Sustainability

SUSTAINABILITY AT IDEX
Sustainability is core to IDEX. We are committed to being a sustainable business, taking action on ESG issues, contributing to positive societal change and doing the right thing. This is why sustainable actions and practices have been woven into all areas of our business. It is not just an ‘add on’ for us, it guides us in our interactions with clients, people, stakeholders and the wider community – it’s how we do business.
Our sustainability strategy is based on the UN Sustainable Development Goal framework, where we have developed a set of clear goals to determine our activity and hold ourselves accountable for creating a better world.
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MATERIALITY
As part of our materiality assessment, IDEX conducted interviews with clients, the board, and employees to understand their priorities and challenges. We also issued a number of surveys and obtained key data from those to inform our strategy.
STRATEGY
Following a detailed analysis of commentary and data, we were able to agree our six core sustainable goals, which are linked back to the UN Sustainable Development Goal framework. A strategic plan was then created for each, with key targets.
REPORTING
Sustainable practices are embedded throughout the business, and the strategy is owned by the board. The sustainability team meet regularly to drive activities and targets. Progress is reported quarterly to the board and key stakeholders.

SUSTAINABILITY IN BUSINESS REPORT
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OUR FOCUS AREAS

Financial responsibility

IDEX has a diverse board of directors, which includes directors from a variety of backgrounds and experience. It is also challenged by two independent advisors. The board meets on a quarterly basis to assess strategy, priorities and financial performance.

Good health and wellbeing

One of our most important aims is to protect the health and wellbeing of our people. We provide a comprehensive benefits package for all employees, including medical, dental, mental health support, lifestyle and fitness. Flexible and hybrid working is core to our practice, promoting a healthy work-life balance by offering 30 days of paid annual leave.

Climate action and net zero

Our goal is to achieve net zero by 2030, partnering with a sustainability consultancy to ensure a high standard of analysis and target setting, aligned to ISO 14064. We will use information around ISO Standards to ensure the validity of the work completed.

Charitable giving and helping

IDEX partner with a UK charity every year, running various events and activities to fundraise money and provide support. We also cash match individual and team charity events, offer payroll giving which is cash matched and provide everyone a paid day of leave to complete a charitable activity.

Equity, diversity and inclusion

Our inclusive recruitment policy ensures that recruitment processes avoid unlawful discrimination and supports clients to hire diverse talent. Our internal EDI policy and strategy is driven by our committee who work to proactively build a supportive and equitable culture.

Providing good jobs

Through IDEX’s core business activity we find talented individuals for clients and the right jobs for people where they can thrive, this directly contributes to achieving decent work and economic growth.

689 jobs

We helped 689 people achieve their career aspirations, where they can truly thrive and be financially stable.

ED&I policy

Launched our inclusive recruitment policy and ED&I playbook to ensure our work attracts diverse talent.

£87,000

We’ve raised over £87k for charity through our fundraising activities, team events, cash match and payroll giving.

Wellbeing

We’ve provided everyone at IDEX with an additional five days of paid holiday, to ensure a healthy work-life balance.

