Issue 2009-02 -- January 13, 2009
This newsletter is for members of the Canadian Insurance Industry, and those who serve it. The newsletter is published weekly, and notes information mostly about the use of the Internet and related technologies in the industry. Some is international, where we feel it is relevant to Canada.
eBusiness and Technology
Automation Will Be Critical Element As Insurers Seek More Agility In 2009, by Chuck Johnson, Oracle Insurance.
While 2008 was a year that no company in the financial services industry would choose to repeat, property and casualty insurers fared better than their colleagues in other more volatile market segments.
Claims
ISO's Xactware Announces Integration of XactAnalysis and ISO ClaimSearch.
JERSEY CITY, N.J., January 6, 2008 - ISO's Xactware subsidiary and the ISO Claims Solutions business unit today announced a major advance in insurer fraud-fighting capabilities with the integration of two industry-leading claims tools: XactAnalysis® and ISO ClaimSearch®.
Core Claims Systems Vendors 2008: Report Published by Celent.
San Francisco, CA, USA - December 30, 2008 - Since the publication of the first Celent claims vendor report in 2006, the replacement of legacy claims systems has continued at a substantial pace. In the past two years, the 19 vendors profiled in this report have sold over 100 core claim systems. In the second half of 2008, over 50 insurers are implementing new systems from licensed from this report's profiled vendors.
Catastrophe figures for 2008 confirm that climate agreement is urgently needed: Munich Re.
A large number of tropical cyclones and the earthquake in Sichuan made 2008 one of the most devastating years on record. Although there was a drop in the number of loss-producing events compared with the previous year (from 960 to 750), individual catastrophes pushed up the numbers of victims and the losses appreciably. Throughout the world, more than 220,000 people died as a result of natural catastrophes this year. Overall losses totalled some US$ 200bn (2007: US$ 82bn) but were still below the record set in 2005 (US$ 232bn in current values). Insured losses in 2008 rose to US$ 45bn, about 50% higher than in the previous year.
Top 5 insurance claims hotspots for 2009; Emerging risks pose new challenges for UK businesses: AON.
LONDON, 16 December 2008 - UK companies face new insurance claim burdens in 2009 with fraud on the increase and spiralling legal fees. New environmental threats, terrorism and product recalls will also shape the insurance claims landscape, according to the UK's leading broker Aon. These will test the adequacy of policy coverage and the willingness of insurers to pay claims for the emerging and potentially costly issues.
Distribution
ACT, AAMGA, NAPSLO Partner to Improve Efficiencies of E&S Transactions: IIABA.
(ALEXANDRIA, VA - Dec. 19, 2008) - The Independent Agents & Brokers of America's Agents Council for Technology (ACT), the American Association of Managing General Agents (AAMGA) and the National Association of Professional Surplus Lines Offices (NAPSLO) formed a joint initiative to improve the efficiencies for retail agents interacting with managing general agents and wholesale brokers in the E&S market and to promote the electronic exchange of data between the parties.
Independent Producer Survey: Technology, Services, and Other Drivers of Carrier Choice (Property/Casualty Edition): Report Published by Celent.
Boston, MA, USA - December 10, 2008 - In a new report, Property Casualty Independent Producer Survey: Technology, Services, and Other Drivers of Producer Choice, Celent details the answers to important questions about agents' decision-making. Over 900 independent agents completed a 27-question survey designed to explore their use of technology and the criteria for placement of business with carriers.
Business of Insurance
The Co-operators establishes Centre of Expertise to support growth in Quebec.
MONTREAL, Jan. 8 2008 - Today, The Co-operators announced restructuring and personnel appointments that will enable the group of companies to meet its ambitious growth goals in the province of Quebec.
Industrial Alliance Completes Acquisition of DundeeWealth's Quebec-Based Mutual Fund Dealer and Insurance Distribution Operations.
TORONTO, Jan. 5 2008 - Industrial Alliance Insurance and Financial Services Inc. ("Industrial Alliance") and DundeeWealth Inc.
("DundeeWealth") today announced the completion of a transaction, whereby Industrial Alliance has acquired DundeeWealth's mutual fund advisory and
insurance network of financial advisors who are registered in the Province of Quebec with the MFDA and/or the AMF.
Catastrophe Losses, Credit Crisis Push Reinsurance Pricing Upwards, According to Guy Carpenter Review.
New York, January 5, 2009 - High catastrophe losses and the continuing international credit crisis pushed property catastrophe rates up by 8 percent at the January 1, 2009, reinsurance renewals period, according to a briefing on global reinsurance market conditions published by Guy Carpenter & Company, LLC, the leading global risk and reinsurance specialist. Cats and Credit Push Prices Up: Global Reinsurance Review January 2009, Guy Carpenter's new intellectual capital website states that property catastrophe reinsurance rate increases were moderate on average, as the Guy Carpenter World Rate on Line (ROL) Index rose 8 percent.
Conning Research: Life Insurance Industry Forecast -- Financial Crisis Will Impact Industry Results through 2010.
(Hartford, CT) January 7, 2009 - While some long-term trends look favorable for the life insurance industry, short-term challenges will occupy the attention of senior management for the next two to three years due to the impact of the financial crisis, according to a new report by Conning Research and Consulting, Inc.
Marketing and the Market Place
Canadians aim to focus on stability and paying down debt in 2009: Manulife Investor Sentiment Index.
WATERLOO, ON, Jan. 9 2009 - Canadians say they're turning to financial safety and paying down debts as economic troubles continue, according to a national poll for Manulife Financial, Canada's leading insurance and wealth management company.
CFIB Business Barometer: National small business optimism near record low.
December 17, 2008 - Toronto - Overall expectations among the owners of Canada's small- and mid-sized enterprises (SMEs) has fallen to a near record low of 86.1 in December, according to findings from the latest survey of business optimism released today by the Canadian Federation of Independent Business (CFIB). Nationally, latest expectations push the December Business Barometer index down from its previous cyclical low of 90.3 in October and early November and further from a high of 101.8 in September.
Seven Predictions for 2009: eMarketer.
JANUARY 5, 2009 - As we step tentatively into the new year, prospects look pretty grim. With unemployment predicted to top 9%, industry bailouts looming, a massive retrenchment in the stock market and a generally accepted view that things aren't likely to get better any time soon, it will be all too easy to slide into a state of cynicism, or even despair.
Consumer Information
Commercial insurance consumers report improved insurance availability: IBC.
TORONTO, Jan. 8 2008 - Most businesses have improved access to commercial insurance at more affordable prices than at any time in the past 4 years, according to recent surveys conducted by Insurance Bureau of Canada (IBC).
Manitoba's 2008 auto theft numbers lowest in 16 years: Manitoba Public Insurance.
January 7, 2009 - Manitoba's auto theft rates have dipped to levels not seen since the early-Nineties, driven by a more than 40 per cent decrease in auto theft in Winnipeg, according to 2008 claims data released today by Manitoba Public Insurance.
from Doug:
My Dad and Mom moved into a senior's residence last May. Given that Mom has had some medical issues since then, it was a very fortuitous decision. Not long after most of the family enjoyed Christmas there, the facility experienced a virus among the residents. Our first time for the process, with the residence quarantined - they could go out, but no visitors. Then Mom was ill for a day and she and Dad were restricted to their own room for four days. Finally after what seemed like ages, visitors are now allowed, for two hours each day from 1:00 until 3:00. Soon, maybe, they will be back to normal.