General Insurance newsletter Friday 18th October 2024

Insurance News

2024 Insurance M&A trends - M&A activity has risen this year, driven by industry convergence, embedded insurance, and alternative capital, despite cyber risks and regulatory scrutiny. Opportunities remain strong for strategic acquisitions, but what does the upcoming budget announcement mean for M&A and restructuring? (IDEX Consulting news, '2024 Insurance M&A outlook')
Marine, Transportation and Aviation talent market - Demand for skilled producers and technicians remains high, with companies seeking to attract talent through incentives like long-term incentive plans and equity deals. Counter-offers continue to be an influencing factor as employers use it as a tactic to retain workers. The sector is becoming more reliant on technology and AI, especially among Insurtech firms, creating new opportunities but also challenges. Succession planning and upskilling younger professionals are crucial, with a focus on soft skills. (IDEX Consulting news, '2024 Marine and transportation market outlook')
IDEX instrumental in Noble Insurance acquisitions - IDEX's M&A expertise has been pivotal in Noble Insurance Group's strategic acquisitions, allowing them to accelerate their growth strategy and boost overall performance. By focusing on integrating technology and strengthening customer relationships, businesses can optimise their sales processes and drive growth. (IDEX Consulting news, 'IDEX instrumental in Noble Insurance acquisitions')
Neurodiversity recruitment: how neuro inclusive are you? - Organisations can improve neurodiversity inclusion by adopting tailored hiring processes, providing training for recruiters, and creating supportive workplace environments with necessary accommodations. Ensuring flexibility, clear communication, and mentorship can help neurodivergent individuals thrive. By prioritising these strategies and leveraging the diverse perspectives that neurodivergent talent brings companies can enhance their innovation and productivity. (IDEX Consulting news, 'Neurodiversity recruitment: how neuro inclusive are you?')
The UK insurance sector is competitive, but growing revenues prove that the leading brokerages have responded to the challenge. It has been a successful year for insurance agents and brokers across the UK, as the 2024 market size is estimated to be £20.5 billion. Insurance Businessrecognises the best insurance brokerages in the UK that are increasing their revenues and attracting more clients with their renowned service and deep levels of expertise. (Insurance Business UK, 17/10/2024, Insurance Business, 'Introducing 2024's best insurance brokerages in the UK')
In a joint appeal to European Commission President Ursula von der Leyen, Insurance Europe and nine other consumer, industry, and mobility associations have called for swift legislative action on access to vehicle-generated data. “A persistent barrier to competitiveness continues to exist in the European data-driven vehicle services market,” the coalition noted in a letter to von der Leyen. (Insurance Business UK, 17/10/2024, Terry Gangcuangco, 'Insurers call for swift action on vehicle data access')
The International Insurance Society (IIS) has announced the finalists for the 2024 RGA Leaders of Tomorrow award, a global mentorship initiative aimed at identifying emerging leaders in the insurance and risk management sectors. The finalists were chosen from a group of mentees who conducted original research on key industry issues, with a panel of insurance executives evaluating their work for its practical relevance and innovative solutions. (Insurance Business UK, 17/10/2024, Kenneth Araullo, 'IIS announces finalists for 2024 RGA Leaders of Tomorrow Award')
AM Best has affirmed the financial strength rating of A- (Excellent) and the long-term issuer credit rating of “a-” (Excellent) for Stonefort Reinsurance SA, a Luxembourg-based subsidiary of HOCHTIEF Aktiengesellschaft. HOCHTIEF, a major construction firm headquartered in Germany, is majority owned by ACS, Actividades de Construcción y Servicios, SA. The outlook for these credit ratings remains stable. (Insurance Business UK, 17/10/2024, Kenneth Araullo, 'Stonefort Reinsurance's A- rating affirmed by AM Best')
Marsh McLennan has reported its financial results for the third quarter ending September 30, 2024. The company reported consolidated revenue of US$5.7 billion for the period, a 6% increase from the same time threshold in 2023. On an underlying basis, revenue grew 5%. Operating income rose 11% to US$1.1 billion, while adjusted operating income, which excludes certain items, increased 12% to US$1.2 billion. (Insurance Business UK, 17/10/2024, Kenneth Araullo, 'Marsh McLennan reveals Q3 results')
Born between 1996 and 2010, Generation Z is the first generation to grow up with the internet. Shaped by the digital age, climate anxiety, a turbulent financial landscape and COVID-19, a recent report from McKinsey and Company outlined the unique characteristics of this generation– and what sets it apart from those who came before. (Insurance Business UK, 17/10/2024, Mia Wallace, 'Meeting the needs of Gen Z insurance customers head-on')

