Think Tank - The Geneva Association : Five guiding principles that will continue to insulate us from systemic risk
Ernst & Young Forum - Solvency II: Unlocking the mystery of the risk framework around ORSA
Global News - "Exacerbated" risks cast long shadow of the financial crisis - WEF
As the focus of regulators shifts from micro-prudential to macro-prudential, the issue of how to avoid a recurrence of systemic risk is becoming a political focal point at international forums such as the G20, FSB and the IAIS. Mr Katsuo Matsushita, Special Advisor and Liaison Officer for Japan and East Asia of The Geneva Association, examines...
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Pillar 2 requires firms to undertake an Own Risk and Solvency Assessment (ORSA) to demonstrate “sound and prudent management of the business” and assess overall solvency needs. Ernst & Young discusses this, where companies currently stand and the issues and challenges they face.
The World Economic Forum (WEF) identified fiscal crises risks, unemployment, underinvestment in infrastructure – especially in energy and agriculture – and chronic disease as the pivotal areas that contributed to and were exacerbated by the financial crisis and global economic downturn.
Having started in the insurance industry 40 years ago, I speak with some degree of experience and passion. I had worked for one year with a small Australian firm before spending the rest of my career between two large American multi-nationals. As an Australian resident, I was fortunate to have tours of duty in the Philippines, Singapore, Hong...
With the Sri Lankan civil war finally ending in May last year, Mr Udayasri Kariyawasam, Chairman of Insurance Board of Sri Lanka (IBSL) says the insurance industry looks promising. We find out the regulator’s plans going forward.
Against the backdrop of the very tough market in 2009, where most industries have been affected, Great Eastern came out all right, said Mr Ng Keng Hooi, Group CEO, Great Eastern Holdings and Great Eastern Life Assurance. Having been at the helm of the Group for one year, we find out his challenges and plans going forward.
Amid the most harrowing downturn since the Great Depression, few companies were spared the impact from the turmoil. However, a significant number of players used the period to sharpen their future strategies. Dr Joachim Wenning, Board Member of Munich Re, who oversees the Life Reinsurance division, shares how the Group, which was once criticised...
Since 1995, Sun Life Financial Indonesia has provided the country with a comprehensive range of protection and wealth management products, including life insurance, education insurance, health insurance and retirement plans. Its President Director, Mr Chris Lossin, shares the five key principles that guided Sun Life’s achievements, as well...
The non-life insurance market is seeing a new Insurance Contract Law that will be implemented in April while mega-insurers are starting to consolidate their various divisions. In this month’s country profile, we focus on the non-life sector with a special feature on natural catastrophes, including the impact of climate change on...
The new Insurance Contract Law which is focused on consumer protection is slated to be implemented in April this year. Mr Makoto Kawagoe, Manager, International Dept of The General Insurance Association of Japan, gives a succinct and informative look at the main points of this very important law.
Japan’s non-life insurance market has just witnessed a transformational year as companies continue to respond to economic uncertainties. Ms Yvette Essen, Head of Market Analysis at ratings agency AM Best, believes more change is to come.
Japan is a behemoth insurance market, and structurally the insurers have grown bigger with mega-mergers last year. Mr Uwe Sievers, General Manager/Legal Representative, HDI-Gerling Industrie Versicherung AG, Japan Branch and one of the Vice Chairmen with the Foreign Non-Life Insurance Association of Japan, Inc (FNLIA), tells us about the...
Over the past 60 years, the Japanese government has invested substantially in the construction of public defence systems, yet flood losses in Japan are higher than ever. This is due largely to the increasing concentrations of Japanese property in flood hazard zones. Dr Peter Sousounis, Principal Scientist at AIR Worldwide, tells us about the...
With its wind and earthquake exposures, Japan and especially Tokyo have become the focal point of some of the world’s most sophisticated natural catastrophe (NatCat) models. Earthquake and tropical storms are by far the most focused on perils, but Swiss Re’s Asia-based underwriters suspect there might be an iceberg lurking under the...
What does climate change have in common with the worldwide financial and economic crisis? Not much, you might say, aside from the fact that nobody wants to admit responsibility for either. Ms Claudia Buholzer, President of Munich Re Japan, reveals that the two challenges overlap in many areas: a shortage of capital could threaten to dry up...
Insurance-linked securities (ILS), like most financial markets, were affected in many ways by the global financial disruption. Catastrophe bond issuance, however, saw a robust rebound after a six-month impasse, and the trend sustained towards the end of 2009, demonstrating continued value of the market. Mr Rion Sato, Investment Banking...
The Philippines is thought to be brimming with potential for the insurance business given its large and highly educated population. Yet insurance take-up rate has been low despite the country’s high vulnerability to risks of natural catastrophes, and capital requirement remains one of the lowest in the region. Still, the market has many...
With a large and educated population, the Philippines is viewed as brimming with potential for insurance business. Yet the insurance take-up rate has been low, and capital requirement remains one of the lowest in the region. Nonetheless, Deputy Insurance Commissioner Vida Chiong of the Insurance Commission shares with us some good news: crucial...