SUSTAINABILITY INSIGHTS

General Insurance newsletter Friday 20th December 2024

Insurance NewsHow to attract top insurance talent in 2025 - To attract top talent, insurance employers should focus on cultivating a positive company culture that aligns with employees' personal values, offering flexible working arrangements to support work-life balance, and promoting inclusion and diversity within the workplace. (IDEX Consulting news, 'How to attract top insurance talent in 2025')Tips for building inclusive hybrid cultures - To foster inclusivity in hybrid work environments, businesses should implement inclusive management practices, address inequalities in access to opportunities, and ensure leadership actively supports diversity. Clear communication, employee engagement, and policies that promote fairness and flexibility are essential for creating a cohesive and equitable culture. (IDEX Consulting news, 'Tips for building inclusive hybrid cultures')The skills you need to refine in 2025 - Analytical thinking, decision-making, and creative problem-solving remain critical as industries become increasingly data-driven and innovation-focused. Professionals should also focus on adaptability to rapidly advancing technologies, coupled with strong interpersonal skills like communication and collaboration. A commitment to continuous learning and staying updated on industry trends will be key to maintaining a competitive edge in the evolving job market. (IDEX Consulting news, 'The skills you need to refine in 2025')How to attract top buyers for your business - Highlighting your business’s unique selling points and growth potential is key, alongside ensuring accurate financial records, resolving outstanding issues, and retaining key employees. Engaging experienced M&A professionals and leveraging networks can help identify qualified buyers and secure favourable deals. (IDEX Consulting news, 'How to attract top buyers for your business')Volt Underwriting, an MGA supporting the energy transition sector, has secured a $37.5 million binding authority for 2025—a 50% capacity increase—backed by Dale Underwriting, SiriusPoint, Tokio Marine Kiln, and Blenheim Syndicates. (Jonalyn Cueto, 20/12/2024, Insurance Business, 'Volt Underwriting expands binder for 2025')Broadway Insurance Partners achieved significant growth in 2024, including a 31% client base increase and a 20% rise in staff. The firm expanded services, opened a Liverpool office, and saw its Healthcare division, led by Emma Wood, generate £1.5 million in GWPs during its first full year. (Kenneth Araullo, 19/12/2024, Insurance Business, 'Broadway Insurance reports major achievements in 2024')Cybersecurity firm Resilience predicts major challenges in 2025, including a devastating cyber incident involving an obscure company and a successful deepfake attack on a Fortune 500 firm. Chief data scientist Dr. Ann Irvine also ruled out prolonged nationwide internet outages, citing strong disincentives for large-scale attacks. (Jonalyn Cueto, 19/12/2024, Insurance Business, 'What will happen in the cyber insurance sector during 2025?')Helios Underwriting revealed a £484 million portfolio capacity for the 2025 Year of Account, reflecting a 5% reduction from 2024 due to strategic adjustments, with 82% from established syndicates, £327 million retained, and a 36% rise in third-party capital to £157 million. (Kenneth Araullo, 18/12/2024, Insurance Business, 'Helios sets £484 million capacity for 2025 amid strategic adjustments')Applied Underwriters will expand into the EU with the launch of Malta-based American Atlantic Assurance Co., set to begin operations in early 2025, taking over new and renewal business from its financial lines portfolio and enhancing coverage for political risks, while strengthening collaboration with Applied Credit Underwriters in London. (Mav Rodriguez, 18/12/2024, Insurance Business, 'Applied Underwriters to expand into Europe with new subsidiary in 2025')AXIS Capital and Enstar Group have agreed to a loss portfolio transfer reinsurance deal, retroceding $2.3 billion in reserves through a 75% quota share structure, primarily covering casualty portfolios from 2021 and prior; the deal, subject to approvals, is expected to close in H1 2025. (Kenneth Araullo, 17/12/2024, Insurance Business, 'AXIS and Enstar announce US$2.3 billion loss portfolio transfer deal')Consilium reported £700 million in GWP for the year ending June 2024, a 54% year-on-year growth, with a 36% five-year compound growth rate; targeting £800 million by year-end and £1.1 billion by 2026, the firm also saw 176% growth in professional & executive risks, 32% in international business, 52% in delegated risk solutions, and a 154% surge in headcount to over 100 staff. (Josh Recamara, 17/12/2024, Insurance Business, 'Consilium reports huge increase in gross written premiums for fiscal 2024')AXA UK has formed a five-year exclusive partnership with Lloyds Banking Group, starting in May 2025, to become the sole provider of motor insurance for Lloyds, Halifax, and Bank of Scotland brands, consolidating underwriting for car and van insurance for 27 million customers; CEO Alain Zweibrucker emphasised the partnership's role in meeting customer needs and supporting business growth. (Jonalyn Cueto, 17/12/2024, Insurance Business, 'AXA UK and Lloyds Banking Group forge exclusive partnership')QBE Insurance Group is strengthening its global cyber insurance offerings through QBE Ventures, investing in emerging cyber-tech start-ups to build a comprehensive cyber ecosystem. With 25% of its portfolio in advanced cybersecurity, QBE aims to meet growing demand for cyber risk solutions. The company’s latest report predicts a rise in cyberattacks, with strategic incidents expected to increase from 103 in 2020 to over 200 by 2024, and highlights gaps in businesses’ preparedness and cyber insurance coverage. (Roxanne Libatique, 16/12/2024, Insurance Business, 'QBE highlights role of start-up partnerships in cyber insurance innovation')EBRD and Aon have launched a €110 million Ukraine Recovery and Reconstruction Guarantee Facility to support global reinsurers with war-related risk guarantees underwritten by local insurers, aiming to boost business activity and aid Ukraine’s economic recovery. (Kenneth Araullo, 16/12/2024, Insurance Business, 'EBRD-Aon partnership brings war risk cover back to Ukraine')ConnectUW Holdings will take ownership of Lloyd’s box number 356 starting December 23, 2024, enabling it to offer facultative reinsurance for global property, energy, and war and terrorism risks on an excess-of-loss basis, while expanding access to specialist reinsurance products through its MGAs. CEO Jamil Elbahou emphasised the enhanced accessibility for Lloyd’s brokers. (Kenneth Araullo, 16/12/2024, Insurance Business, 'ConnectUW secures Lloyd's Box 356 for specialist reinsurance')The cyber insurance market is expected to remain soft in 2025, with pricing decreases slowing to 5-7%, as ransomware threats intensify, particularly in critical sectors like healthcare and telecommunications. Experts from active insurance provider Coalition emphasise the importance of cyber readiness, with organisations focusing on digital outage recovery and financial resilience. (Josh Recamara, 16/12/2024, Insurance Business, 'What will 2025 bring for the cyber insurance market? – Coalition report')Saga plc has announced a 20-year partnership with Ageas UK subsidiaries to manage its motor and home insurance operations. The deal includes the sale of Saga's Insurance Underwriting business, Acromas Insurance Company Limited (AICL). The partnership combines Saga’s brand with Ageas’s UK expertise, expanding Saga’s offerings while Ageas handles underwriting, pricing, claims, and customer service. Saga will retain control over branding and direct marketing, with the partnership starting in late 2025. (Kenneth Araullo, 16/12/2024, Insurance Business, 'Saga partners with Ageas in £145 million insurance deal')Mergers and AcquisitionsThe Ardonagh Group announced a US$14 billion valuation following an equity investment from Stone Point Capital LLC, expected to close by mid-2025, marking another milestone in a year of achievements, including debt refinancing, a merger with Markerstudy, and the take-private of PSC Insurance Group, while continuing to place US$18 billion in premiums annually across the insurance value chain. (Kenneth Araullo, 18/12/2024, Insurance Business, 'Stone Point invests in Ardonagh, valuing group at US$14 billion')Fairfax Financial has acquired the remaining 13.8% stake in Brit Limited from OMERS for approximately US$383 million, increasing its ownership to 100%; starting January 1, 2025, Ki will operate as a standalone entity within the Fairfax Group. (Kenneth Araullo, 16/12/2024, Insurance Business, 'Fairfax to fully own Brit as $383 million acquisition finalised')MoversHymans Robertson has named Muhammad Ali as Head of Lloyd’s and the London Market within its GI team, leveraging his extensive actuarial reserving expertise and previous experience at Deloitte, where he led initiatives on emerging risks, process transformations, and reserve assessments for global insurers and M&A activities. (Jonalyn Cueto, 20/12/2024, Insurance Business, 'Ali named head of Lloyd's and London Market at Hymans Robertson')Pen Underwriting has appointed Hannah Fry as Chief Operating Officer, effective January 6, 2025, pending regulatory approval. With 25 years of industry experience, including senior roles at Gallagher and Stackhouse Poland, Fry will focus on enhancing Pen’s operational capabilities to support its strategic growth. (Jonalyn Cueto, 19/12/2024, Insurance Business, 'Fry appointed COO at Pen Underwriting')Davies has restructured its consulting division with four specialised pillars: insurance, capital markets, asset and wealth management, and retail finance. Paul Johnson has been promoted to COO, leveraging 12 years at Davies, while Matt Parkinson takes on the newly created CRO role, bringing over 30 years of industry leadership. Both report to division CEO Pino Vallejo.(Jonalyn Cueto, 19/12/2024, Insurance Business, 'Davies announces senior promotions in consulting division')Gallagher Re has named Hemant Nagpal as Head of Analytics for Asia Pacific, effective January 2025. With over 20 years of experience in risk modelling and insurance analytics, Nagpal will lead the region’s analytics strategy, building on his tenure as Head of Catastrophe Analytics since 2021. (Kenneth Araullo, 18/12/2024, Insurance Business, 'Gallagher Re names Hemant Nagpal as head of analytics for APAC')HIVE Underwriters has appointed Henning Haagen as Chief Development Officer and board member, effective January 1, 2025. Formerly a Global Executive Leader at Allianz Commercial, Haagen will collaborate with CEO Bruce Carman to expand HIVE's specialty underwriting portfolio, strengthen its aviation expertise, and explore new opportunities in specialty lines. (Kenneth Araullo, 19/12/2024, Insurance Business, 'Henning Haagen joins HIVE as chief development officer')WTW has appointed Tony Simm as Head of Facultative for Great Britain. Based in London, Simm brings over 15 years of expertise in the direct and facultative reinsurance sector, rejoining the company after roles at Guy Carpenter and Gallagher Re. (Josh Recamara, 19/12/2024, Insurance Business, 'WTW names Tony Simm as head of facultative for Great Britain')The Lloyd’s Market Association (LMA) has appointed Joe Brace as Operations Director, effective spring 2025, succeeding Rob Myers, who retires in 2026 after over 40 years in the industry. Brace, most recently Head of Change at Apollo, brings extensive experience from roles at Lloyd’s and HSBC, and will oversee the transition while Myers continues to consult on Blueprint Two. (Josh Recamara, 19/12/2024, Insurance Business, 'LMA names Joe Brace as operations director')Augment Risk has appointed Steve McElhiney as Partner to lead its new captive and alternative risk transfer solutions, focusing on North American expansion, legacy solutions, and bespoke strategies for underserved segments. Most recently Senior Vice President and Global Director of reinsurance for Artex Risk Solutions, McElhiney will leverage his extensive expertise to develop tailored captive solutions, including single-parent captives and segregated cells. (Kenneth Araullo, 19/12/2024, Insurance Business, 'Steve McElhiney joins Augment Risk to lead captive solutions')Generali GC&C has appointed Michela Moro as Head of Cyber Insurance, effective December 16, succeeding Massimo Orsini, who retired from the role; with over 15 years of industry experience, including her previous role as Regional Head of Cyber at Allianz Commercial, Moro brings expertise in corporate client segments and portfolio development. (Kenneth Araullo, 18/12/2024, Insurance Business, 'Michela Moro appointed as Generali GC&C head of cyber insurance')Gallagher has appointed Paul Bassett as CEO of crisis management and Simon Brookes as CEO of financial lines, leveraging their extensive experience—Bassett, who joined in 2015, previously held senior roles at Aon and JLT, driving growth in crisis services, including the acquisition of AnotherDay, while Brookes, with Gallagher since its 2011 acquisition of Heath Lambert, will oversee management liability, cyber, and professional risks. (Jonalyn Cueto, 18/12/2024, Insurance Business, 'Gallagher appoints new CEOs for key divisions')Howden Re has appointed Paul Nicholson and Dominic Riley as Managing Directors for its aviation and space team, starting in 2025; Nicholson, with 35 years in reinsurance broking, has held senior roles at Aon, Gallagher Re, Guy Carpenter, and JLT Re, while Riley, bringing nearly 30 years of experience, joins from Lockton Re and began his career in the Lloyd’s market in 1996. (Kenneth Araullo, 17/12/2024, Insurance Business, 'Howden Re to bolster aviation and space team')Arch Insurance has appointed Ezechiel Symenouh as Senior Cyber Underwriter, based in Paris, to develop its European cyber insurance portfolio with a focus on France, Benelux, and the Nordic regions; Symenouh previously worked at Tokio Marine HCC and as Cyber Risk Practice Leader at WTW France. (Kenneth Araullo, 17/12/2024, Insurance Business, 'Ezechiel Symenouh joins Arch Insurance as senior cyber underwriter')Agile Insurance Group has appointed David Hughes as Head of Marine and Deputy Active Underwriter for Lloyd’s Syndicate AUS2427, bringing over 25 years of marine market experience from roles at AXA XL, including Head of Marine Hull and War for the UK and Lloyd’s; Hughes will be based in London with a global mandate and $10 million linesize. (Josh Recamara, 17/12/2024, Insurance Business, 'David Hughes joins Agile syndicate as head of marine')Atec Group-owned MGA Arkel has appointed Jonathan Myers as Schemes and EDI Manager to accelerate bringing new schemes to market and support growth targets for 2025; Myers joins from Plum Underwriting and has previous experience at Towergate, Aviva, and Zurich. (Josh Recamara, 17/12/2024, Insurance Business, 'Arkel names Jonathan Myers as schemes and EDI manager')Chubb has appointed John Latter as Head of Claims for Chubb Overseas General (COG), bringing 40 years of experience, including his previous role as Senior Vice President, Claims Director for Europe, Eurasia, and Africa; Latter, who joined Chubb in 2017 from Zurich Insurance, will oversee claims operations across Europe, the Middle East, Asia-Pacific, Latin America, and the Far East. (Josh Recamara, 17/12/2024, Insurance Business, 'Chubb names head of claims for Chubb Overseas General')Allianz UK has made key investments in its commercial digital trading team, appointing Raj Variyar as Head of Digital Distribution, bringing over 14 years of experience in insurance and banking, most recently at Aon and Simply Business; Emmanuel Peltant as Head of Digital Pricing, with over 24 years of industry experience, previously at AXA and Direct Line Group; Anneke Graham as Head of Digital Underwriting, promoting her from within; Victoria Ashman as Head of Operations and Trading, previously Regional Distribution Manager; and Steve Wells as Head of Strategic Initiatives and Change, focused on platform management and transformative projects. The restructuring also includes internal promotions for Dan Hill as Digital Portfolio Manager, James Preece as Digital Data Manager, Wendy Johnson as Digital Delegated Authority and Schemes Manager, and Charlotte Billingham as Digital Development and Propositions Lead, all aimed at strengthening broker relationships and expanding its digital product portfolio. (Jonalyn Cueto, 17/12/2024, Insurance Business, 'Allianz UK expands digital trading team')Beazley has appointed Alessandro Lezzi as Group Head of Cyber Risks, reporting to Paul Bantick, the Group Chief Underwriting Officer. Lezzi, who has led Beazley’s international cyber portfolio for over a decade, will now oversee the company’s global cyber risk initiatives, with his appointment reflecting Beazley’s focus on developing leadership from within. (Kenneth Araullo, 16/12/2024, Insurance Business, 'Beazley strengthens cyber division with Alessandro Lezzi promotion')Resilience has expanded its underwriting team to support growth in cyber risk management, appointing Maria Long as Deputy Chief Underwriting Officer, bringing 17 years of experience from Munich Re in cyber risk management; Scott Schleicher as Senior Vice President of underwriting, with over 30 years of experience, most recently at AXA XL; Megan Koffer as Vice President of underwriting in the Southeast region, with 10 years of experience from AXA XL and Hiscox USA; and Janine Cooper as Assistant Vice President of underwriting in the Midwest, having transitioned from life sciences underwriting at CNA to cyber and professional liability at Ironshore Insurance. (Jonalyn Cueto, 16/12/2024, Insurance Business, 'Resilience bolsters cyber risk team with key hires')Arch Insurance’s UK Regional Division has appointed David Mann as Branch Manager for Colchester and Alex Turner as National Production Lead. Mann, with nearly 30 years of experience, previously held senior roles at Victor Insurance UK and Marsh, will oversee underwriting and operations in Colchester. Turner, with over 20 years of experience, including a previous role as Branch Manager for Colchester, will focus on refining product offerings and strengthening partnerships across Arch’s network. (Kenneth Araullo, 16/12/2024, Insurance Business, 'Arch Insurance boosts leadership with two senior appointments')NFU Mutual has appointed Eleanor Moore as Personal Sales Development Manager to support its expansion in the high-net-worth sector. Moore brings over 30 years of experience, including roles as Director of private clients at Broadway Insurance Partners and C&C Insurance Brokers. She was named one of Insurance Business’s Elite Women in 2024. In her new role, Moore will focus on developing tailored products and identifying growth opportunities, working with NFU Mutual’s network and external partners. (Jonalyn Cueto, 16/12/2024, Insurance Business, 'NFU Mutual boosts high net worth strategy with new hire')All information provided in this market digest has been gathered from Insurance Business and IDEX Consulting.

