• Descartes Underwriting launched its first-ever cyber parametrics solution in France earlier this year. It may now look at replicating this elsewhere, including in Asia.
• The benefits of parametric solutions in cyber are the same as for nat cat – chiefly greater certainty and faster delivery of payouts.
• However take-up of paremetrics in the cyber space has been far slower than in nat cat.
• Designing the right trigger mechanism requires having sufficient data and being able to effectively interpret that data.
• Constantly-evolving technologies and attack types make this difficult.
• Singapore-flagged Dali collided with a pillar of Baltimore’s Francis Scott Key Bridge, causing a 3km segment to collapse.
• Incident difficult for International Group of P&I Clubs despite up to US$3.1bn excess-of-loss reinsurance programme, with
AXA XL lead reinsurer on first layer of cover.
• Multiple estimates suggest costs could run into billions, making the incident one of the most costly maritime events ever.
• US$100m GXL attachment point means reinsurers will bear bulk of insured cost, but hit to any individual reinsurer unlikely to be significant, with risk understood to be spread across approx. 80 reinsurers.
• Complex claims will include array of (re)insurance entities across property, cargo, liability, trade credit, and other lines of business.
• Hong Kong IA and Police Force (HKPF) sign Memorandum of Understanding on 27 March 2024.
• MoU establishes formal framework for cooperation between IA and HKPF.
• Areas of collaboration include case referrals, joint investigations, mutual investigative assistance, and information exchange.
• Peter Gregoire, Head of Market Conduct and General Counsel of the IA, said MoU would help to ensure that insurance market is underpinned by "integrity and trust."
• The Strata Community Association Australasia (SCA) announced new measures on 25 March 2024.
• The move comes following an ABC investigation into a strata management company that alleges the company charged insurance brokerage fees three times the norm.
• Among new measures, SCA said mandatory adoption of its Best Practice Insurance Disclosure Guide would begin on 30 June 2024, 6 months earlier than planned.
• SCA's outlined additional steps, include appointing an independent chair for the complaints and conduct panel and enhancing the complaints process. sit amet.
• The Bank of Korea and the Financial Supervisory Service (FSS) announced first joint climate stress test in South Korea.
• Test involves 15 financial institutions, including seven (re)insurers and eight banks.
• It will examine exposure to credit, market, operational, and insurance risks due to climate change.
• There will be a focus on economic risks, from weather anomalies and asset devaluation linked to fossil fuel production.
• Findings will inform policies to manage climate risks and promote financial stability, supporting a green transition.
• Indian regulator confirmed LIC, GIC, and New India Assurance will maintain their Domestic Systemically Important Insurers (D-SIIs) status for 2023-24.
• Criteria for D-SIIs include size, market importance, and domestic and global interconnectedness.
• D-SIIs distress could significantly disrupt domestic financial system.
• D-SIIs face additional regulatory measures to address systemic risks and moral hazard associated with being "too big or too important to fail."
• Fitch affirms 'A' (Strong) IFS Rating for Maybank Ageas Holdings Berhad (MAHB) and core entities: Etiqa General Insurance Berhad, Etiqa Life Insurance, Etiqa General Takaful, Etiqa Family Takaful, and Etiqa Insurance.
• Ratings carry a stable outlook.
• MAHB reported a net profit of MYR353.9m for the first half of 2023, a significant improvement from the previous year, attributed to significant improvement in net investment income.
• Reliance on reinsurance is mitigated by the high credit quality of the reinsurance panel.
Cole has 25 years industry experience and will be promoted from his position of Global Head of Underwriting Management and Deputy Chief Underwriting Officer, Marine.
Pui brings a distinguished background in climate risk and sustainability to the new role.
Fyson joins from Tokio Marine Kiln to head up Property Direct & Facultative across the regions.
Brettell joins after a 13 year tenure at Honan Insurance Group.
