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.

AM Best to develop COVID-19 stress tests for re/insurers

18th March 2020

Rating agency AM Best has revealed that it is in the process of developing stress testing that it will use to gauge the impact of the coronavirus (COVID-19) outbreak on its rated re/insurance companies. The tests will aim to measure the effect of the pandemic on re/insurers’ balance sheets, including on ... Read the full article

AM Best turns negative on US life/annuity market amid COVID-19 uncertainty

18th March 2020

Global ratings agency A.M. Best has revised its market segment outlook on the U.S. life/annuity segment to negative from stable, driven by the significant volatility and uncertainty in the financial markets as a result of the ongoing COVID-19 virus. The two main drivers of the revision to negative are the material ... Read the full article

Bermuda extends filing deadline for insurers, waives need for physical board meetings

18th March 2020

In light of the disruption caused by the coronavirus outbreak, the Bermuda Monetary Authority (BMA) has granted a one-month filing extension for re/insurers, and has waived the need for physical board meetings to take place. The Bermudian regulator has had a Business Continuity Plan in place since February 6th in order ... Read the full article

COVID-19 BI legislation held by NJ Assembly, higher premiums a concern

18th March 2020

It's been reported that Bill A-3844, which would require business interruption policies to cover losses caused by the COVID-19 outbreak at certain businesses in New Jersey, has not been passed into law. As we reported yesterday, New Jersey Legislature was today scheduled to discuss a bill designed to force insurance ... Read the full article

Fitch revises UK life insurance sector outlook to negative from stable

18th March 2020

The rapidly evolving coronavirus outbreak has led Fitch Ratings to revise its UK life insurance sector outlook to negative from stable. The move comes a day after the global financial services ratings agency turned negative on the US life insurance industry. Both revisions are a result of the widespread uncertainty ... Read the full article

James Allen Insurance announces pandemic policy

18th March 2020

National insurance solutions provider James Allen Insurance has announced a comprehensive pandemic policy for business enterprises to protect themselves in the event of an outbreak. The policy is designed to cover added out-of-pocket expenses, as well as lost revenue associated with the outbreak of disease. The policy is backed Lloyd’s and other ... Read the full article

Fitch revises Allstate’s rating outlook to stable from positive on coronavirus

18th March 2020

Fitch Ratings has downgraded the rating outlook for The Allstate Corporation and its core insurance subsidiaries to stable from positive, due to the significant uncertainty being caused by the global coronavirus pandemic. The ongoing COVID-19 outbreak has led to high levels of volatility in capital markets, which, has in turn driven ... Read the full article

Coronavirus volatility to erode EMEA insurers’ capital: Moody’s

18th March 2020

Analysts at Moody’s believe that coronavirus-induced volatility in the financial markets could erode the capital of EMEA insurers in the short term, with low interest rates also set to add pressure over the coming quarters. A recent heat map produced by the rating agency identified these two factors as the key ... Read the full article

Coronavirus to spark global recession in 2020: S&P Global

17th March 2020

As the coronavirus pandemic continues to accelerate, economists at S&P Global are expecting a global recession this year. Since the company’s last update on March 3, coronavirus’ economic effect has worsened sharply. Economic data remains scarce, but the long-awaited initial figures from China for January and February appear much worse than feared. S&P ... Read the full article

Solvency at risk if insurers pay for excluded virus claims: APCIA

17th March 2020

David A. Sampson, President and CEO of the American Property Casualty Insurance Association (APCIA), has warned that industry solvency could be at risk if insurers are forced to pay COVID-19 claims that are not covered by current contracts. He noted that standard event cancellation insurance policies do not include communicable disease ... Read the full article

Many UK firms lack adequate insurance regardless of Government orders: ABI

17th March 2020

The Association of British Insurers (ABI) has suggested that many businesses in the UK are unlikely to be able to call on their insurance cover for standard business interruption (BI) as a result of the COVID-19 outbreak, irrespective of the Government ordering closures. When addressing the nation yesterday, UK Prime Minister ... Read the full article

Fitch turns negative on US life due to virus concerns

17th March 2020

Fitch Ratings has revised its rating outlook for the US life insurance industry from stable to negative, due to increased concerns about the coronavirus outbreak and its potential impacts on the credit quality of life insurers. Analysts explained that the outlook revision reflected greater uncertainties about disruptions in the financial markets, ... Read the full article

New Jersey’s COVID-19 legislation could be negative for insurers: Analysts

16th March 2020

Despite business interruption (BI) claims from the ongoing coronavirus being explicitly excluded by ISO's "virus" exclusion, new legislation being discussed today in the State of New Jersey seeks to eliminate this, which, analysts feel would be negative for all commercial insurers. Specifically, the New Jersey Legislature is set to propose a ... Read the full article

LMA introduces Coronavirus contingency clause

13th March 2020

The Lloyd’s Market Association (LMA) has published policy language designed to prevent customers being left without cover in the event of a Coronavirus-related market shutdown. Drawn up by the LMA on behalf of its members, the clause ensures continuity of coverage for Lloyd’s re/insureds should, for more than one day during ... Read the full article

Insurance Council of Australia declares COVID-19 a catastrophe

13th March 2020

The Insurance Council of Australia (ICA) has officially declared the coronavirus (COVID-19) outbreak to be an ‘insurance catastrophe,’ following its designation as a pandemic by the World Health Organisation. The ICA noted that the extent of claims and losses related to the COVID-19 spread remain unknown at this point, but said ... Read the full article