October 2004/4

Dutch-based insurer ING Group today (18 October) announced that it is exiting its individual life reinsurance business in the US as it continues its strategy to focus on core business, and has signed a co-insurance agreement with Scottish Re to take on th

Risk-based capital allocation models and better risk modelling techniques, together with improved underwriting discipline, have put the London market in a better position than ever before to counter the destabilising effects of the underwriting cycle, acc

Fearsome foursome hit bottom line but Market still on track for estimated £1bn profit in 2004 Lloyd's this week confirmed that it was estimating a net loss of £1.3bn as a result of the four hurricanes to make US landfall this season.

Lloyd’s capped a year of success this week with the news that it would make its first ever foray into the international debt markets by raising £500mn of longer term subordinated debt.

The UK regulator Financial Services Authority has hinted that it may take a more robust approach over broker commissions in the light of Eliot Spitzer’s allegations against Marsh last week.

Marsh joins parent on negative outlook Rating agencies have reacted to the furore surrounding Spitzer’s PSA investigation by placing MMC’s credit ratings, the parent of implicated broker Marsh, on negative outlook.

Fresh from Marsh’s announcement on 15 October that it would suspend all its PSA style arrangements, the insurance companies named in Eliot Spitzer’s complaint against the world’s largest broker were also quickly distancing themselves from the practice.

$20bn wiped off AIG in one day; other insurers and brokers, as yet formally unrelated to investigation, see price declines as investors tar industry with the same brush Tens of billions of dollars were wiped off insurance stocks last week as investors,

Marsh has submitted to Eliot Spitzer’s shock 14 October allegations of price-fixing by replacing its chief executive Ray Groves and revealing that it will no longer charge insurers contingent commissions, often known as Placement Service Agreements (PSAs)

Spitzer is looking at Aon Re’s practices When Daniel J Popeo, chairman of the US think tank Washington Legal Foundation, complained to Eliot Spitzer about the activities of the global brokers on 10 February, the immediate attention was on so-called PSA

As predicted by Insider Week two weeks ago (see Insider Week No.142), the campaigning New York attorney-general Eliot Spitzer is suing Marsh over its long-established practice of charging insurers commissions in return for placing business with

Swiss Re’s landmark London offices – affectionately known as The (Erotic) Gherkin – has been awarded the UK’s premier architectural award, the Stirling Prize.