December 2012

Talk Around the Bazaar

Axa has decided to withdraw from Taiwan after the Financial Services Authority rejected its application for a full licence. The reasons for the rejection could be valid but certainly short-sighted. The Wall Street journal has the story at http://online.wsj.com/article/BT-CO-20121122-705143.html

What do China, Turkey, Mexico and Brazil have in common? Amongst other things, they figure together as some of the most underinsured countries in the world. Lloyd’s discusses the development of insurance in 42 countries and one interesting statistic uncovered is: of eleven natural disasters which occurred in China between 2004 and 2011, only 1.4% of the losses were covered by insurance, making the average shortfall US$18.9 billion. The Lloyd’s Global Underinsurance Research stated that China was, therefore, US$208 billion underinsured. For more interesting facts and details, go to http://www.lloyds.com/news-and-insight/news-and-features/lloyds-news/lloyds-news-2012/mind-the-premium-gap

Allianz has a similar study which also came out recently and can be accessed at http://www.agcs.allianz.com/insights/expert-risk-articles/natural-catastrophes-on-the-rise/

It was recently reported that a tsunami struck the coast of Lake Geneva in Switzerland. A very well-reasoned study has been published by the University of Geneva and it follows research highlighting an event which took place in the sixth century. The full report is available through university links and Advisen has reviewed this at http://propfpn.advisen.com/fpnHomepagep.shtml?resource_id=1884407891045742064&userEmail=george.worsley@worldwiderisksolutions.com#top

The Jordanian Insurance Commission is to be scrapped in a move to cut public spending. Fortunately for the industry and the consumers, its duties will be divvied up between two other bodies. To digest all of the other changes, the Jordan Times can help you at http://jordantimes.com/government-endorses-austerity-measures

All is not unwelcome in Jordan, however. The German Jordanian University and the Jordan Insurance Federation have signed an MOU to set up a specialised training and consultation centre. Please go to http://www.gju.edu.jo/page.aspx?type=n&lng=en&id=303 for more information

Starting with words, “Driven by the global financial crisis and the need to balance their books, governments are targeting insurance as a source of much needed tax revenue”, an excellent article in Commercial Risk Europe’s International Programmes News has been published. This looks at the taxation options for governments who are seeking to pull in more money. You can read this in the IPN News of the 29th November at http://www.commercialriskeurope.com/ipn/

4-Traders is one of many publications unveiling the news that AIG as a global insurance brand is back. Chartis, which wasn’t a bad name, will go. Read the full story at http://www.4-traders.com/AMERICAN-INTERNATIONAL-GR-4815/news/American-International-Group-Inc-AIG-Returns-Core-Insurance-Operations-to-AIG-Brand-Reveals-New-15501476/

With the heading “Foreign insurers enter Myanmar market with hope, caution” Reuters takes us through some of the issues confronting carriers keen to open up in the country so recently on the black list. This is available at http://uk.reuters.com/article/2012/11/07/uk-insurers-myanmar-idUKBRE8A60YI20121107

IF P&C is to take over Tryg’s Finnish business. It was also announced that IF and Nordea have signed an agreement to market IF P&C’s products on other Baltic countries as readers can see at http://www.sampo.com/releases/2012/if-pc-to-take-over-trygs-finnish-business

With 7.1% of the Latin American market, Mapfre is the second largest carrier after Bradesco. Insurance Insight has key details at http://www.insuranceinsight.com/insurance-insight/news/2222159/spains-mapfre-has-71-share-of-latin-american-market?wt.mc_ev=click&WT.tsrc=Email&utm_term=&utm_content=Spain%27s%20Mapfre%20has%207.1%25%20share%20of%20Latin%20America%20market&utm_campaign=6%20November%20Europe&utm_source=Insurance%20Insight%20Daily%20Newsletter&utm_medium=Email

While the sanctions against Iran continue to be applied, the country is still following events in the international insurance industry. The recent Maghreb Earthquake Models launched by Aon Benfield were reported in the IRC, http://www.irc.ac.ir/en/news/news.php?newsid=504

It has been reported that a national basic medical and healthcare system will be formed by 2015, allowing all Chinese to have access to basic public healthcare services as part of the 12th Five-year Plan (2011-2015) for healthcare development. This contrasts with what is happening in the United States. Details of the announcement can be found in the article in China Daily at http://www.chinadaily.com.cn/china/2012-11/05/content_15875744.htm

At the recent East Asian Insurance Congress held in Kuala Lumpur speakers were in agreement that Takaful and conventional insurance co-exist and even collaborate. This welcome observation is well-recorded by Aetins at http://www.aetins.com/takaful-and-conventional-players-can-co-exist-eaic/

Did you know? Here are some interesting facts which could come in handy to know…

  • Fresh apples float because 25% of their volume is air
  • In cooking, six drops make a dash