After 30 years of lobbying, Philippine life insurers will soon make their long-time wish a reality. It may not be the exact change they asked for, but an impending cut in the life premium tax still gives them enough reason to celebrate.
The Philippine non-life sector stands at a crossroad as it goes through a critical period that will decide on the fate of those whose future in the business hangs in the balance.
Malayan Insurance marks another milestone as it celebrates its 80th anniversary this year. To commemorate this occasion, Mr Alfonso T Yuchengco, Chairman of Malayan Group of Insurance Co, walks us down memory lane and shares what the company is planning for the future.
Typhoons, earthquakes, volcanic eruptions afflict the Philippines and the country suffers from total economic losses not to mention the losses of lives as a result of these events. Mr Roberto B Crisol, President & CEO of the National Reinsurance Corporation of the Philippines, looks at the underwriting of natural perils and says that the...
With the country’s history of failed pools, the local insurance industry seems to have developed a distrust of them. This has dimmed the chance of creating a pool for risks of natural catastrophes despite the need for it. But proposals to create such a vehicle are still standing.
Aviation insurers are still facing turbulence in their bottom lines despite the optimism about the global economy and the expected growth of the Aviation industry again. Hence returning to sustainable profit is the main theme in this segment.
The world economy is picking up again and it is expected that the aviation sector will likewise grow again especially in Asia, after a year of zero if not negative growth. Mr Toby Palham, Senior Manager – Aviation, Allianz Global Corporate & Specialty Division Allianz SE Reinsurance Branch, is positive about this growth but also...
Asia as a whole is now a collective economic powerhouse. However, in terms of aviation activity and number of operators, each country within the region is different. Mr Gary Moran, Regional Director – Aviation, Aon Asia, explains that because of this diversity, it is imperative that insurers and brokers move closer to their clients to...
The aviation industry is experiencing one of its most severe depressions ever. Reduced passenger and freight traffic, high fuel prices, falling fares are woes experienced by the airlines today. Mr Peter Buckley, Aviation Underwriter, Catlin Singapore, looks at the beleaguered industry which is facing a new world of global demand and customer...
Despite the slight rate increases that aviation underwriters experienced in the final quarter of 2008, as 2009 began, they could foresee another difficult year ahead. Mr Rupert Hunn, Vice President, Aviation, Guy Carpenter & Co Ltd, looks at the aviation direct and reinsurance insurance industry in 2009, the year when the industry was hit...
Launching aerospace insurance in the region for Chartis is an exciting challenge. Mr Michael James Quin Harkin, Regional Vice President, Chartis Aviation tells us that offering and delivering their global aerospace capacity to clients, brokers and reinsurers in the region, while utilising the extensive resources of Chartis, should prove to be...
There has been an increase in the frequency and magnitude of securities class actions not only in the US, but also in Europe. Some countries in Asia are also looking to introduce class actions. In this article, Mr David Smyth, Managing Partner Hong Kong & China and Mr Antony Sassi, Senior Solicitor, both at Barlow Lyde & Gilbert of the...
Official figures show that China’s alcohol-related traffic accidents in 2008 led to a staggering 18,371 deaths, 76,230 injuries, and a property loss of US$36.7 million. Ms Wendy Ding, Research Assistant, Deacons Shanghai, tells us what the Chinese government is doing to arrest this alarming trend and how some of the proposed changes in...
With an increasing trend toward building “green”, FM Global looks at new ways to advise clients that are investing in sustainable design, and asks: When it comes to green, can there be too much of a good thing?
Individuals are becoming increasingly responsible for the outcomes of their retirement solutions. Schroders Singapore examines what tools individuals can use to make appropriate decisions when constructing retirement solutions.
With the economy recovering, and the insurance industry, similarly, rebounding, it is expected that there will be more claims too. vrs Insight Group highlights that there is, a need to increase the numbers of well-trained, professional and independent loss adjusters in Asia.
The Malaysian government recently announced a plan for a progressive deregulation of the country’s motor industry. Kurnia Insurans (M) Bhd looks at why the move is applauded unanimously by the industry.
The Investment and Financial Services Association (IFSA) will hold its first Annual Life Insurance Conference in Sydney, Australia on 2 March 2010. As a curtain-raiser to this life event, we look at the financial environment facing life insurers today and what the new business agenda is for the industry based on a Ernst & Young’s...
When 24-year-old university student Daren Tan won Project SuperStar in 2007 – a Singaporean production similar to American Idol – his life was thrown into the spotlight. Not only was he faced with media engagements and offers by retail companies to endorse their products, but the insurance industry also came knocking. We take a look...
Mr Alfonso T Yuchengco is an internationally recognised insurance leader, businessman, statesman, humanitarian and visionary. In this special interview, we find out about his fervent belief in working hard to build a good name and reputation.
After every country visit that I do, I try to roughly capture the market in a few lines in my mind, just for myself, to have a general understanding of it. It does not warrant accuracy, but it helps me make sense of that market.