Pen Underwriting has relaunched its cyber insurance offering for large corporate clients, marking its return to providing primary cover for this market segment. The new proposition includes a comprehensive overhaul, doubling the excess of loss (XOL) limit and broadening the company’s risk appetite. (Kenneth Araullo, 17/10/2024, Insurance Business, 'Pen Underwriting relaunches cyber insurance for large corporate clients')
Alister Campbell, Chief Executive of Canada’s Property and Casualty Insurance Compensation Corporation (PACICC), has announced the release of the second edition of itsGlobal Failed Insurer Catalogue (GFIC), a comprehensive report detailing the failure of 568 insurers across 57 jurisdictions since 2000. (Insurance Business UK, 17/10/2024, Terry Gangcuangco, 'Insurer failures catalogued in new report')
A recent survey by The Green Insurer has revealed that 36% of motorists would be more likely to switch from petrol or diesel vehicles to electric cars if the 12% Insurance Premium Tax (IPT) on car insurance for electric vehicles were to be removed. (Insurance Business UK, 17/10/2024, Kenneth Araullo, 'IPT removal could drive more motorists toward electric vehicles – survey')
Quoted van insurance premiums have started to decline, though they remain 9.5% higher year-on-year as of the end of September, according to the latest data from the Consumer Intelligence Van Insurance Price Index. Despite a recent downward trend, prices are still elevated compared to the same period last year. (Insurance Business UK, 17/10/2024, Kenneth Araullo, 'Revealed – latest van insurance premium rates')

Mergers and Acquisitions

Ambac Financial Group, Inc. announced that its shareholders have approved the proposed agreement for the sale of its legacy financial guarantee businesses. At a special meeting, shareholders voted in favour of a transaction where funds managed by Oaktree Capital Management, LP will acquire Ambac Assurance Corporation and Ambac Assurance UK Limited. (Kenneth Araullo, 17/10/2024, Insurance Business, 'Ambac shareholders approve sale of legacy businesses to Oaktree Capital')

Movers

Clare Lebecq, the former Chief Executive of the London Market Group (LMG) who most recently served as Group Chief Operating Officer at Specialist Risk Group (SRG), is moving to independent (re)insurance broker Miller on December 2. (Insurance Business UK, 17/10/2024, Terry Gangcuangco, 'Lebecq heads to Miller')
Cyber risk solutions provider Resilience has brought in Matthew Polly to serve as Chief Revenue Officer. Polly, an experienced industry leader and former Vice President of sales atCrowdStrike, will be responsible for overseeing and expanding the company’s revenue initiatives, working closely with Resilience’s executive leadership to drive growth. (Insurance Business UK, 17/10/2024, Terry Gangcuangco, 'Resilience brings in CrowdStrike alum Polly')
Global claims services provider McLarens has appointed Alistair Jacob as its first-ever Head of London International. In the newly created role, Jacob will oversee the firm’s expanding presence in the Lloyd’s and London insurance markets, operating from McLarens’ Lime Street office. (Insurance Business UK, 17/10/2024, Terry Gangcuangco, 'McLarens hires first-ever London international head')
Aon has appointed Stephen Hofmann as US CEO and Kevin Traetow as US Vice Chairman of its reinsurance solutions division, both previously US Co-Presidents since 2021. In other news, Aon named Emma Crookes, former Head of the UK’s insurance vertical, as Global Head of its insurance vertical division, where she will enhance the client leadership model and join the global growth committee of Reinsurance Solutions. (Kenneth Araullo, 15/10/2024, Insurance Business, 'Aon establishes new leadership roles in US reinsurance solutions')
Sprout.ai has appointed Ian Thompson, former Group Chief Claims Officer at Zurich, to its growth advisory board, leveraging his 30+ years of experience in AI-driven solutions, digital transformation, and claims management to enhance innovation and customer experience in insurance claims. Thompson previously led 8,500 claims staff across 200 markets at Zurich and held senior transformation and operational roles at RSA, focusing on AI-driven solutions and digital transformation. (Terry Gangcuangco, 16/10/2024, Insurance Business, 'Zurich alum Thompson to boost growth at Sprout.ai'