overall surrender value for customers, must be effective from 30 Sep 2024.
• Free look period has been extended from 15 days to 30 days.
• Partial withdrawals are now allowed under pension products for specific financial needs.
• VMIA to increase premiums by 65% for new builds and 20% for renovations from 6 Aug 2024 due to high claims, inflation, and skilled worker shortages.
• Victoria’s building industry has been facing instability with recent collapses of major home builders, including Porter Davis Homes and Montego Homes.
• New regulations impose fines up to AU$480,000 for companies not taking out domestic building insurance.
• Nippon Life saw a 34.9% rise in premiums to ¥8,598.3bn, while Meiji Yasuda’s fell by 8.9% to ¥3,333.1bn; Sumitomo Life and Asahi Life reported modest gains.
• Net income after tax surged for Nippon Life by 190.1%, Meiji Yasuda by 78.6%, and Sumitomo Life by 36.8%, driven by lower COVID-19 claims and better investment returns.
• The outlook for FY24 includes stable core profits and continued strong solvency ratios, but potential challenges include higher acquisition costs and investment risks.
• PSC Insurance Hong Kong and iSHANG partner to develop a “Proof of Coverage” Insurance Solution using non-transferable NFT certificates.
• The solution aims to create a secure, transparent platform for managing insurance policies, streamlining claims processing, and enhancing trust between insurers and customers.
• The project was developed under the Cyberport Web3 Proof-of-Concept Subsidy Scheme.
• APRA has published its finalised cross-industry prudential practice guide CPG 230 to aid in the implementation of CPS 230, effective from 1 July 2025.
• The guide includes a “day one” checklist and a three-year forward plan for supervising CPS 230.
• Non-Significant Financial Institutions will have an additional 12 months to comply with certain CPS 230 requirements.
• The General Insurance Association of Japan's update shows claims reach ¥90.9bn (US$578.02m) with 150,567 claims accepted and 103,439 claims paid as of 31 May 2024.
• Ishikawa Prefecture is the most affected, with 64,423 accepted claims.
• Claims value has increased 7% since last update of 26 April 2024, which reported ¥84.9bn (US$539.65m) in claims.
• Fitch Ratings affirmed Korea Finance for Construction's (KFINCO) IFS Rating at 'A' (Strong) with a stable outlook, citing strong capitalisation and market dominance.
• KFINCO holds over 62% market share in South Korea's specialty construction guarantees but has limited geographical and business diversification, prompting it to try to increase geographic spread.
• KFINCO's capitalisation remains strong with a regulatory capital ratio of 500.7% at end-2023, despite modest profitability and exposure to the cyclical construction industry.
Park joins from Manulife to oversee Prudential's use of data and AI across Prudential's business.
