November 2004/5

World’s largest insurer AIG has announced the acquisition of the insurance portfolio of the Royal & SunAlliance (R&SA) branch operations in Japan by its subsidiaries American Home Assurance Company and AIU Insurance Company.

A heady cocktail of collusion, doctored documents and “implausible” testimony has come to light after judgement was handed down last week in a fraud dispute between German reinsurer R+V and former Lloyd’s managing agency Risk.

The beleaguered broking giant MMC took further steps to improve its corporate governance rating by firing five senior executives from its board of directors last week.

Willis’ hopes that it may be the main beneficiary from any client fall-out at Marsh were boosted last week with the revelation that Fortune brands – a company named in Spitzer’s 14 October lawsuit – appointed Willis to replace the world’s largest broker.

Although the New York attorney general set the wheels in motion, last week provided ample evidence that many other US regulators are proving equally zealous in probing the insurance industry for apparent defects.

Leading brokers could see up to a quarter of their bottom line earnings eroded as a result of abandoning contingency commissions, according to a survey by investment banking and financial consulting outfit WFG Capital Advisors.

The verdict on the latest round of WTC insurance litigation is still hanging in the balance, as Insider Week goes to press.

Run-off specialist Helix UK Ltd has been appointed to administer the London Market portfolio of Legion Insurance Company, the programme manager and insurer which collapsed last year following the demise of its parent Mutual Risk Management.

Argenta’s new marine Lloyd syndicate will be allocated number 1965 when it begins trading next year, Insider Week can reveal.

The mooted takeover of GoshawK, the UK listed owner of Rosemont Re, has been ruled out by Nikko, the Japanese private equity firm which was given a deadline of 23 November to make firm its declaration of interest.

Broker Aon has stated the potential impact of a mammoth round of energy litigation currently underway in the Royal Courts of Justice.

Companies subpoenaed but ratings agencies and observers divided over impact of latest regulatory probe