Douglas Shillito
This week saw the publication of IFRS 17 by the International Accounting Standards Board (IASB), resulting in a range of views from trade associations, rating agencies, and Willis Towers Watson who saw it as a major challenge for insurers and investors. EIOPA published its updated Risk Dashboard based on the fourth-quarter 2016 data, and Insurance Europe said that transferring some responsibilities away from EIOPA or merging it with another of the European supervisory authorities (ESAs) would reduce its effectiveness.
The International Underwriting Association (IUA) expressed its views on the need for the Ogden discount rate to better reflect investment strategies. ClimateWise published a new guide to multi-sector collaboration on infrastructure risk and resilience, Fitch reported that soft pricing in the global reinsurance market will continue for at least the rest of 2017, and GlobalData research indicated that millennials in the UK do not fit standard insurance products.
An Accenture US survey into autonomous vehicle development indicated an initial boost in premiums relating to cyber security, hardware and software, and public infrastructure coverage, whilst Ageas said it was set to be the first UK insurer to use Artificial Intelligence technology across its award-winning motor claims management. AIG, Hamilton, and Two Sigma Insurance Quantified entered into a MOU to expand data-driven evolution of underwriting. MassMutual went live with Eagle Investment Systems insurance accounting and data management solutions, Fadata launched an enhanced Partner Network, HCL joined the Duck Creek Global Alliance Program, and the 2017.1 release of Guidewire Insurance Platform was launched. Sapiens continued good growth in the first quarter, and also announced that Cyprus insurer EuroLife had gone live with its ALIS solution. Charles Taylor Insurance Services was chosen by Cyber-MGA Node International to deliver a end-to-end management service, and Sompo Japan Nipponkoa Insurance and Sompo Canopius launched a Natural Catastrophe Risk Model for North-West Australia offshore installations.
AXA Poland is aiming to expand employee benefits business in partnership with MAXIS GBN, Old Mutual is to sell a further stake in its US asset management business OMAN, and Zurich US subsidiary Farmers New World Life signed an agreement to reinsure a portion of its closed annuity book with RGA. Gen Re received approval from the Insurance Regulation and Development Authority of India(IRDAI) to open a branch in Mumbai, Markel is to apply for regulatory approval to establish an insurance company in Germany, and QBE Europe is to combine its underwriting divisions into one business to form a single underwriting entity. Prudential reported a strong first quarter, and announced a new CFO as the present one, Nic Nicandrou, is to head up its booming Asia business. Brian Duperreault was appointed president and CEO of AIG as expected, and Hamilton announced a new chairman and interim Group CEO. Validus also appointed a new president, and Lord Adair Turner is to be non-executive chairman of Chubb's European companies.
Full articles on the above topics may be found on the Insurance Newslink and Financial Newslink global trends database services at www.onlystrategic.com.