The wealth management talent shortage and how to tackle it

What would typically be a natural cycle of one generation handing knowledge and expertise to the next, is now a cross-roads with a lack of young professionals entering the wealth management profession. This shortage of younger talent leaves a fundamental gap that could reshape the industry. A departing workforce paired with a declining pipeline of new advisers has firms questioning what they can do to address the issue and how they can attract a new wave of young professionals.“The wealth management industry is facing a significant talent shortage, fuelled by shifting priorities among younger generations, who increasingly prioritise a more flexible work-life balance and purpose over traditional career paths. However, this challenge presents an opportunity for businesses to rethink their approach so they can attract and retain the next wave of talent. With the right strategy, firms can overcome the talent gap and also position themselves for long-term success in an evolving market,” says Graeme Hyland, Business Manager at IDEX Consulting. To put the scale of this situation into context, research has found that nearly 50% of wealth management professionals plan to retire by 2029 (International Adviser: One in two UK financial advisers plan to retire during the next five years). Along with the significant drop of professionals in the industry, only 4% of workers in the UK have considered a career in financial advice due to limited awareness of the profession and it’s benefits (FT Adviser: Only 4% of UK have considered career in financial advice). The lack of interest to enter the field brings the average industry growth rate far below other professions. To look at the current wealth management workforce, only 6% of advisers are under the age of 30 years old which points towards a severely ageing industry (FT Adviser: Only 6% of advisers are under 30 years old). There is a need for firms to reassess their approach to recruitment, training, and retaining the next generation of advisers to ensure the future success of the profession. If younger professionals don't step in to bridge the gap, firms risk losing new expertise, diversity of thought and driving innovative business practices. What’s causing the talent shortage?The reasons behind the lack of younger people joining the wealth management profession are multi-faceted. Here are a few key factors impacting talent attraction: Perceived barriers to entryMany young people are deterred by the high barrier to entry in wealth management. While the industry offers lucrative career opportunities, the path to becoming a financial adviser often requires a combination of advanced education, certification, and a significant amount of mentorship or on-the-job training. Additionally, the need to build a client base from scratch can feel daunting to younger people, who may not have the personal networks, knowledge or resources to get started. Some firms have battled the negative perceptions surrounding the industry with inclusive campaigns to attract younger people from diverse backgrounds and create a more accessible industry (Advisors: Wealth Managers Fear UK Talent Shortages To Stay Or Worsen). Changing career prioritiesThe younger generation, particularly Gen Z and millennials, have different career priorities compared to older generations. Flexibility, work-life balance, and a clear sense of purpose are high on their list. Wealth management, traditionally known for long hours and demanding workloads, may not always align with these values (Consultancy UK: Firms struggle to adapt to expectations of Gen Z). Many young professionals may instead be drawn to careers in technology, marketing, or other industries that offer more flexibility and innovation.Lack of awareness and outreachWhile wealth management offers a fulfilling and well-compensated career path, it often lacks the same visibility as other fields, like technology or other areas in finance. Financial advising may not be top of mind for students or early-career professionals because it is often viewed as a niche role, overshadowed by more prominent careers in banking, consulting, or investment management (Detailed Guide: Wealth Management vs. Investment Banking). Without active recruitment and awareness-building, firms are missing out on young talent who might not even realise wealth management is an option for them.Technology disruptionThe rise of technology and digital tools has also had an impact on the profession. While technology can enhance the client experience and streamline processes, it has also created a perception that wealth management is becoming more automated (MIT Sloan: Can generative AI provide trusted financial advice?). Many younger professionals are concerned that automation and artificial intelligence will replace the human element of the job, diminishing the need for traditional financial advisers. How firms can attract the next generation of talentHere are a few actionable strategies to attract a new workforce into the wealth management industry:Reframe the narrativeWealth management firms need to reframe how they talk about the profession. Rather than focusing solely on the numbers or the technical side of financial planning, firms should emphasise the impact of the work. For instance, by showcasing what they do to help individuals, families, and businesses achieve their financial goals and create lasting legacies. By positioning wealth management as a career that makes a tangible difference to people’s lives, firms can appeal to younger professionals who are driven by purpose (Forbes: Why A Purpose-Driven Approach Is Crucial To Your Wealth Management Business).Offer flexible working environmentsTo align with the preferences of younger professionals, firms should consider offering more flexibility in terms of work hours and remote work options. Hybrid or fully remote models are especially attractive to millennials and Gen Z, who value work-life balance and autonomy. Demonstrating care for people’s work-life priorities through action is more effective than trying to communicate this through words when acquiring new talent (Dow Jones: How Financial Advisors Can Reach Younger Generation). Firms that offer flexibility will be more likely to attract younger candidates who might otherwise be deterred by rigid, traditional work environments. Invest in professional developmentDespite a tight labour market, hybrid working, and progressing worker expectations, many young people are still looking for careers that offer growth and learning opportunities. Firms can appeal to this by investing in robust professional development programmes, mentorship opportunities, and clear career progression paths (Broadridge: Wealth Management Firms Need a New Approach to Attract Young Talent). A structured training programme that allows young advisers to learn the ropes while working alongside experienced professionals can also make the job more accessible and approachable. Offer competitive compensation and incentivesWhilst work-life balance and purpose-driven careers are important, compensation is still a critical factor. Firms need to offer competitive salaries, benefits, and performance-based incentives to attract top talent. Additionally, offering opportunities for advancement can provide long-term incentives that keep younger advisers motivated and committed to the firm. Check if you are offering prospective employees the right salaries that are in line with market expectations using our free 2025 Salary Guide and Market Sentiment report. Our expert consultants are available to assist with your talent strategy, business transformation needs, or discuss our services and solutions. If you’d like further details or simply wish to have an informal conversation, don’t hesitate to reach out. Sources:Broadridge: Wealth Management firms need a new approach to attract young talentConsultancy UK: Firms struggle to adapt to expectations of Gen Z Dow Jones: How Financial Advisors can reach younger generationsForbes: AI Is taking over accounting jobs as people leave the professionForbes: Why a purpose-driven approach is crucial to your wealth management businessFT Adviser: Only 6% of advisers are under 30 years old FT Adviser: Only 4% of UK have considered career in financial adviceInternational Adviser: One in two UK financial advisers plan to retire during the next five years | International AdviserJLL Research: Financial services firms rethink their wealth management strategiesMergers & Inquisitions: Wealth Management vs. Investment BankingMIT Sloan: Can generative AI provide trusted financial advice?Wealth Briefing: Advisors, Wealth Managers fear UK talent shortages to stay or worsen

