Reinsurance News

Coronavirus news

Coronavirus news coverage of relevance to reinsurance and insurance markets.

All of our Covid-19 coronavirus news, analysis and insight related to insurance and reinsurance market impacts can be found below.

The coronavirus Covid-19 pandemic of 2019-20 resulted in significant disruption and threatened losses widely across the insurance and reinsurance markets.

European insurers’ coronavirus BI claims will likely be limited, Moody’s

20th March 2020

Moody’s is expecting insurers in the UK, France and Germany to face only moderate business interruption claims as a result of the coronavirus outbreak, as pandemic-related claims are excluded from most business interruption policies in all three countries. This follows a statement from the Association of British Insurers which explained that ... Read the full article

Zurich warns of heightened cyber risk during pandemic

20th March 2020

Zurich Insurance has warned that a surge in remote work during the coronavirus (COVID-19) pandemic will result in heightened cyber security risks. With businesses around the world increasingly urging employees to work from home to help slow the spread of the virus, analysts believe that the security standards of some organisations ... Read the full article

Swiss Re has $250mn exposure to Tokyo Olympics cancellation: CFO Dacey

20th March 2020

Global reinsurance giant Swiss Re has a specific exposure of USD 250 million to the cancellation of the 2020 Tokyo Olympics, and also potential exposure in other lines as a result of the COVID-19 outbreak. Scheduled to commence on the 24th of July 2020, the ability for the Tokyo Olympics to ... Read the full article

FCA asks insurers to stretch policy T&Cs for coronavirus

20th March 2020

UK regulator the Financial Conduct Authority (FCA) has said that it expects insurers to stretch the terms & conditions of policies to help the population adapt to the socioeconomic impact of coronavirus (COVID-19). The FCA is in the process of making the re/insurance industry aware that customer behaviour is set to ... Read the full article

Coronavirus prompts Fitch to revise European life to negative

20th March 2020

Fitch Ratings has revised its rating outlooks for the life insurance sectors in France, Germany, the Netherlands, and the UK to Negative from Stable; the Italian life insurance sector remains negative. This revision is due to increased risks stemming from the coronavirus pandemic and related impact on the credit quality of ... Read the full article

CAC Specialty, Fortress equipped to provide financing amid COVID-19

20th March 2020

Specialty insurance broker and investment banking platform CAC Specialty says it is equipped to provide financing for CAC clients facing liquidity pressure due to the direct and indirect impact from COVID-19, thanks to a previously-announced partnership with Fortress. The partnership with Fortress, which previously provided financing for the formation of CAC ... Read the full article

Despite the disruption, insurers expect limited BI claims from COVID-19: KBW

19th March 2020

It remains too early to estimate industry-wide business interruption (BI) losses from the COVID-19 outbreak, and while it's expected that some losses will materialise, insurers are expecting these to be limited, according to analysts at KBW. The ongoing COVID-19 outbreak is having a significantly adverse impact on many businesses across numerous ... Read the full article

SCOR says re/insurers have expertise to understand COVID-19 impact

19th March 2020

Global reinsurer SCOR has called for industry-wide action to be taken over the unfolding coronavirus pandemic. SCOR’s executive committee described the re/insurance industry as having the mathematical expertise to understand the potential impact of the virus. SCOR described Life re/insurance in particular as having a unique alignment with the health and well-being ... Read the full article

Aegon sees no material adverse impacts on claims ratios from COVID-19

19th March 2020

Aegon, a provider of life insurance, pensions and asset management, has said that at this point, it has observed no material adverse impacts on claims ratios as a result of the COVID-19 outbreak. The announcement comes as part of an update on Aegon's capital position in light of the impact of ... Read the full article

Swiss Re confirms potential for buyback delay

19th March 2020

Swiss Re has confirmed that there is potential for its previously announced share buyback to be delayed, owing to the ongoing uncertainty around the financial market due to COVID-19. The reinsurer said that it will still seek authorisation for the CHF 1 billion public share buyback program at its annual general ... Read the full article

Coronavirus BI exposure remains “very manageable”, says Zurich CFO

19th March 2020

Zurich has started to see some coronavirus-related Business Interruption claims, but based on its exposures is expecting it to be very manageable in a group context. George Quinn, Zurich’s Chief Financial Officer, has explained that for these claims to pay out the company not only needs to see exposure to the ... Read the full article

UK’s £350bn bailout to ease default risk on investments: Peel Hunt

19th March 2020

Analysts at Peel Hunt believe the default risk for re/insurers’ investment portfolios has been lowered by the UK Government’s decision to introduce a £350 billion emergency package of financial measures to support businesses affected by the coronavirus (COVID-19) outbreak. Chancellor Rishi Sunak revealed the measures on Tuesday, which include £330 billion ... Read the full article

Italy adjusts Solvency II rules to help insurers endure coronavirus

19th March 2020

In response to the outbreak of coronavirus (COVID-19), the Italian Government has reduced the requirements for applying a country-specific volatility adjustment to strengthen Italian insurers’ regulatory Solvency II ratios. The measure is part of a decree aimed at mitigating coronavirus pandemic-related effects, including economic contraction, materially slowing business activity, falling equity ... Read the full article

COVID-19 driven market disruption main threat to European reinsurers: Fitch

18th March 2020

Financial market disruption stemming from the spread of the coronavirus is the main threat to the credit profiles of European reinsurers, Fitch Ratings analysts say. Furthermore, downgrades could be on the horizon should earnings weaken and capital headroom erode as a result of prolonged stress on equity and credit markets and ... Read the full article

Coronavirus puts Swiss Re share buyback at risk: JP Morgan

18th March 2020

Given that Swiss Re is likely to see significant mark-to-market losses on equity accounted investments in the first quarter of 2020, as well as the ongoing uncertainty to the financial market outlook on COVID-19, analysts at JP Morgan see a substantial risk that the reinsurer's previously-announced buyback will not be ... Read the full article