Week’s Top Stories: May 29 – June 4, 2021 – GC Capital Ideas
Running Hot; Accelerating Europe’s Path to Paris: Europe’s companies are reporting impressive progress in their action on climate change – but not yet nearly the progress required to hit the 1.5°C target of the Paris agreement.
OmniCAT® Risk Score; Severe Thunderstorm Risk Magnitude Index (SToRMi): Over the last decade, a noteworthy increase in the frequency and severity of severe thunderstorm losses across the central and eastern United States has created a lack of profitability for carriers exposed to these perils. The impact has been amplified by outdated and antiquated catastrophe models lacking the ability to properly assess the current risk.
April 2021 Reinsurance Renewals; Japan: At the April 1 reinsurance renewals, property catastrophe pricing increased for the third year in a row. Following the first loss-free year since 2018, there was some consolation for buyers in that the average increase was the lowest of the past three years. Rates moved up on average by a small percentage for mutual buyers.
Video: Captive Trends and Data – What You Should Know: The use of captive insurance companies grew significantly in 2020, and there are no signs of it slowing down in 2021. The webinar and accompanying slide deck from Marsh McLennan business Marsh highlight the record number of companies that formed a captive last year, how they are using them and what’s ahead for the captive industry.
Four Steps to Building a COVID-19 Vaccination Strategy: With COVID-19 surges continuing in many parts of the world and the vaccine supply limited, it is difficult to maintain a vision of the end of this pandemic. That said, vaccines remain the most reliable and widest path out of the current crisis. In most countries, the public sector is predominantly handling the initial mass vaccination rollout; however, the private sector is playing an important role in encouraging vaccinations and, importantly, continued COVID-19 protections.
And, you may have missed….
Insurance Prices Are Rising, With Cyber Claiming Big Increases: Global commercial insurance prices increased 18 percent, on average, in the first quarter of 2021, although there are signs that increases may be plateauing in some regions. Pricing for cyber insurance diverged from the trend, with prices generally increasing – notably by 35 percent in the United States and 29 percent in the United Kingdom.