General Insurance newsletter Friday 13th December 2024

Insurance NewsNeurodiverse recruitment: How neuro-diverse are you? - Neurodiverse recruitment involves creating inclusive hiring practices that value diverse thinking styles and remove barriers for neurodivergent individuals. Businesses can enhance inclusivity by adapting interview processes, fostering supportive workplace environments, and educating teams about neurodiversity to unlock innovative potential and attract a broader talent pool. (IDEX Consulting news, 'Neurodiverse recruitment: How neuro-diverse are you?')How to increase your retention levels - To increase retention, businesses must prioritize employee support by offering clear career development paths, fostering positive workplace culture, and addressing individual needs. Open communication, recognition, and meaningful benefits play key roles in reducing turnover and maintaining a motivated workforce. (IDEX Consulting news, 'How to increase your retention levels')The role of an Insurance Claims Adjuster - Learn more about the role of an Insurance Claims Adjuster, who assesses and processes insurance claims by investigating damages, determining liabilities, and negotiating settlements. This position requires strong analytical skills and expertise in insurance policies to ensure fair and efficient claim resolutions. (IDEX Consulting news, 'The role of an Insurance Claims Adjuster')The impact of robo advisers on the Financial Services market - Robo-advisers are transforming the Financial Services market by providing automated investment advice at a lower cost, improving access to financial planning. While they challenge traditional advisory models, they also present opportunities for innovation and efficiency in wealth management. The rise of robo-advisers reflects a broader trend toward digitalization in finance, pushing the industry toward more tech-driven solutions. (IDEX Consulting news, 'The impact of robo advisers on the Financial Services market')Aon plc has partnered with the EBRD to launch a €110 million war risk insurance facility to support Ukraine’s economic recovery, providing guarantees to reinsurers covering war-related risks for businesses and SMEs, with the potential to insure up to €1 billion in goods and vehicles annually. (Jonalyn Cueto, 13/12/2024, Insurance Business, 'Aon and EBRD launch war risk insurance facility')Guy Carpenter has launched a research initiative with academic partners, including Florida International University and the University of Michigan, to explore parametric insurance solutions aimed at enhancing financial resilience for communities facing wildfire and hurricane risks in California and Florida. (Kenneth Araullo, 12/12/2024, Insurance Business, 'Guy Carpenter explores parametric insurance for wildfire, hurricane risks')The Texas Windstorm Insurance Association (TWIA) approved a $40.27 million budget for 2025, with $485 million allocated to reinsurance—up from $397 million in 2024—to address a depleted catastrophe reserve and growing exposure, covering losses between $2.45 billion and $6.5 billion. (Kenneth Araullo, 12/12/2024, Insurance Business, 'TWIA increases reinsurance spending after Hurricane Beryl losses')The City of London Corporation will host its inaugural Global Risk Summit on May 21, 2025, spotlighting the UK insurance sector’s innovation and expertise. Part of a weeklong series of events, it will gather industry leaders to address global risks like AI, geopolitical tensions, and sustainability. (Jonalyn Cueto, 12/12/2024, Insurance Business, 'City of London Corporation to host Global Risk Summit')Efforts to enhance Property Flood Resilience (PFR) and support Build Back Better (BBB) initiatives are gaining traction among insurance brokers, as highlighted at the British Insurance Brokers’ Association (BIBA) Tour of the Regions. Nearly 800 brokers engaged in discussions on reducing flood risks, with a focus on Flood Re’s initiatives to mitigate flooding impacts, following the significant damage caused by 12 storms and flooding in over 4,000 properties last winter. (Jonalyn Cueto, 12/12/2024, Insurance Business, 'Flood resilience highlighted as priority at BIBA Tour of the Regions')Lloyd’s has released a systemic risk scenario projecting global economic losses of up to US$13.6 trillion over five years from a hypothetical human pandemic. In collaboration with the Cambridge Centre for Risk Studies, the scenario explores losses ranging from US$7.3 trillion to US$41.7 trillion, reflecting reductions in global GDP of 1.1% to 6.4%. The study, part of Lloyd’s Futureset series, underscores the economic impact of local lockdowns and international travel restrictions, particularly in the transportation sector, which accounts for over 10% of global GDP. (Kenneth Araullo, 11/12/2024, Insurance Business, 'Pandemic risks could lead to US$396 billion annual expected economic loss – Lloyd's')Allianz has launched Sconset Re Ltd, a Bermuda-based reinsurance platform, to reinsure a US$4 billion block of annuity liabilities and enter a forward flow agreement for US$5 billion to US$10 billion of new business. The platform’s investment portfolio will be primarily managed by PIMCO, Allianz’s asset management subsidiary, with equity investments from institutional partners Voya Financial and Antares Capital LP, who will also manage portions of the portfolio. (Kenneth Araullo, 11/12/2024, Insurance Business, 'Allianz expands reinsurance with Sconset Re launch')Talanx Group has set new strategic targets for 2027, aiming for a 30% increase in net income to over €2.5 billion, a return on equity consistently above 12%, and a dividend increase to €4.00 per share. For 2024, the company expects net income over €1.9 billion, a return on equity above 15%, and a proposed dividend of €2.70 per share. (Kenneth Araullo, 11/12/2024, Insurance Business, 'Talanx sets ambitious €2.5 billion net income target by 2027')The British Insurance Brokers’ Association (BIBA) has announced "A New Era" as the theme for its 2025 conference, focusing on the industry's transformations and future opportunities. Scheduled for May 14–15, 2025, at Manchester Central, the event will explore how brokers can adapt to emerging risks. BIBA CEO Graeme Trudgill highlighted the significant changes in the past 25 years, including political shifts, regulatory updates, and evolving risks, and emphasized the need for a forward-looking approach to insurance broking. (Jonalyn Cueto, 11/12/2024, Insurance Business, 'BIBA announces theme for 2025 conference')WTW’s Political Risk Index warns of growing threats to maritime and offshore infrastructure from grey zone aggression, such as cyberattacks and disinformation. The report highlights risks to vessels, undersea cables, and oil installations, and notes the expansion of the shadow fleet for unlawful oil exports, which poses safety risks and worsens supply chain disruptions. (Jonalyn Cueto, 11/12/2024, Insurance Business, 'Grey zone threats escalate for some sectors - WTW')K2 Group Holdings (K2 International) has opened a box in Lloyd’s of London, with three divisions operating from it: K2 Rubicon Specialty, K2 Crisis Management, and K2 Property D&F. Key underwriters, including Gavin Wall, Matthew Eve, and Chris McGill from K2 Rubicon, Tom Kennett from K2 Crisis Management, and Robert Coker, Christian Bennett, and Jacob Gladding from K2 Property D&F, will engage with brokers to explore opportunities in the specialty insurance and reinsurance markets. (Kenneth Araullo, 10/12/2024, Insurance Business, 'K2 International expands presence with Lloyd's market entry')Envelop Risk, a cyber reinsurance and analytics specialist, has surpassed US$1 billion in gross written premium (GWP) since its 2018 launch, achieving a 40% compound annual growth rate. The company also secured a three-year capacity agreement with MS Reinsurance and a multi-year deal for analytics services with its newly launched Solutions Business. Envelop has launched Augmented Re in Bermuda, a Class 3A reinsurer, to align risks with capacity partners in Bermuda and London. (Kenneth Araullo, 10/12/2024, Insurance Business, 'Envelop Risk surpasses US$1 billion GWP milestone in cyber reinsurance')Beazley’s executive team highlighted key challenges and opportunities for 2025, focusing on AI, climate resilience, regulatory divergence, and tech obsolescence. CEO Adrian Cox emphasized the need to avoid "AI-washing" as businesses integrate AI, warning that hype can outpace reality. Beazley’s research shows 80% of companies plan to adopt AI, but Cox cautioned that the true impact will only be clear when the AI bubble bursts. (Kenneth Araullo, 9/12/2024, Insurance Business, 'Beazley warns against "AI-washing" risks in 2025')Mergers and AcquisitionsBMS Group has agreed to acquire Rasher, a Spanish insurance broker with operations in Colombia and Peru, expanding its presence in Iberia and Latin America and strengthening its expertise in surety, credit, and risk management for corporate clients, subject to regulatory approvals. (Kenneth Araullo, 12/12/2024, Insurance Business, 'BMS strengthens Iberian presence with acquisition of Rasher')According to MarshBerry, UK insurance distribution M&A activity peaked in November 2024 with 18 deals, driven by sellers rushing to secure the 20% Capital Gains Tax rate before it increased to 24% in the Autumn budget. Year-to-date, 135 transactions have been recorded, nearing 2023's 137 at the same point, with expectations for 2024 to match last year's record-breaking levels. Analysts caution that some transactions may have been accelerated, potentially slowing activity in early 2025. (Kenneth Araullo, 12/12/2024, Insurance Business, 'Capital gains tax shift drives November M&A surge in insurance – Marshberry')Lycetts has acquired Newcastle-based Cheviot Insurance Services to strengthen its North East operations. The acquisition integrates Cheviot’s team, including John Baty and Joel Marks, into Lycetts’ Newcastle office. Ian Barclay, Lycetts’ CEO, highlighted the deal’s significance, noting it supports the company’s growth strategy and enhances its regional strengths by building on Cheviot’s reputation and community ties. (Jonalyn Cueto, 12/12/2024, Insurance Business, 'Lycetts acquires Cheviot Insurance Services')Utmost Group has received regulatory approvals to acquire Lombard International Assurance, with the deal set to close on December 30, 2024. The acquisition will integrate Lombard into Utmost International, strengthening the group's position in key European markets and expanding its capacity to meet long-term client needs. Lombard will continue to operate from Luxembourg, offering its products under the Utmost brand alongside existing offerings. (Kenneth Araullo, 11/12/2024, Insurance Business, 'Utmost to complete acquisition of Lombard International')Specialist Risk Group (SRG), backed by Warburg Pincus and Temasek, has acquired R3, a specialist insurance broker, marking SRG’s 11th acquisition in 2024. R3, which offers insurance solutions in sectors like UK tourism, charities, and military, will integrate into SRG’s retail division, specialist risk insurance solutions (SRIS), enhancing its ability to handle complex risks. Lee Anderson, Group Deputy CEO of SRG, described the acquisition as an opportunity to strengthen the group’s specialised offerings. Rob Proudman of R3 expressed excitement about the collaboration, citing SRG’s strong reputation for developing specialist teams. (Jonalyn Cueto, 11/12/2024, Insurance Business, 'Specialist Risk Group acquires R3')Arthur J Gallagher & Co has agreed to acquire US-based insurance broker AssuredPartners for US$13.45 billion in an all-cash deal. The acquisition, one of the largest in the industry, is expected to close in Q1 2025, pending regulatory approvals. Chairman and CEO J Patrick Gallagher Jr emphasized the strategic alignment between the two companies. (Kenneth Araullo, 9/12/2024, Insurance Business, 'Gallagher acquires AssuredPartners in $13-billion megadeal')European insurers aiming to strengthen their market positions in 2025 are likely to follow the acquisition models of Generali and Sampo, according to a Bloomberg Intelligence report. Smaller insurers may adopt similar strategies, avoiding larger, riskier deals. Generali's €2.3 billion acquisition of Liberty Seguros and Sampo's purchase of Topdanmark have solidified their market leadership in Spain, Portugal, and the Nordic region. The report also highlighted that the challenges faced by Admiral and Direct Line, such as rebuilding profitability, may be seen across the industry. (Joshua Recamara, 9/12/2024, Insurance Business, 'Profit-earning European insurers likely to make acquisitions in 2025 – report')Aviva plc has entered preliminary talks to acquire Direct Line Insurance Group plc at approximately 275 pence per share, a 73.3% premium over Direct Line’s last closing price. The offer includes 129.7 pence in cash, 0.2867 new Aviva shares, and potential dividend payments of up to 5 pence per share. If completed, Direct Line shareholders would hold a 12.5% stake in the enlarged Aviva group. While analysts generally support the deal, some caution that Aviva will face significant challenges post-acquisition.(Jonalyn Cueto, 9/12/2024, Insurance Business, 'Is Aviva's bid for Direct Line a strategic jackpot?')MoversAXA’s board has appointed Ewout Steenbergen to replace Rachel Duan, who is stepping down after six years on the board, effective December 31, 2024. Steenbergen, currently CFO at Booking Holdings, has held senior roles at S&P Global, Voya Financial, and is a UNICEF USA board member. (Jonalyn Cueto, 13/12/2024, Insurance Business, 'Steenbergen appointed to AXA’s board of directors')HDI Global SE has appointed Dr. Carsten Schulte as its new Global Head of Marine, effective January 1, 2025, succeeding Alexander Schlei, who will move to head technical and strategic services. Schulte brings extensive experience in underwriting and portfolio management, while Schlei, with over 20 years in corporate insurance, previously led HDI’s NatCat division. (Kenneth Araullo, 12/12/2024, Insurance Business, 'Dr Schulte to lead HDI Global marine division starting January 2025')Gabriel Ewing will join Amwins Global Risks as Head of its new transaction risk practice in London, bringing nearly 20 years of legal and M&A expertise, including warranty, indemnity, tax, and contingent liability insurance, with experience in emerging markets to support the company’s expansion. (Josh Recamara, 12/12/2024, Insurance Business, 'Amwins Global Risks names head of new transaction risk practice')The Benefact Group has appointed Mark Bennett as its new CFO, effective January 2025, after serving as acting CFO since July 2024. Bennett, who joined the group in 2007, will also join the boards of Benefact Group and Ecclesiastical Insurance. His appointment follows an extensive recruitment process, and he brings a wealth of experience, having led initiatives like the group’s regulatory internal model approval in 2018. (Jonalyn Cueto, 12/12/2024, Insurance Business, 'Benefact Group appoints Bennett as chief financial officer')Zurich Insurance Group has appointed Drazen Jaksic as the incoming CEO of Zurich UK, subject to regulatory approval. Jaksic, currently CEO of Zurich Benelux, will replace Tim Bailey, who transitions to lead the newly established global Life Protection business. Jaksic joined Zurich in 2019, with over 30 years of experience in P&C and life insurance, including roles at Chubb Europe. Bailey, who led Zurich UK for four years, will now report to Cara Morton, CEO of Zurich Global Ventures. (Roxanne Libatique, 11/12/2024, Insurance Business, 'Zurich UK makes CEO change')Simply Business has appointed Julie Fisher as its new UK CEO, after serving as interim CEO. With over 35 years of insurance experience, Fisher, who joined as CCO in 2019, previously held leadership roles at Churchill, RBS, and MoneySuperMarket. She has helped the company more than double its customer base to over one million globally and led digital initiatives to enhance the customer claims experience as part of its growth strategy. (Kenneth Araullo, 11/12/2024, Insurance Business, 'Simply Business welcomes Julie Fisher as CEO to boost expansion')Atec Group has appointed Steve Woodford as Chief Technology Officer, succeeding Andy Brown, who is retiring. With over 30 years of experience, Woodford previously served as CIO of BGL Group and CompareTheMarket.com and has held roles at NHS England, PwC, and various tech startups. He is also a Non-Executive Director at NHS England. The appointment supports Atec's ambition to become one of the top 10 UK insurance brokers, driving growth through both organic expansion and M&A. (Josh Recamara, 11/12/2024, Insurance Business, 'Atec Group taps tech veteran Steve Woodford as CTO')Arch Insurance has appointed Rachida Laazaouzi as Senior Casualty Underwriter for Arch Insurance (EU) dac in Paris. With 17 years of experience, she will focus on expanding the casualty portfolio in France. Laazaouzi previously served as Senior Casualty Underwriter at CNA Hardy Insurance and has held positions at Swiss Re Corporate Solutions and Zurich. (Kenneth Araullo, 10/12/2024, Insurance Business, 'Rachida Laazaouzi joins Arch Insurance to lead French casualty expansion')Invesco has appointed Joe Steidl as Head of UK Insurance Distribution. With over 15 years of business development experience, Steidl joins from Research Affiliates and will lead distribution strategy and sales within the UK insurance segment. (Josh Recamara, 10/12/2024, Insurance Business, 'Invesco hires Joe Steidl as head of UK insurance distribution')Howden has appointed Daniel Abbott as Corporate Director for its South Wales team. Abbott, previously Sales and Development Director at Watkin Davies (acquired by Howden in 2021), will focus on risk management and transfer solutions for large, complex clients across various industries. (Jonalyn Cueto, 10/12/2024, Insurance Business, 'New leadership for Howden's South Wales team')Generali Global Corporate & Commercial (GC&C) appointed two leaders in its Mediterranean and Latin America region as part of an organizational restructure. Jose Maria Romero de Tejada was named Head of the new Business Transformation & Technical Excellence unit, focusing on strategic initiatives across the region. Mikel Bermejo joined as Head of Underwriting, bringing extensive corporate insurance experience. Both report to Patricia Puerta. Romero de Tejada has been with Generali for 13 years, while Bermejo previously served as Head of Property IBERIA at QBE Europe. (Kenneth Araullo, 9/12/2024, Insurance Business, 'Generali announces leadership updates in LATAM Region')Mark Cloutier, CEO of Aspen Insurance Group, has been named Chairman of the Association of Bermuda Insurers and Reinsurers (ABIR) for 2025-2026, succeeding Pina Albo. He will be joined by Deputy Chairmen Nicolas Papadopoulo (Arch Capital Group) and Paul Simons (Convex Insurance). Previously, Cloutier was CEO of Brit Ltd, overseeing its acquisition by Fairfax Financial. (Kenneth Araullo, 9/12/2024, Insurance Business, 'Aspen's Mark Cloutier named ABIR chairman for 2025-2026')OAK Reinsurance has appointed James Irvine as Chief Underwriting Officer for property, effective spring 2025. Based in London, Irvine brings nearly 20 years of experience, having previously worked at Guy Carpenter and Lancashire, where he managed underwriting operations across Bermuda and Lloyd’s. (Kenneth Araullo, 9/12/2024, Insurance Business, 'James Irvine joins OAK Re as property CUO')Miller has appointed Elizabeth McGonagle as Head of Power for the Asia Pacific region. With over 10 years of experience in the energy and power sectors, McGonagle previously served as Regional Director at Howden Singapore and held a Division Director role at Willis Towers Watson overseeing natural resources, power, and renewables in Asia. (Kenneth Araullo, 9/12/2024, Insurance Business, 'Elizabeth McGonagle joins Miller to lead APAC power team')HDI Global SE has appointed Hannah Brooke as Head of Marine Cargo Underwriting for the UK and Ireland, effective January 1, 2025. Brooke, previously based in HDI’s Belgium operations, will report to Antonia Osborne, Director of Underwriting – Commercial. She will focus on growth initiatives and strategic planning for the marine cargo division, with an emphasis on risk engineering, insurance coverage, and claims management. Brooke brings significant expertise in marine insurance, covering hull, machinery, and cargo sectors. (Jonalyn Cueto, 9/12/2024, Insurance Business, 'HDI Global appoints new marine cargo head')All information provided in this market digest has been gathered from Insurance Business and IDEX Consulting.

