Insurance industry
American International Group (AIG), a leading provider of insurance and financial services, has signed a definitive agreement to sell 21st Century Insurance Group, an insurance holding company, to Farmers Group, Inc. (FGI). The transaction, valued at $1.9 billion, marks a significant move for AIG as it continues to restructure
Insurance industry
Four of the largest property and casualty insurers in the United States, ACE Ltd., American International Group Inc., St. Paul Travelers Cos., and Zurich Holding Company of America, have been ordered by three state attorneys general to cease paying contingent commissions to brokers and agents for several lines of insurance
Insurance industry
A federal court has ruled that flood exclusions used by several insurance companies to deny Hurricane Katrina-related homeowners' claims are ambiguous, as they fail to distinguish between natural and manmade catastrophes. In an 85-page decision, US District Judge Stanwood R. Duval Jr. denied motions by Allstate Insurance Co., St.
Insurance industry
The deal, which has been in the making since the 1980s, aims to end the liabilities of Lloyd's and its individual investors, providing as much as $7 billion of coverage. Equitas, the liability run-off reinsurer of Lloyd's of London, has agreed to reinsure all of its
Insurance industry
American Family Mutual Insurance, the third-largest mutual property and casualty insurer in the nation, has chosen Audatex, a Solera Company, as its vehicle direct repair claims management and technology partner. This deal, covering over 2,700 users, represents an expansion of the current American Family relationship with Solera and marks
Insurance industry
PMA Capital Corporation, an insurance holding company headquartered in Blue Bell, Pennsylvania, has welcomed Thomas A. Klaus as its new Vice President - General Auditor. Klaus reports directly to Robert Pratter, Senior Vice President - General Counsel and member of the Audit Committee of the Board of Directors. In his
Insurance industry
Paula Rosput Reynolds, the newly appointed CEO of Safeco Corporation, brings a wealth of experience in managing diversified risk, having led AGL Resources through a turnaround and transforming it into a multistate, integrated energy company. Reynolds, who previously served as chairman, president, and CEO of AGL Resources, has spent 27
Insurance industry
The 2005 hurricane season was the most active on record, with 13 named hurricanes, and insured U.S. property/casualty losses caused by Hurricane Wilma are estimated to reach $6.1 billion. This will push total 2005 catastrophe losses to a record $50.3 billion, with Hurricane Katrina accounting for
Insurance industry
The Financial Services Agency has issued business improvement orders to 26 nonlife insurance companies in Japan after identifying over 180,000 cases of failed claim payments totaling 8.4 billion yen over the past three years. These failures were primarily due to structural inadequacies in product explanation, marketing, and internal
Insurance industry
Hurricanes Katrina and Rita are not alone in causing devastation. Hurricane Ophelia and Dennis were the opening acts, and Hurricane Wilma may be the final blow for The Allstate Corp. The insurance company, the Northbrook-based insurer, and most of the rest of the insurance industry badly misjudged their risks, leading
Insurance industry
The US housing market remains at risk, with numerous large markets facing potential price declines. According to the PMI U.S. Market Risk Index, the median Risk Index value has increased 11.6 percent, from 120 to 134. This indicates a heightened likelihood of price declines in the coming years,
Insurance industry
Mississippi Attorney General Jim Hood has filed a suit in the Chancery Court of Hinds County, seeking to have the flood exclusions in homeowners insurance policies declared null and void in the wake of Hurricane Katrina. The storm caused widespread damage and estimated insured losses of up to $60 billion.
