Live Insurance News

Transaction Account Guarantee program extension denied

December 18, 2012December 18, 2012 S.Vagus

Transaction Account Guarantee Program Not Extended

Transaction Account Guarantee program will not be extended Earlier this month, the U.S. Senate was mired in debate concerning the Transaction Account Guarantee program. This program was created at the height of the U.S. financial crisis as an attempt to provide banks with protection against the volatile economic climate. The program provided federal insurance coverage for deposits kept in non-interest bearing bank accounts. This program successfully increased the financial activity that banks saw during the financial crisis, but the program has failed to receive the support it needed to be…

Travelers makes insurance news by leaving Wall Street estimates in the dust

April 20, 2012 Julie Campbell

The latest insurance news from Travelers shows that it saw earnings far beyond expert predictions. Travelers Cos Inc., a property insurer, left estimates from Wall Street analysts in the dust in terms of predictions regarding its first quarter earnings, and made insurance news when it increased its dividend by 12 percent as the losses from natural disasters fell and as rates continue to rise following several weak years. Shares of the insurer increased to $62.35, an increase of 4.8 percent, reaching their highest level since May of last year. Analysts…

New Entrants Adopt AIR Catastrophe Models to Better Manage Portfolios of ILS and Reinsurance Contracts

March 1, 2012March 2, 2012 Guest Author

BOSTON, March 1, 2012 – Catastrophe risk modeling firm AIR Worldwide (AIR) announced that investment companies such as ILS Capital Management are leveraging catastrophe modeling solutions to better manage portfolios of insurance-linked securities (ILS) and reinsurance contracts. “We selected AIR as the main model for our risk management architecture because it is the best solution for modeling a diverse portfolio of ILS and traditional reinsurance contracts,” said Tim Tetlow, president and COO of ILS Capital Management, Ltd. “Its event-driven approach is critical in allowing portfolio correlation and seasonal aspects of…

PICC Property & Casualty says auto insurance in China may boost profits

February 17, 2012February 17, 2012 Julie Campbell

According to PICC Property & Casualty, the decision made by China to permit foreign insurance companies to sell mandatory auto insurance might help the local insurers to make base rate government changes for those policies. The board secretary in Beijing for this largest non-life insurance in the country, Zhang Xiaoli, said that the result of bringing in compulsory vehicle coverage with third-party liability will be “quite limited” for the countries based in the country. He explained that insurance companies from other countries probably won’t “launch any big offensive” because they…

Japanese Tokio Marine will acquire American Delphi Financial Group

December 22, 2011December 22, 2011 H. Cutner

The second biggest casualty insurance company in Japan, Tokio Marine is purchasing the American company Delphi Financial Services, which is based in Delaware. The acquisition will be for $2.7 billion, which places a valuation on the company which has a 73 percent premium, indicating that Asian companies may be taking their first steps into the U.S. marketplace as a diversification effort, following the disasters that have struck their own local markets. This acquisition is one of the five largest insurance purchases this year and is easily among the biggest ventures…