The biggest challenges facing Financial Advisers

Financial advisers today face many challenges in their day to day roles due to increased work pressures, a challenging economic climate and growing client demands. Recent advancements mean professionals in the industry are required to juggle various responsibilities, growth targets and duties. “2024 has been quite a turbulent year for professionals in the financial advice sector. An uncertain economy, fluctuating inflation rates, changing regulations especially around the Consumer Duty and a talent shortage has added pressures and work strains to jobs and responsibilities. However, 2025 brings new opportunities, especially around the adoption of technology. Those firms who deploy tech solutions quickly will see huge advantages, especially around risk management, efficiency and revenue”, says Alex Merrick, Client Director, Financial Services, IDEX Consulting. If you’re considering your career options across the Wealth Management sector or need support with your hiring strategy get in touch with Alex Merrick, who will be happy to help. ChallengesEconomic pressures The financial industry continues to face unique pressures and continued uncertainty. Financial advisers in particular are navigating a challenging economic environment seeing slow growth and high interest rates. When looking at the current state of investment plans against the cost of living crisis, 53% of advisers reported that some clients have needed to change their investment plans (Schroders: What are the key challenges facing financial advisers in 2023?).Regulators are moving forward with stricter standards as Brexit prompts changes to EU-based regulations. The FCA has recently investigated the internal practices and processes within financial firms and remains focused on enforcing Consumer Duty (FCA: Consumer duty implementation good practice and areas for improvement). Maintaining compliance with updated regulations can be expensive as well as time consuming. In addition, the link between Consumer Duty and ‘price vs value’ will add pressure on advisers to effectively communicate the value of navigating clients through turbulent market conditions.The recession is yet another threat financial advisers are facing. Being a natural part of the economic cycle, 2025 will not be the first nor the last time the risk of recession occurs. The outcomes of a recession can be catastrophic for firms that are not sufficiently prepared (RocketFin: Facing the future: the top challenges for financial services companies in 2024).To mitigate risk, firms should establish a robust risk management framework. Frameworks should incorporate stress testing and scenario analysis along with contingency plans that are tailored to managing risks associated with any potential recession (McKinsey: Derisking AI: risk management in AI development). With the tax changes announced by the government financial advisers must ensure they have the necessary intelligence and data to advise clients on their investments in an informed and timely manner (Financial News: What concerns UK financial advisers in 2024).Inflation and client expectations The relationship between money and emotion is a psychological area that financial advisors will be acutely aware of and able to manage. Requiring ongoing effort, advisors must continuously show the value they bring to a client’s wealth portfolio, investment returns and interest rates. With interest rates remaining near historic lows, it has been tough for those who rely on income from their investments. Advisers have frequently added higher-risk assets to portfolios but there is a potential for these to lose value with inflation and rising interest rates (Lloyds Bank: What is inflation and what does it mean for your money). Over the past couple of years inflation has surged to an unprecedented 20-year-high which has landed financial planners and advisers in an unfamiliar environment, facing a new level of the ‘unknown’ (Professional Adviser: Inflation and financial planning – focusing on the bigger picture). The amount of uncertainty has created scenarios where advisers are unable to use old data modelling and financial analytics to justify market predictions and assumption, leading to increased client scrutiny and potential risk of diminished trust. Artificial intelligenceArtificial intelligence should be integrated strategically to enhance an already well-functioning system that is based on human connection, skill, and empathy. Increased reliance on technology has the potential to create an environment which neglects social skills essential for the profession. In a similar way to how financial advisers warn clients against impulse investment decisions led by herd mentality, the same caution must be applied to artificial intelligence (GOVUK: The benefits and harms of algorithms: a shared perspective from the four digital regulators). Failure to do so could create devastating financial outcomes for clients and a risk of credibility damage for financial advisers. Another crucial challenge which impacts financial advisers is the implication AI has on fraud, making it more seamless and frequent across the industry. Financial advisers are targeted with convincing communications every day, making the likelihood of a hacking incident more of a ‘when’ rather than an ‘if’ (FTAdviser: How to assess AI’s threats and opportunities). Financial advisers invest a huge amount of time and effort building client relationships which can be easily sabotaged with a cyber-attack. Open communication, trust, strong client relationships and empathy is the foundation of effective financial advice practice, which AI cannot replace. (IFA Magazine: Before AI met wealth management & the tech challenges we forget about). AI tools can be misleading, resulting in inaccuracies, technical errors and misguided algorithms. Tools and software systems must therefore be seen as a powerful addition rather than a reliable holistic solution.Although there are risks associated with AI, it also offers a number of opportunities especially regarding automation and speed. Financial Advisers who use voice-controlled automated financial planning software are able to better inform their clients.If you’re looking for support with your hiring strategy or looking for a new career opportunity contact one of our Financial Services consultants.Sources:Before AI met wealth management & the tech challenges we forget about - IFA MagazineFCA: Consumer duty implementation good practice and areas for improvementFTAdviser: How to assess AI’s threats and opportunitiesFTAdviser: Ignoring AI is the biggest threat to adviser survivalFinancial News: What concerns UK financial advisers in 2024GOVUK: The benefits and harms of algorithms: a shared perspective from the four digital regulatorsIFA Magazine: Before AI met wealth management & the tech challenges we forget aboutLloyds Bank: What is inflation and what does it mean for your moneyMcKinsey: Derisking AI: risk management in AI developmentProfessional adviser: Inflation and financial planning – focusing on the bigger pictureRocketFin: Facing the future: the top challenges for financial services companies in 2024Schroders: What are the key challenges facing financial advisers in 2023?

