October 2003/3

Things went from bad to worse for GoshawK last week when ratings agency Moody’s downgraded Syndicate 102’s performance rating and delivered a downbeat assessment of its future prospects.

Financial Institutions professional liability, a sector that has been decimated with higher than expected claims and coverage disputes in recent years, is to receive a new policy wordings form, courtesy of the Lloyd’s Market Association (LMA).

Claims management and outsourcing firm Xchanging unveiled a new way of dealing with claims last week when it opened its Claims Office of the Future on the sixth floor of the Lloyds building.

It seems that legislation to bring in an asbestos trust fund to compensate victims and end expensive lawsuits will stay log-jammed in the Senate after insurers refused to compromise on the contributions they would have to make.

Swiss reinsurer Converium has unveiled a new organisational and financial reporting structure, together with a management shake-up.

Reinsurance spin-off Aspen Re has appointed bankers Credit Suisse First Boston and Goldman Sachs to advise on a possible $1bn+ US listing, according to sources.

Californian firm Risk Management Solutions (RMS) announced that it has undertaken risk analysis for a bond covering football’s global governing body FIFA for cancellation of its 2006 World Cup in Germany.

Despite disapproval from the South African government, US class action lawyer Ed Fagan is threatening a $100bn suit against Alexander Forbes and a host of other companies because of their alleged mistreatment of over 10,000 employees during the apartheid

California Insurance Commissioner John Garamendi wasted no time last week in getting Governor-Elect Arnold Schwarzenegger on side in his quest for workers’ compensation reform.

Beleaguered Lloyd’s insurer GoshawK was dealt another blow last week as ratings agency Standard & Poor’s followed Moody’s and downgraded Syndicate 102 by another notch, questioning its ability to trade forward into 2004.

Credit Lyonnais chairman resigns over Executive Life scandal Jean Peyrelevade, the chairman of French banking Group Credit Lyonnais, has resigned following the Executive Life Insurance Company scandal.

European multinationals could access more favourable terms and conditions on their property insurance if they shopped beyond their domestic market, according to a report published last week by broker Aon.