week commencing 21/04/19:

Shrinking profits for reinsurers, rising prices for D&O policies, and acquisition turmoil in the broking market.  It’s been such a busy news week here at Luther Towers that we haven’t even had time to finish our Easter eggs.

Tesla to launch motor insurance product

Elon Musk has said that Tesla hopes to have an insurance product ready to launch in a month’s time and promised that it will be ‘much more compelling than anything else out there’. External-link. [CNBC]

Reinsurer profits shrink as expense ratios grow

Willis Re examines the reduction in reinsurers’ profits over the past five years. Although capital continues to flow into the sector, increased expense ratios are tightening margins and have caused a wave of M&A. External-link. [Financial Times]

London D&O market pays for past pricing mistakes

The Lloyd’s market is beginning the process of financial reform, and nowhere is the extent of this being more heavily felt than in the D&O market.  Price rises are commonly reaching double figures. External-link. [Insurance Insider]

BMS sale raises questions in a market beset by change

As speculation around the sale of wholesale broker BMS grows, how does this deal fits into the overall pattern of broker M&A? External-link. [The Insurer]

Lloyd’s reports on adapting to automation risks

Lloyd’s has published a report, in collaboration with the University of Surrey, which looks at how to adapt insurance provision and wordings to the growing number of automated risks. External-link. [Lloyds.com]

UK Insurance Head Andy Briggs leaves Aviva

Head of UK Insurance Andy Briggs is to leave Aviva in October, having missed out on appointment to the role of Aviva CEO, which has recently been taken by Maurice Tulloch. External-link. [The Daily Telegraph]

Accumulated cyber risk: the silence is broken

Reinsurers, loss adjusters and reinsurance brokers are at last beginning to model, mitigate and even transfer some accumulated P&C cyber risk. External-link. [Reactions]

How Facebook broke democracy

The Observer’s Carole Cadwalladr’s TED talk on how Facebook broke democracy is a fascinating 15-minute distillation of what happened at Cambridge Analytica, and how vested interests are using social media to bypass a country’s electoral laws. External-link. [TED.com]

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