week commencing 13/09/20:

This week is all about tests – do you need one, can you get one and how did the FCA get on with theirs?


FCA test case – Judgement Day

When a complex legal challenge gets reported in the External-link[Daily Express], you know you’ve hit the zeitgeist and the possible PR fall out is going to be huge.  With 8 insurers and 21 policy wordings there was never going to be an outright winner, but overall the FCA was seen to have come out on top. So, what next? Will there be an appeal? External-link[FT]  Who are the winners and losers? External-link[Insurance Insider] How far afield is the effect being felt? External-link[Asia Insurance Review]  And, is the reputational damage worth it? External-link[Post magazine]


Neal to “rip up the Underwriting Room”

Ideas for re-imaging the Underwriting Room at Lloyd’s will be presented to the market in the first quarter of 2021 said the CEO of Lloyd’s, apparently anything designed in 1980 is now very last year dahling. External-link. [Insurance Insider]


Marine market catches cold with COVID

Chair of IUMI, Richard Turner said that, with a recent history of unprofitable underwriting years, COVID is increasing the pressure on marine lines of business to return to a sustainable technical profit. External-link[Asia Insurance Review]


EU looks at public private partnership

The European Commission is looking to form a working party, the purpose if which is to consider a pan-regional solution for pandemic risk. External-link. [The Insurer]


Merger hits the skids

The Competition and Markets Authority has given the Ardonagh Group and Bennetts Motorcycling Services Ltd five working days to appeal against the findings of the watchdog’s probe. External-link[Insurance Business]


Hurricane Sally floods Florida

The US Gulf Coast saw massive flooding as a result of almost three feet of rain, with the storm moving very slowly, similar to other recent US storms that caused significant property damage. External-link[Insurance Journal]


Reinsurance capacity tightens modestly

According to a report by Aon, a “modest tightening” of reinsurance capacity is expected in the second half of 2020 on the back of declining interest rates, elevated reserving risk and rising retrocession costs. External-link[Insurance Day]


D&O prices doubled in Q2 2020

A Marsh report says the average cost of D&O cover in the US has risen by nearly 60%, while in the UK prices on average have doubled. COVID plus a rising trend in lawsuits was highlighted as the cause. External-link[FT]


The Ki to success

In a big week for the Brit, follow-only digital syndicate due to launch in January 2021, Ki raised $500m from Fairfax and Blackstone, and appointed Mark Allan as CEO and Dan Hearsum as managing director. External-link[Insurance Insider]


Dealing with returns?

Two brave colleagues ventured back to Luther Towers this week for the first time in six months only to hear many conversations starting with an enquiry about the return to the City in tones reserved for actually dangerous places. So, is the shift permanent and in what ways? External-link[FT]


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