General Insurance newsletter Friday 6th December 2024

Insurance NewsWhy mental health should be a priority for employers - Businesses must prioritise mental health to combat rising stress and burnout, as neglecting it leads to absenteeism, attrition, and reduced productivity. Effective measures include fostering open communication, offering support programs, and modelling healthy behaviours to create a thriving and balanced workplace. (IDEX Consulting news, 'Why mental health should be a priority for employers')Sustainability as a competitive advantage - Sustainability helps businesses attract top talent, retain clients, and build customer loyalty. Embedding ESG principles enhances accountability, reputation, and profitability. Key strategies include transparent communication, stakeholder engagement in sustainability goals, and measurable actions to reduce environmental impact. (IDEX Consulting news, 'Sustainability as a competitive advantage')Enhance your career prospects - To stand out in a competitive job market, focus on in-demand skills like sustainability, data management, and regulatory expertise. Adapt to emerging trends in renewables and cyber resilience, and leverage experience from regulated industries to transition into high-growth sectors. (IDEX Consulting news, 'Enhance your career prospects')Insurance Broking market trends - The 2024 insurance broking market focuses on improving broker-insurer relationships and addressing talent gaps in leadership and sales roles. Insurers aim to expand geographically and by specialty, leveraging gains from the hard market. Success hinges on strong employee value propositions, emphasizing career growth and impactful market stories to attract top talent. Key in-demand skills include technical expertise, business development, and underwriting proficiency. (IDEX Consulting news, 'Insurance Broking market trends')Beazley’s 2024 Risk & Resilience report highlights growing cyber risks tied to AI adoption, with 25% of businesses ranking disruptive technologies as their top risk and 68% anticipating job displacement, emphasising the critical role of insurers in managing these challenges. (Joshua Recamara, 5/12/2024, Insurance Business, 'Insurers' role under scrutiny amid elevating cyber and AI risks')Activate Group has expanded its Halifax headquarters, moving to a 14,000-square-foot facility in Dean Clough’s D Mill, up from 9,000 square feet in F Mill. Founded in 2015, the company employs over 700 people across the UK and serves major clients like Tesco, AXA, and Direct Line. The move supports its growth following a recent investment by Elysian Capital. (Jonalyn Cueto, 5/12/2024, Insurance Business, 'Activate Group moves to new HQ')Clyde & Co.’s UK PI Market report reveals that professional indemnity rates fell unexpectedly fast in 2024 due to rising competition from MGAs, despite 56% of market professionals predicting no rate increases. Legal Director Sam Godding noted the sector faces challenges but also significant opportunities amidst transformation. (Joshua Recamara, 5/12/2024, Insurance Business, 'What's happening with PI rates in 2024? – Clyde & Co report')During its 2024 Investor Day, WTW outlined its growth strategy, including a joint venture with Bain Capital to re-enter the treaty reinsurance broking market. WTW CEO Carl Hess highlighted progress under the “Grow, Simplify, and Transform” framework, emphasizing investments in talent, technology, and operational restructuring to drive value creation. (Kenneth Araullo, 4/12/2024, Insurance Business, 'WTW and Bain Capital partner to re-enter treaty reinsurance market')Aon will acquire Platform Labs' intellectual property portfolio, including cyber data science technologies and provisional patents, with Robert O’Connell set to integrate these assets into Aon’s offerings. Recent advancements in Aon's cyber sector include launching the Cyber Risk Analyzer platform and issuing the first 144A cyber catastrophe bond for AXIS Capital, alongside senior hires to strengthen its global cyber division. (Kenneth Araullo, 4/12/2024, Insurance Business, 'Aon taps Robert O’Connell to strengthen cyber reinsurance offerings')Pen Underwriting’s home insurance practice has joined Flood Re’s Build Back Better scheme, enabling policyholders to incorporate up to £10,000 in flood resilience measures during repairs. The initiative helps reduce the long-term impact of flooding by funding adaptations such as flood-resistant doors, non-return valves, and waterproof flooring, improving recovery times and reducing displacement for affected families. (Kenneth Araullo, 4/12/2024, Insurance Business, 'Pen Underwriting joins Flood Re's Build Back Better Scheme')The Financial Conduct Authority (FCA) has launched a market study to assess whether premium financing provides fair value for motor and home insurance buyers, recognizing it as an essential product for many consumers. The review has sparked varied reactions, with some questioning the necessity of the sector. During a recent panel, industry experts discussed the potential impact of the investigation, with David Sparkes from BIBA noting that the study could highlight the economic implications of changes to brokers, particularly regarding recourse and non-recourse premium finance agreements. (Mia Wallace, 3/12/2024, Insurance Business, 'What will the FCA's market study into premium financing mean for brokers?')Aon has renewed and expanded its Aon Client Treaty (ACT) for the tenth year, increasing the co-insurance to 28.5% for 2025, up from 22.5% in 2024. ACT, Aon’s London Market placement facility, provides clients with new capital sources and has placed over US$3.5 billion in gross written premium since 2016. The expanded coverage will apply to core business lines placed through Aon’s Global Broking Centre in London. (Joshua Recamara, 3/12/2024, Insurance Business, 'Aon announces renewal and expansion of Aon Client Treaty for 10th year')Ecclesiastical has partnered with Clear Councils, a Chartered insurance brokerage, to expand its schemes portfolio, with the collaboration set to launch in early 2025. Clear Councils provides insurance solutions to over 2,000 UK local councils, offering coverage such as public and employers’ liability, officials’ indemnity, and property damage. The partnership aims to enhance Ecclesiastical's offerings to local councils and charities. Clear Councils also supports charities with tailored coverage like trustee indemnity, cyber insurance, and buildings insurance. (Jonalyn Cueto, 3/12/2024, Insurance Business, 'Ecclesiastical partners with Clear Councils')Rokstone, an international specialty MGA, has acquired a second underwriting box at Lloyd’s, just six months after its first. The new box, 398a, complements its existing box 398 and allows the company to expand into financial lines and casualty, alongside its core offerings such as D&O liability, professional indemnity, surety, property, marine, aviation, and more. This expansion strengthens Rokstone’s relationships with brokers and enhances its presence in the London market. (Kenneth Araullo, 2/12/2024, Insurance Business, 'Rokstone adds second Lloyd's box to support broker demand')NorthStandard has expanded its partnership with Noord Nederlandsche P&I Club (NNPC), making NorthStandard the exclusive reinsurer for NNPC. This new agreement, signed in Newcastle, supports NNPC’s growth and diversification efforts with enhanced products and services. The collaboration, which began in 2008, aims to deliver added value to NNPC’s members and clients, reinforcing its position in the Northern European coastal insurance sector. Rob Beets, chairman of NNPC, highlighted that the partnership aligns with the company’s future vision. (Kenneth Araullo, 2/12/2024, Insurance Business, 'NorthStandard and NNPC formalise strategic partnership')Mergers and AcquisitionsWTW’s Quarterly Deal Performance Monitor (QDPM) projects a rise in M&A activity for 2025, driven by improved economic conditions, stabilised interest rates, and curbed inflation, with trends including AI's influence on deals, geopolitical risks, regulatory changes, and increased mid-market activity fueled by cash reserves from 2024. (Kenneth Araullo, 5/12/2024, Insurance Business, 'M&A activity set for a surge in 2025 – WTW')AbbeyAutoline has completed its third major acquisition of 2024 with the purchase of Wallace Insurance Brokers’ customer book, following earlier deals with Martin Carey Insurance and Down Insurances. Julie Gibbons, Managing Director of AbbeyAutoline, welcomed the move, highlighting Wallace Insurance’s strong reputation in construction and commercial insurance as a perfect fit for their expansion across Northern Ireland. The acquisition reinforces AbbeyAutoline’s position as the region’s largest insurance broker, enhancing its ability to deliver tailored solutions and marking a key milestone in its growth strategy. (Jonalyn Cueto, 5/12/2024, Insurance Business, 'AbbeyAutoline acquires Wallace Insurance Brokers')Brown & Brown (Europe) Limited has acquired Drewberry Limited, a specialist in employee benefits, workplace pensions, and private medical insurance. Drewberry will join Brown & Brown’s Premier Choice Group, with Co-Founders Andrew Jenkinson and Tom Conner joining the leadership team. The acquisition strengthens PCG’s employee benefits services, with Drewberry’s employees remaining in their current roles to ensure client service continuity. (Kenneth Araullo, 4/12/2024, Insurance Business, 'Brown & Brown acquires Drewberry to expand UK benefits reach')AIG has completed the sale of its global individual personal travel insurance and assistance business, including Travel Guard, to Zurich Insurance Group, finalising the transaction on December 2, 2024. Excluded from the sale are AIG’s Japan business, its joint venture in India, and travel insurance offerings through its Group Accident & Health division. AIG was advised by Evercore Group LLC, with legal counsel from Willkie Farr & Gallagher LLP and Norton Rose Fulbright LLP. (Kenneth Araullo, 3/12/2024, Insurance Business, 'AIG finalizes sale of Travel Guard to Zurich Insurance Group')Arthur J. Gallagher & Co (Gallagher) has acquired the UK operations of Caytons Law LLP through its claims and risk management subsidiary, Gallagher Bassett. Caytons specialises in legal advice on commercial and professional liability insurance matters and operates in London and Bristol. The firm's Principals, John Cayton, Sam Moore, and Robin Cundall, will integrate into Gallagher Bassett’s UK operations, led by Manan Sagar. The acquisition aims to strengthen Gallagher Bassett’s claims management offerings in the UK market. (Kenneth Araullo, 2/12/2024, Insurance Business, 'Caytons Law joins Gallagher Bassett in strategic UK expansion')MoversBMS has bolstered its energy division with Charlotte Marsh as Divisional Director for BMS Energy, leveraging her decade of experience in marine hull, onshore energy, and power generation from roles at Price Forbes. Toby Hanington, now Divisional Director for upstream, brings expertise in oil and gas sector liability from JLT and Howden. Jack Palmer, also Divisional Director for upstream, offers a decade of experience managing accounts for global energy clients from his tenure at Howden. All hires are London-based. (Kenneth Araullo, 5/12/2024, Insurance Business, 'BMS expands energy team with three senior appointments')Aon has appointed Robert O’Connell as Global Cyber Strategy and Growth Leader within its Reinsurance Solutions division. Based in New York, he will focus on developing advanced cyber solutions, including leveraging insurance-linked securities (ILS) and expanding access to capital markets. O’Connell, formerly CEO of Cyber Re Limited, brings expertise in cyber underwriting, data science, and analytics. (Kenneth Araullo, 4/12/2024, Insurance Business, 'Aon taps Robert O’Connell to strengthen cyber reinsurance offerings')Lockton Re has appointed Sabrina Veau as a Senior Broker in its Capital Advisory team, based in London. Veau joins after 22 years at Aon, where she focused on optimizing capital structures, regulatory complexities, and rating agency processes, while also leading Aon’s Actuarial and Analytics division, delivering risk solutions for financial institutions and insurers. (Kenneth Araullo, 4/12/2024, Insurance Business, 'Sabrina Veau joins Lockton Re to bolster capital advisory')Allianz Commercial has promoted Allie Chadwick to Regional Head of Multinational in the UK, overseeing multinational accounts and the servicing team. With over 15 years of experience, Chadwick, who has spent over six years at Allianz, succeeds Kevin Hegel and will report to Guy Money, Global Head of Multinational, while remaining based in London. (Joshua Recamara, 4/12/2024, Insurance Business, 'Allianz Commercial names new UK regional head of multinational')Evolution Claims Management has appointed Russell Crewe as CEO, succeeding Co-Founder Darren Cooper, who remains a main Board Director. Crewe, previously Managing Director, is excited about leading the company into its next growth phase, building on Cooper’s successful leadership. Cooper, who co-founded the company in 2015 after selling his previous firm, LAS, has over 20 years of industry experience. (Jonalyn Cueto, 4/12/2024, Insurance Business, 'Crewe named CEO of Evolution Claims Management')H&H Insurance Brokers (HHIB) has expanded its business team in response to growing client demand, with new hires and internal promotions. The team, led by Head of Commercial Kara Jenkinson, includes Account Executives Lee Sparrow and Ruth Wallbank, Account Handler Tom McGaffin, Commercial Brokers Rachel Neile and Kirsty Glencross, and apprentice Ellie Slack, bringing over 80 years of combined industry experience. (Jonalyn Cueto, 4/12/2024, Insurance Business, 'HHIB expands team amid rising demand')Gallagher has made key regional leadership appointments in its UK & Ireland retail division, covering 14 offices and 750 employees. Mark Kerry is promoted to Regional Managing Director for Scotland and Northern Ireland, overseeing offices in Glasgow, Edinburgh, Belfast, Aberdeen, and the Isle of Skye. James Fletcher takes on the role of Regional Managing Director for the North West, leading Manchester, Sale, and Liverpool, while James Murray becomes Regional Managing Director for the North East, overseeing teams in Newcastle, Leeds, and other key locations. (Jonalyn Cueto, 4/12/2024, Insurance Business, 'Gallagher announces appointments for UK & Ireland division')Howden has appointed Azman Noorani as Global Practice Leader for surety, as part of its strategy to enhance its surety offerings and global client services. Noorani, who brings over 26 years of experience, joins from Swiss Re, where he was Global Head of Surety. Reporting to Mark Wood, Head of Global Specialty Practices, he will lead the development of Howden's global surety practice, focusing on innovative solutions for companies with multi-country bond requirements. (Jonalyn Cueto, 4/12/2024, Insurance Business, 'Howden appoints Noorani as global head of surety')Swiss reinsurer SIGNAL IDUNA Reinsurance (SI Re) has appointed Dr. Robert Salzmann as Chief Underwriting Officer, effective Jan. 1, joining the executive board. Salzmann, who has been with SI Re since 2014, brings extensive experience in underwriting and insurance-linked securities (ILS). Previously serving in roles including Head of Pricing and ILS analytics and Head of ILS Markets and Retrocession, Salzmann's leadership is aligned with SI Re’s strategic goals. (Kenneth Araullo, 3/12/2024, Insurance Business, 'SI Re names Robert Salzmann as chief underwriting officer')Guy Carpenter has appointed Cem Altuntas as Managing Director in the Capital & Advisory team, based in New York. Altuntas, who began his role in December, will focus on capital raising and M&A advisory services across North America. With over a decade of experience in insurance-focused investment banking, Altuntas previously served as Executive Director at UBS and held senior roles at Moelis & Company, Merrill Lynch, and Citi. He began his career in engineering before transitioning to finance with an MBA from NYU Stern School of Business. (Kenneth Araullo, 3/12/2024, Insurance Business, 'Guy Carpenter names Cem Altuntas managing director in New York')Aon has appointed Anne Corona as CEO of enterprise clients and Global Chief Commercial Officer, effective January 1, 2025. The move supports Aon’s strategy to enhance its commercial operations by integrating data and analytics and improving global service delivery. With nearly 25 years at Aon, Corona most recently served as CEO of Asia Pacific, where she focused on innovation, growth, and strengthening client relationships. She will be based in Singapore. (Kenneth Araullo, 3/12/2024, Insurance Business, 'Anne Corona named Aon's global chief commercial officer')Miller has appointed Michael Pomroy as an Account Executive in its direct marine war team in London. With over a decade of experience, Pomroy joins from Costero Brokers Ltd, where he was Head of Marine War. Previously, he held senior roles at Costero and Mar Risk Services Ltd, where he contributed to Lloyd’s brokerage operations. Pomroy has also worked in database administration at RSA and gained legal experience at Hanne & Co Solicitors. (Kenneth Araullo, 2/12/2024, Insurance Business, 'Miller hires Michael Pomroy for marine war expansion')Howden Insurance Brokers has appointed Claire McDonagh and Mariana Weigel Munoz as Divisional Directors in its Accident & Health (A&H), Life, and Special Risks team. McDonagh, with over 20 years of experience in broking and underwriting, previously worked at Miller Insurance, Aspire Insurance Advisers, and AIG, specialising in multinational accident and health underwriting. Munoz brings over 25 years of experience, with the last two decades dedicated to A&H products, and joins from Miller Insurance Services, where she specialised in brokering and risk management. (Jonalyn Cueto, 2/12/2024, Insurance Business, 'Howden welcomes new leadership in A&H division')All information provided in this market digest has been gathered from Insurance Business and IDEX Consulting.

