week commencing 13/06/21:

Thundery showers overhead, and tricky weather worldwide, with real floods in Australia and metaphorical storms in the US, where the DoJ went to court to block the Aon/Willis merger.  We hope for sunnier times next week.

Aon’s acquisition of Willis challenged in US

Aon’s $30bn acquisition of Willis Towers Watson has been blocked by the US Justice Department. A lawsuit was filed in Washington on Wednesday to stop the proposed deal on the grounds it was anti-competitive. The DoJ argued that it would lead to higher prices and hurt businesses, their customers and their employees. External-link. [Financial Times]

Over 6,500 claims made for Victoria floods

Last week’s floods and significant storms in the Australian state of Victoria have led to over 6,500 insurance claims. The Insurance Council of Australia has declared it a catastrophe, but the full extent of damage will unfold in the coming weeks as homeowners and businesses return to their properties. External-link. [Strategic Risk Asia]

Covid 19 causes drop in global macroeconomic resilience

According to research by the Swiss Re Institute the impact of Covid 19 has caused macroeconomic resilience to drop by 18% in 2020. Meanwhile the global insurance protection gap has reached a new high of around $1.4trillion in 2020. External-link. [Reinsurance News]

Claims from Ever Given likely to increase

Legal experts warn that the number of cargo claims will increase the longer the Ever Given remains anchored in the Suez Canal. Claims will grow for perishable goods that have spoiled as well as from retailers ordering replacements. External-link. [Insurance Day]

FCA legal challenge enables over 50% of firms to receive BI payout

The FCA has said that 54% of businesses have received a payout following claims made for business interruption linked to Covid 19. Insurers have paid out £757m in claims since the court case ended in January 2020. External-link. [Law 360 UK]

One Concern Inc gets $45m boost from Sompo Holdings

One Concern Inc, an AI startup focused on building the global resilience market, has received a $45 million investment from Sompo. The deal will help One Concern to grow its core capabilities in AI-focused resilience products as well as disaster mitigation technologies. External-link. [Carrier Management]

G7 tax accord threat to Bermuda’s status

There are concerns that Bermuda’s status as a tax-free haven could be under threat with the announcement of the new G7 tax accord. However, senior executives on the island still believe that the advantages outweigh any other challenges to operating in Bermuda. External-link. [Insurance Insider]

Longer-term issues to gain relevance according to Aon

Aon’s Global Market Overview report finds that longer term issues are going to become increasingly important for re/insurer appetite and ratings models following the pandemic. External-link. [Reinsurance News]

SCOR and Barclays resolve dispute

SCOR and Barclays have settled their dispute before the High Court on mutually beneficial terms, following SCOR’s widely publicised dispute with Covéa. External-link. [Reinsurance News]

Coca-Cola goes flat as Ronaldo chooses water

Coca-Cola‘s reputation lost some fizz when Cristiano Ronaldo removed two bottles of the drink during a press conference at the European Championships, causing a $4bn fall in their value almost immediately. External-link. [The Guardian]

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