October 2007/5

Thousands of jobs are under threat at UK household insurer Norwich Union after its parent, Aviva, announced £350mn of cost savings in the UK by the end of 2009.

Munich Re has launched a $260mn cat bond to cover earthquake risk for the East Japan Railway Company (EJRC) in a sign that insurance linked securities (ILS) demand remains undiminished by recent credit markets turmoil.

The House of Lords upheld a Court of Appeal decision last week, ruling that employers are not liable to compensate employees who develop symptomless pleural plaques after exposure to asbestos.

One of the UK's leading fund managers, Standard Life Investments Ltd has acquired 29 million shares in Lloyd's insurer Chaucer Holdings plc, representing 9 percent of the voting rights in the company.

Airline premium rates fell again this month - after a brief hiatus in August/September - according to the latest data from Aon Aviation.

After decades of lobbying from the international (re)insurance community, one US state is spearheading new regulation that would remove collateral requirements for the highest rated foreign and non-New York reinsurers.

The London market has missed its 60 percent third quarter target for usage of electronic claims files (ECF) by 15 percentage points, making the year-end target of 100 percent "more challenging", said the Market Reform Group (MRG) in a statement last week.

David Stevens, COO of UK niche-branded insurer Admiral Group plc, has purchased £1.9mn of shares in the company, taking the director's shareholding in Admiral to 3.84 percent.

US insurance giant The Chubb Corporation has received approval from the Chinese authorities to turn its Federal Insurance Company from a Shanghai branch to a wholly owned insurance subsidiary.

Bancassurance is gaining in popularity particularly in emerging markets, according to research by Swiss Re.

UK (re)insurance giant Royal & Sun Alliance (R&SA) has announced that it is to acquire Canadian property casualty insurer Canadian Northern Shield Insurance Company (CNS), in a C$75mn (£37mn) cash deal.

Yorkshire-based consolidator Broker Network Group has received a takeover approach which "may or may not lead to an offer being made for the company", according to a recent London Stock Exchange announcement.

Lehman Bros has been given the green light by the Financial Services Authority to begin trading at its subsidiary Libero Ventures Ltd - a new unit that aims to improve capital efficiency for (re)insurers by shifting exposures to the capital markets.

Gen Re's victory last week in its dispute with Arch Capital Group over the poaching of a thirty strong facultative team will encourage employers concerned about their intellectual property walking out of the door.

Bermudian energy mutual Oil Insurance Limited is co-suing the US government over the flooding of a refinery during Hurricane Katrina.

Reinsurance broker Guy Carpenter & Co has announced that it has changed the name of MMC Securities to GC Securities and has expanded its investment banking capabilities in Europe.

As predicted by The Insurance Insider in July, Liberty Syndicates - one of the largest Lloyd’s (re)insurers - has confirmed the appointment of Nick Metcalf as its new CEO.

Reinsurance broker Guy Carpenter & Co has announced two key appointments to its facultative team as it continues to rebuild following a number of senior defections to Integro earlier this year.

A US securities-law case, currently being heard in the Supreme Court "could be the legal equivalent of Hurricane Katrina" for professional liability insurers, according to William Wilt, analyst at Morgan Stanley.

Bermuda-based insurer Hiscox plc has continued to build on its international expansion with the launch of Hiscox Global Markets in New York.

Integro Ltd has hired well-known broking figure Guy Bessis from Aon as a managing principal in its London operation.

Broking giant Aon Corp is being sued by a long-term client, Caterpillar Inc on charges of fraud and anti-competitive behaviour.

London market broker Alwen Hough Johnson Ltd (AHJ) has increased its Scandinavian presence by taking a stake in Norwegian firm Nilsen Brokers Re AS.

Guy Carpenter is likely to file a motion to dismiss the lawsuit launched earlier this month by Connecticut attorney general Richard Blumenthal that has accused the broker of violating the state’s anti-trust and unfair trade practices acts...