Financial Services newsletter Friday 29th November 2024

Financial Services NewsArtificial Intelligence: opportunity or threat? - Artificial Intelligence presents both significant opportunities and challenges. While it offers immense potential for efficiency and innovation, it also raises concerns about job displacement, ethical implications, and security risks. In the insurance and financial sectors, AI can streamline processes and improve decision-making, but it must be managed carefully to avoid unintended consequences. Balancing these factors will determine how AI impacts industries moving forward. (IDEX Consulting news, 'Artificial Intelligence: opportunity or threat?')Flexible working bill: what you need to know - The Flexible Working Bill, effective from 2024, enhances employees’ rights to request flexible working from the start of employment. It allows two requests annually, requires quicker employer responses, and removes the need for justification. Employers must still handle requests reasonably but they now face new obligations to discuss alternatives if a request is denied. These changes are significant for businesses aiming to support a healthy work-life balance while maintaining operational efficiency. (IDEX Consulting news, 'Flexible working bill: what you need to know')2024 FS M&A trends - 2024 has seen strong financial services M&A activity, driven by private equity investments, digital transformation, and regulatory challenges. Trends include heightened interest in fintech and regtech, increased insurance sector deals, and strategic consolidations to boost efficiency and innovation. (IDEX Consulting news, '2024 FS M&A trends')What does Consumer Duty mean for the Financial Services sector? - Consumer Duty emphasises the need for financial services firms to act in the best interest of their customers, ensuring products and services are suitable, fairly priced, and easily accessible. It introduces regulatory obligations to prevent harm, enhance transparency, and improve customer outcomes. This shift will reshape how firms manage their relationships with clients, making consumer protection a top priority. (IDEX Consulting news, 'What does Consumer Duty mean for the Financial Services sector?')A survey by NextWealth, commissioned by Schroders Capital, Franklin Templeton, and Aviva Investors, reveals compliance concerns and platform availability hinder UK advisers from investing in private markets, with only 2% of UK-advised assets allocated compared to 15% globally, and 80% of advisers not planning changes. (Selin Bucak, 7/11/2024, Citywire Wealth Manager, 'Advisers reticent about investing in private markets, survey finds')Industry veteran Ken Davy has warned the CII risks damaging the Financial Planning profession over its dispute with the Personal Finance Society (PFS), suggesting a breakaway PFS could emerge if unresolved. Davy, an honorary CII fellow and founder of SimplyBiz, expressed "increasing sadness" over the conflict, centered on the PFS’s direction and use of funds. (Financial Planning Today, 21/11/2024, 'Industry leader Davy says independent PFS 'possible')Seven firms, including several Financial Planning companies, achieved Corporate Chartered status with the CII in September and October 2024, recognizing their technical competence and commitment to professional standards. The firms include Augustine Limited, Avoca Wealth Management, Better Financial Planning, Park Insurance, Sedulo Wealth Management, SGM Financial Management, and Suttons Independent Financial Advisors. (Financial Planning Today, 7/11/2024, '7 firms achieve Corporate Chartered status')Wealth Club has launched a semi-liquid funds platform, offering UK high-net-worth investors access to private equity, credit, and infrastructure strategies from top managers like Apollo and Schroders, with a £10,000 minimum investment. (John Schaffer, 12/11/2024, Citywire Wealth Manager, 'Wealth Club launches first semi-liquid platform for HNW UK investors')Defined benefit pension transfer values dropped 2% in October to £153,000, their lowest in a year, driven by rising gilt yields amid investor uncertainty over the Chancellor's Budget, according to XPS. (Financial Planning Today, 27/11/2024, 'DB pension transfer values fall following Budget')The FCA's upcoming advice guidance proposals aim to clarify the distinction between advice and guidance, providing consumers with better understanding of their pension and investment choices. Speaking at TheCityUK National Conference, COO Emily Shepperd highlighted efforts to offer targeted support, enhance value for savers, and explore investment options with potentially higher returns and adjusted risk profiles. (Financial Planning Today, 27/11/2024, 'FCA advice shake up to focus on pensions')Complaints to the Financial Ombudsman Service rose over 50% year-on-year to 73,692 between July and September, with personal pensions leading at 1,272 complaints—nearly triple those for stocks and shares ISAs at 489. (Financial Planning Today, 27/11/2024, '50% rise in complaints to Financial Ombudsman'Financial services are set to lead salary growth in 2025, with pay budgets projected to rise by 5%, outpacing the UK median of 3.5%, driven by competition for talent and demand for expertise in risk, compliance, and technology, according to 3R Strategy's Global Salary Planning Report. (Financial Planning Today, 26/11/2024, 'Financial services to top salary growth table')A Phoenix Insights report reveals 64% of self-employed workers aged 60-65 have no private pension savings, amid a surge in self-employment among over-50s and the over-60s now being the fastest-growing group of self-employed workers. (Financial Planning Today, 21/11/2024, 'Most self-employed 'Boomers' hold zero pension savings')The FCA plans to hold round tables with smaller advice firms in early 2025 to discuss introducing cheaper, simplified advice services, aiming to make support more accessible. The regulator seeks to collaborate with firms on testing options for a streamlined, lower-cost advice process. (Financial Planning Today, 18/11/2024, 'FCA to consult small IFA firms over advice shake-up')A survey by Icit Business Intelligence found 85% of finance professionals use AI-powered Financial Planning tools, with two-thirds saving 50–200 hours annually and companies reporting £50,000–£100,000 in yearly savings. 59% said AI improves decision-making through accurate forecasts and real-time analysis. (Financial Planning Today, 7/11/2024, '4 in 5 finance professionals using AI-enabled software')Scottish Widows Platform has integrated ATEB Suitability software to streamline suitability report writing for advisers, automating data transfer and reducing manual input. This follows earlier updates, including CURO for bulk valuations and tools like Voyant and EVPro for financial modelling. (Dan Cooper, 27/11/2024, Money Marketing, 'Scottish Widows Platform adds new software to simplify adviser reporting')Research by NextWealth shows 72% of advisers are ending more client relationships in 2024, with 58% planning increased offboarding in the next year. While 46% feel obligated to clients, many are parting ways with those with simpler needs, like small pension pots or ISAs, to demonstrate fair value. (Lois Vallely, 27/11/2024, Money Marketing, 'Regulation and profitability forcing advisers to offboard clients')Aviva has launched a new Shariah-compliant lifestyle investment strategy, offering a suite of funds and a de-risking option for workplace pensions, designed to mirror its existing strategies and ensure consistency, while adhering to Islamic principles and automating risk management throughout the pension journey. (Financial Planning Today, 19/11/2024, 'Aviva launches new Shariah investment strategy')Mergers and AcquisitionsMKC Wealth, backed by Cabot Square Capital, has acquired Warr & Co Independent Financial Advisers and Halstead Independent Financial Management. Warr & Co brings £70m AUA from 140 households, while Halstead adds £90m AUA from 150 households. Co-founder Jeff Crewdson will retire post-handover, with Steve Prosser and team joining MKC's Stockport office. (Financial Planning Today, 25/11/2024, 'MKC Wealth acquires 2 firms in Greater Manchester')Tavistock has acquired asset manager ABP, adding £3bn in AUM, as it refocuses on providing investment solutions to advice firms and retail clients. ABP, founded in 2017, specialises in outsourced investment for regulated advice businesses. Tavistock will pay £6m upfront, with performance-based payments capped at £18m. (Financial Planning Today, 22/11/2024, 'Tavistock acquires £3bn AUM asset manager ABP')The Penny Group, the largest firm within the Openwork Partnership, has acquired Surrey-based Whiting Financial, adding £90m in assets under advice. This acquisition brings the group’s total assets to £1.2bn, serving 3,500 clients. Whiting Financial, founded in 1987, will continue to operate from its Farnham office while integrating into The Penny Group over the next year. (Financial Planning Today, 22/11/2024, 'Chartered Planner adds £90m AUM with Surrey acquisition')Birmingham-based Margetts Wealth Management has completed a management buy-in, with Directors Ian Butler and James Vickers acquiring equal shares in the firm. The duo, both with over two decades at the firm, join existing owner Kevin Smith. The buy-in ensures the firm’s continued independence and manages over £230m of assets for 350 clients, including business owners and professionals. (Financial Planning Today, 21/11/2024, 'Birmingham adviser completes management buy-in')Succession Wealth, owned by Aviva, has acquired Leeds-based True Wealth Group, adding £1.1bn in assets under advice and marking its third acquisition of 2024. This follows the purchases of DFP Health & Wealth Management and London Wall Partners, collectively bringing £2.2bn in assets.(Financial Planning Today, 18/11/2024, 'Succession Wealth snaps up £1.1bn AUA True Wealth')Beaufort Wealth Management, a Warwickshire-based IFA firm, has completed a management buyout, with Founders Phil Hart and Ravinder Ghuman buying out Co-Founder Ian Adey, who will remain as a Consultant. Established in 2007, the firm provides financial advice to both retail and corporate clients, covering areas such as investments, pensions, employee benefits, and succession planning. (Financial Planning Today, 18/11/2024, 'Beaufort Wealth Management completes MBO')Leicester-based WBR Group, specialising in SSASs and tax advice, has acquired SSAS administrator NM Perris & Co Ltd for an undisclosed sum. The deal adds 200 SSAS schemes and £300m of assets under administration, along with a new office in Bristol. The acquisition includes Brunel Trustees and Omniphi Systems, which will continue to operate under their current names. (Financial Planning Today, 13/11/2024, 'WBR acquires Bristol-based SSAS administrator')Fast-growing wealth manager Advanta Solutions, owner of Chartered Financial Planner Advanta Wealth, has acquired City Financial Planning, adding £800m of assets under management (AUM). With offices in Bath and Exeter, this acquisition marks Advanta's second in 2024 and its ninth overall. CEO Craig Webster highlighted the significance of expanding into Bath and Exeter and praised City Financial Planning's strong client reputation. (Financial Planning Today, 11/11/2024, 'Advanta snaps up £800m AUM south west Planner')Adviser Services Holdings Ltd (ASHL) has agreed to sell its LYNC Wealth Management arm to an affiliate of 7IM, marking its second sell-off in a week after offloading Rockhold Asset Management to 7IM. ASHL, established in 2020, has built independent and restricted advice networks with over 450 advisers and £9bn of assets under advice. The deal, which involves LYNC’s 60 staff including 28 advisers, is subject to regulatory approval, but the cost has not been disclosed. (Financial Planning Today, 6/11/2024, 'ASHL sells off LYNC Wealth Management')One Four Nine Group has acquired Nottingham-based Castlegate Capital, boosting assets to over £1.6bn. This marks the first acquisition for its new One Four Nine Wealth brand and the group’s tenth overall. Castlegate, serving private and corporate clients since 2016, will rebrand to One Four Nine Wealth, expanding the group’s presence in the Midlands. (Financial Planning Today, 6/11/2024, 'One Four Nine acquires Chartered Financial Planner')Brooks Macdonald has acquired Welsh Chartered Financial Planning firm CST Wealth Management for an undisclosed sum, adding £170m in assets under advice and 500 clients, expanding its presence in Wales and supporting growth in Financial Planning. (Financial Planning Today, 5/11/2024, 'Brooks Macdonald snaps up £170m AUM Cardiff Planner')Perspective Financial Group completed nine acquisitions in October’s second half, adding £1bn in assets under advice, 2,500 households, six new office locations, and 48 staff. The deals expanded the group's national footprint with new offices in Preston, Reading, Rotherham, Teesside, Towcester, and Warwick. The acquired firms include Springfield Financial Services (Preston), Millfield Osceola Financial Consultancy (Reading), Hawley & Wood Ltd (Rotherham), Fortitude Financial Planning (Towcester), Warwick Financial Solutions (Warwick), Edgmoor Financial Planners (Manchester), Keith Mason Wealth Management (Canterbury), a client bank in Teesside, and a self-employed adviser buy-out. (Financial Planning Today, 5/11/2024, 'Perspective adds £1bn AUA with 9 acquisitions')7IM has acquired £2bn AUM MPS provider Rockhold Asset Management from national adviser firm ASHL. The deal, for an undisclosed sum, enhances 7IM’s investment management capabilities and is described as a "strategic acquisition." ASHL, with 451 advisers, owns several brands including Sense Network, LYNC Wealth Management, Lyncombe, and the Academy. The acquisition is subject to Financial Conduct Authority approval. (Financial Planning Today, 1/11/2024, '7IM acquires MPS provider Rockhold from ASHL')MoversLuna Investment Management has appointed Paul Finnan as a Senior Investment Manager. Previously with Charles Stanley and Brown Shipley, Finnan brings extensive experience managing portfolios for private clients, charities, and family trusts. (Zachariah Sharif, 27/11/2024, Citywire Wealth Manager, 'Ex-Charles Stanley investment manager joins Manchester boutique Luna')Atomos has appointed Joshua Gennet as Investment Head, succeeding Haig Bathgate, who is joining Callanish Capital. Gennet brings 25 years of experience, including roles at Morgan Stanley, BNP Paribas, MSCI, and co-founding Ethical Capital Opportunity Advisors. Rowan Stone, a key figure in Atomos’s sustainable team, has been promoted to Investment Director to support Gennet. Bathgate, who joined in 2022 from 7IM and led the implementation of the WTW investment process, will depart at year-end after completing a five-year growth plan. (Dylan Lobo, 27/11/2024, Citywire Wealth Manager, 'Exclusive: Atomos names new investment boss as Bathgate joins boutique')Christopher Morris, Head of Financial Planning Policy at CISI, will join the FPSB Chief Executive's Committee as an at-large representative for a three-year term starting January 1. Andrea Middel, a founding Partner of DURF Financieel Planners and FPSB Board member since 2019, will become FPSB Board Chair on April 1, succeeding Ana Cláudia Akie Utumi. Middel, a past Financial Planner of the Year in the Netherlands, has chaired the FPSB Professional Standards Committee and served on the FFP Board. Caroline Dabu will serve as 2025 Board chairperson-elect, and Emer Kirk will continue as Chairperson of the FPSB European Forum for another two years. (Financial Planning Today, 20/11/2024, 'CISI’s Morris joins global FPSB leadership team')@sipp has appointed Josh Legg as Business Development Manager to support advisers in the South West with SIPP, SSAS, and commercial property. Legg, with 12 years’ experience, joins from Curtis Banks. Steve Lancaster has been promoted to Chief Operating Officer, overseeing sales, operations, and finance, while Tercia Grindlay steps up as Finance Manager. (Financial Planning Today, 14/11/2024, 'SIPP provider adds SW adviser support specialist')Perspective has appointed Harriet Griffin as Chief Operating Officer, a new role for the firm. With 16 years’ experience at firms like Kingswood and Charles Stanley, Griffin brings expertise in operations, change management, and technology strategy. A Chartered CISI member with an MBA from Cranfield University, she joins the board alongside CEO Ian Wilkinson, CFO David Hesketh, CRO Julie Hepworth, and Head of M&A Sam Ward. (Financial Planning Today, 11/11/2024, 'Perspective appoints new chief operating officer')The Association of Member-Directed Pension Schemes (AMPS) has appointed Debbie Seaton of Seabridge SSAS as its new Chair, succeeding Andrew Phipps. Jon Cuin of Barnett Waddingham will serve as Honorary Secretary, while Tasneem Ul-Haq of Aviva remains Treasurer and Joy West of Hartsfield Trustee Services stays as Membership Secretary. (Financial Planning Today, 11/11/2024, 'AMPS appoints Debbie Seaton as chair')Personal Finance Society interim Chief Executive Don MacIntyre has stepped down after more than two years, having joined in August 2022 to help evolve the PFS's working practices and governance. MacIntyre, who previously served as interim CEO of the UK Cyber Security Council, was unable to secure a permanent CEO, resulting in a 27-month tenure. (Financial Planning Today, 5/11/2024, 'Don MacIntyre steps down as interim PFS CEO')Quilter Cheviot has appointed Colin Rowe, former Managing Director at 7IM, as Head of Advice, pending regulatory approval. With over 20 years of leadership experience in wealth management, Rowe previously served as Managing Director of private clients at Close Brothers Asset Management. (Financial Planning Today, 4/11/2024, 'Quilter Cheviot poaches new head of advice from 7IM')Belmayne, the North Derbyshire firm of Chartered Financial Planners, has appointed experienced Financial Planner Nick Pike to its team in Dronfield. With 25 years in the industry, Pike has a background in teaching, accounting, and investment, specialising in clients with complex financial needs, including older individuals who have come into money. He is the third hire at Belmayne in recent months. (Financial Planning Today, 1/11/2024, 'Belmayne adds to adviser team')Evelyn Partners has appointed Kate Morrissey as Head of Asset Allocation, a newly created role within its central investment team. Morrissey joins from HSBC, where she managed £16bn as head of world selection and global strategy funds over a 23-year career. (Tom Browne, 26/11/2024, Money Marketing, 'Evelyn Partners appoints Kate Morrissey as head of asset allocation')All information provided in this market digest has been gathered from Citywire Wealth Manager, Financial Planning Today, Money Marketing, and IDEX Consulting.

