July2015

Talk Around the Bazaar

“Today’s web technology has made digital content distribution a commodity, and has dramatically reduced storage, communication and transaction costs. Increasingly powerful search and recommendation engines enable like-minded professionals to form effective communities.” You will find these words on the website of My Insurance Cloud (http://myinsurancecloud.com/) whose aim is to connect a community of professionals. Take a look and join up.

During the past few years, severe flooding in the UK has caused a huge amount of damage and unfortunately there have been fatalities. In some cases such events have been foreseen but not expected. Therefore, planning and preparation for floods have been limited. Very recently flooding in New Zealand has hit the headlines and Australia has been hit with some big ones as well. In line with the concept that prevention is better than cure, Zurich Insurance in England has put together a very handy guide providing useful, straightforward information to help protect businesses, properties and possessions in the event of a flood and the aftermath. Topics covered: assessing your risk; accessing flood warnings; flood warning systems; do’s and don’ts; insurance FAQs. While this document is aimed uniquely at the UK market, we believe it is more than useful for other places as well and can be accessed at http://www.zurich.co.uk/internet/home/SiteCollectionDocuments/cr/floodguide_pdf_oct2013.pdf

Taiwan’s Financial Supervisory Commission has set out new rules for Taiwanese insurers operating in Hong Kong and Macau. While it is not new for regulators to review rules, what is interesting here that these two territories are Special Administrative Regions of China and it would have been unheard of a few years ago that China would tolerate Taiwanese firms operating anywhere within its borders. Asia Insurance Review discusses this at http://www.asiainsurancereview.com/News/View-NewsLetter-Article/id/32944/Type/eDaily/Taiwan-New-rules-for-insurers-setting-up-branches-in-HK-Macau

A Panama insurer has received preliminary approval to set up a syndicate at Lloyd’s.  According to the Lloyd’s market directory, this will be the first Panamanian firm to operate directly in the market – a welcome development. Business Insurance has all the details at http://www.businessinsurance.com/article/20150610/NEWS06/150619984

FM Global has released an all-inclusive list of countries’ building codes which can be used worldwide when building or developing facilities. The 2015 FM Global Country Building Codes Index was created for companies who need to know the latest building codes when developing or upgrading facilities, particularly if building internationally. This excellent and free PDF document produced with support from the National Fire Protection Association is available at http://www.fmglobal.com/page.aspx?id=906102015

In the UK, the 2015 Insurance Act which is subject to an 18-month transition period, will introduce what the government has described as “the biggest reform to insurance contract law in more than a century”. A lot has been written about the changes which insurers and insureds can expect and comments can be found in many places. However, there has not been a comprehensive explanation of the many changes embodied in the act – until now. The International Underwriting Association (IUA) and the Lloyd’s Market Association (LMA) have joined up to produce a Guide to the Insurance Act 2015 which fills this gap. It has been said that the Act serves as an example to many other jurisdictions around the world and readers can decide for themselves by looking at http://www.iua.co.uk/IUA_Member/Press/Press_Releases_2015/LMA_and_IUA_launch_Insurance_Act_2015_Guidance.aspx and http://www.lmalloyds.com/LMA/Legal/Web/market_places/legal/InsuranceAct_2015_Guidance.aspx

Ten years ago Hurricane Katrina resulted in one of the most expensive loss complexes ever for the insurance industry. The first edition of Munich Re’s Schadenspiegel is devoted to this event and the aftermath. iNavigator is one of the many sites where this can be accessed: http://www.inavigator.com.au/ftproot/common/technical%20centre/risk%20management/external%20rm%20tools%20and%20resources/general%20risk%20management/munich%20re%20publications/loss%20reviews%20-%20schadenspiegel/Schadenspiegel%20-%20Issue%201%202015%20-%20Katrina%20Ten%20Years%20After.pdf

The Indian government has launched the country’s nuclear insurance pool with INR 15 billion (US$234 million). The pool will provide cover to both operators and suppliers of 26 nuclear plants of Nuclear Power Corporation of India. General Insurance Corporation of India has set up the pool with the assistance of the UK’s nuclear pool, Nuclear Risk Insurers. NRI is to provide reinsurance support of INR 5 billion to the pool. The pool will be the 27th such pool of the world managing nuclear liabilities. The pool does not cover India’s research reactors owned by the government but what it does cover is explained by Greentech Lead at http://www.greentechlead.com/power/india-creates-nuclear-damage-insurance-pool-will-revive-held-up-projects-24144

Business Insurance tells us that insurance premiums in 2014 totalled US$4.778 trillion. The rate of growth over the previous year was 3.7%. Research by Swiss Re’ sigma is discussed at http://www.businessinsurance.com/article/20150624/NEWS06/150629938?tags=58|416|93|147|76 and it will be interesting to hear what people say when, in a couple of years’ time the US$5 trillion is exceeded.

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Some Animal Cries

  • Dolphins……….click
  • Donkeys………..bray
  • Doves……………coo

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