Ratings movements on this page are made between 10th of December and 15th of January 2010. Companies and rating agencies which want to be covered are kindly requested to send their inputs to Ms Min Yong at min@asiainsurancereview.com
Mitsui Sumitomo Insurance Group (MSIG) has reinforced its commitment to corporate social responsibility (CSR) and the local community by awarding grants to four new projects from the National University of Singapore (NUS) that will improve senior citizen welfare and enhance traffic safety. It has also given out four additional grants related to...
Prudential plc (Prudential) has announced a long-term strategic partnership to develop a major regional bancassurance business with United Overseas Bank Ltd (UOB).
Mitsui & Co Ltd has become the largest shareholder of ACAL Holdings Pte Ltd in Singapore, the sole capital provider for Syndicate 1965 at Lloyd’s. Syndicate 1965 is one of more than 80 syndicates in the Lloyd’s of London market.
A government-appointed panel has recommended that all state taxes and levies on the general insurance industry should be abolished to help address the high level of underinsurance in Australia. It also said that the issue should be addressed urgently.
Insurers in Bangladesh turned in a good performance last year despite the global economic recession, with their overall turnover estimated at over 60 billion taka (US$868 million), reported the media. In comparison, total turnover in 2008 stood at 47.13 billion taka.
Great Eastern Life Assurance Co Ltd’s joint-venture company in China, Great Eastern Life Assurance (China) Co Ltd (GELC), has launched its Sichuan Branch Office. GELC is a joint-venture between Great Eastern Life Assurance Co Ltd and Chongqing Land Properties Group.
The CIRC has granted Allianz the license to convert Allianz Insurance Co Guangzhou Branch into a subsidiary. This decision marks a milestone for Allianz’ P&C presence in China as the registration of a subsidiary is the major precondition to extend business across provinces.
India’s four public sector non-life insurers continued to outshine their private sector rivals during the 2008-09 fiscal year. The quartet companies made a net profit of Rs4.268 billion (US$93.6 million) for the fiscal year ended 31 March 2009, representing a decline of 80.65% as compared to the previous year, according to the 2008-09...
TUGU celebrates its 28th year of excellence with all of its valuable clients, loyal partners, regulators, associations, shareholders and more than 200 guests in December 2009 at National Museum “Gajah”, Central Jakarta, Indonesia.
The Japan Pension Service, a semi-governmental organisation that was set up to take over the work of the Social Insurance Agency (SIA), which was embroiled in a pension scandal, has started operations.
South Korea’s insurance market, which dipped last year as a result of the global financial crisis, is predicted to recover this year, according to the Korea Insurance Research Institute.
Korean Re is seeking to invest in or buy an insurance company either in Korea or abroad in a bid to diversify its business portfolio, according to media reports, quoting the Chief of the company.
The Philippine Department of Finance has launched the National Strategy and Regulatory Framework for Microinsurance in January, outlining the government’s policy thrust in providing access to insurance to the poor.
Singapore’s banking and insurance regulator, the Monetary Authority of Singapore (MAS), is planning to revive a proposal to set up a fund to better protect insurance policyholders in the unlikely event of a default by an insurer operating in the Republic.
LWG Consulting, Inc., a leading worldwide provider of technical expertise following equipment or systems failure and property damage, has established a new office in Singapore.
Taiwanese insurance firms will enjoy greater leeway in buying into mainland Chinese counterparts, following the scrapping of a restriction which caps such investments at 10% of their paid-in capital.
Prospects for the Thai insurance industry in 2010 are bright, with the life insurance industry expected to sustain robust growth of 18-23% during the year, while the non-life insurance market could grow by between 6% and 9%, according to media reports.
United Insurance Company of Vietnam (UIC), a joint venture with Sompo Japan Insurance Inc. was the only foreign affiliated non-life insurance company in Vietnam to receive an award from the Vietnam Ministry of Finance, for its great contributions to the development, improvement of operation and effectiveness of the Vietnam Insurance market from...
With the optimistic forecasts on the Vietnamese insurance industry and the world’s economic recovery, insurance companies in Vietnam are planning to launch a range of new products.
powerful earthquake shook Haiti on 12 January at 4:53pm local time. The epicentre was located 16 km southwest of Port-au-Prince (population: 2 million), the Haitian capital. The US Geological Survey (USGS) issued a magnitude estimate of M7.0 and a focal depth of 10 km, according to catastrophe risk modeling firm AIR Worldwide.
Towers Watson & Co completed the merger of Towers Perrin and Watson Wyatt, on 3 January, following its announcement on 28 June 2009 to form Towers Watson, a leading global professional services company.
Reinsurance rates for most property & casualty lines decreased at the 1 January 2010 renewals, said global reinsurance brokers.
Two of the London market’s biggest challenges for 2010 – modernisation and Solvency II – will be closely linked and interdependent, Mr Dave Matcham, Chief Executive of the International Underwriting Association (IUA) has predicted. Mr Matcham said the way companies implement technology changes will have a major impact on how...
The International Insurance Society (IIS) has announced that Mr Frank O’Halloran, CEO, QBE Insurance Group is the 2010 Insurance Hall of Fame winner. He will be joined by a posthumous award to Dr William Greenough, past Chairman and CEO, TIAA-CREF.