General Insurance newsletter Friday 29th November 2024

Insurance NewsIs gender parity a problem in the insurance profession? - Despite growing awareness, gender parity remains an issue in the insurance industry, with women still underrepresented in senior leadership roles. Key challenges include unconscious bias, limited access to mentorship, and structural barriers such as unequal pay and lack of flexibility. Addressing these issues through inclusive policies, targeted initiatives, and equal opportunities is essential for fostering diversity and retaining female talent in the sector. (IDEX Consulting news, 'Is gender parity a problem in the insurance profession?')The growth of clean energy markets - The transition to clean energy markets is driven by increasing demand for renewable sources and regulatory support. However, the sector faces challenges such as infrastructure limitations and policy uncertainties. Businesses must navigate these complexities to leverage emerging opportunities. While the shift toward cleaner energy opens new avenues, it also presents risks that require careful strategic planning. (IDEX Consulting news, 'The growth of clean energy markets')IDEX instrumental in Noble Insurance acquisitions - IDEX played a key role in facilitating the acquisitions of Noble Insurance by providing end-to-end sales process support. Their expertise helped streamline the acquisition journey, ensuring a smooth transition and maximizing value for all parties involved. The process emphasized strategic alignment and operational efficiency, strengthening Noble Insurance's position in the market. (IDEX Consulting news, 'IDEX instrumental in Noble Insurance acquisitions')What does Consumer Duty mean for the Financial Services sector? - Consumer Duty emphasizes the need for financial services firms to act in the best interest of their customers, ensuring products and services are suitable, fairly priced, and easily accessible. It introduces regulatory obligations to prevent harm, enhance transparency, and improve customer outcomes. This shift will reshape how firms manage their relationships with clients, making consumer protection a top priority. (IDEX Consulting news, 'What does Consumer Duty mean for the Financial Services sector?')Aventum has relocated its UK headquarters to the Monument Building in London, a two-floor office designed to support its growing team and brands, featuring wellness-focused amenities like a coffee shop, fitness facilities, and spaces for collaboration, mentoring, and training, reflecting its “Dare to” culture. (Jonalyn Cueto, 29/11/2024, Insurance Business, 'Aventum opens new headquarters in London's Monument Building')Zurich Resilience Solutions has launched Climate Spotlight, a digital tool leveraging climate data to help organizations manage risks and enhance resilience, addressing the need for actionable insights, according to Global Head Amar Rahman. (Kenneth Araullo, 27/11/2024, Insurance Business, 'Zurich introduces Climate Spotlight for global risk analysis')Marine mutual insurers, including the American Club, are raising rates for 2025, with a 7% hike to address rising claims costs, inflation, and higher-value casualties, reflecting financial stability challenges in a volatile market. (Kenneth Araullo, 27/11/2024, Insurance Business, 'Swedish Club, others to raise P&I rates in 2025')OAK Reinsurance’s Lloyd’s Syndicate 2843 has been granted permission to underwrite business starting Jan. 1, 2025, projecting US$300 million in gross written premium, with an executive team led by CEO Cathal Carr and supported by key roles from Alex Winfield, Kirsten Mitchell-Wallace, Irfan Haq, Harriet James, and Karl Stanley. The syndicate is backed by Bain Capital, Hampden Agencies, and Polo Managing Agency. (Kenneth Araullo, 27/11/2024, Insurance Business, 'OAK Re's Lloyd's Syndicate 2843 set to launch in 2025')AXA UK’s report identifies regions in England most vulnerable to climate risks like flooding and extreme heat, revealing that over half of respondents feel unprepared for potential damage, which could challenge the Labour Government's housing target. The study, developed with Public First, creates a climate risk index based on socioeconomic factors and AXA’s claims data. (Kenneth Araullo, 27/11/2024, Insurance Business, 'Majority of the UK unprepared for climate-related damage – AXA')Specialist broker Ceta has partnered with Open GI to integrate Open GI’s Mobius panel into its platform, expanding the range of insurance products available to brokers. The collaboration supports Ceta’s goal to enhance its systems and services, leveraging its proprietary technology for tailored home and leisure insurance solutions. (Kenneth Araullo, 27/11/2024, Insurance Business, 'Ceta teams up with Open GI for broader digital insurance solutions')Everest has entered the Italian insurance market, operating under the name Everest Insurance (Ireland) DAC, Succursale Italiana, with headquarters in Milan. The expansion is overseen by José Ramón Morales, Head of Southern Europe, and aligns with Everest’s strategic growth in Europe, according to Véronique Brionne, Senior VP of Everest Insurance International®. (Jonalyn Cueto, 27/11/2024, Insurance Business, 'Everest enters Italian insurance market')McGill and Partners, in collaboration with Tokio Marine Kiln and Convex, has launched a trade disruption insurance facility with US$95 million in coverage, utilising Altana’s AI technology to improve underwriting speed and accuracy while expanding coverage for global supply chain risks. (Kenneth Araullo, 26/11/2024, Insurance Business, 'McGill & Partners, TMK, and Convex unveil TDI facility')According to an analysis by S&P Global Ratings, the global reinsurance sector is expected to see strong earnings growth from 2024 to 2026, following robust results in 2023. Key drivers include decade-high investment yields and sustained rate increases in property and property catastrophe lines. Structural changes since early 2023, such as higher attachment points, stricter terms, and the repricing of property catastrophe risks, have strengthened the P/C reinsurance market. (Kenneth Araullo, 25/11/2024, Insurance Business, 'Reinsurance eyes strong growth through 2026 – S&P')Gallagher Re's new research initiative, through its Gallagher Research Centre, is analyzing the growing impact of tropical cyclones on the insurance industry, focusing on how shifting cyclone patterns are influencing risks and losses, with recent North Atlantic hurricanes like Helene and Milton intensifying rapidly due to warmer sea surface temperatures. (Kenneth Araullo, 25/11/2024, Insurance Business, 'Gallagher Re teams up with experts to tackle cyclone risk dynamics')Howden's research on cyber resilience among UK businesses shows that 52% of UK organisations faced at least one cyber-attack in the past five years, with an estimated £44 billion in lost revenue. Large businesses were most targeted (74%), while 49% of SMEs with revenues between £2 million and £50 million were also affected. The most common causes were email compromise (20% of incidents) and data theft (18%), with average losses of £2.1 million and £2 million, respectively. (Kenneth Araullo, 25/11/2024, Insurance Business, 'UK businesses could save billions with better cybersecurity – Howden')Mergers and AcquisitionsDirect Line Insurance Group has rejected a £3.3 billion acquisition bid from Aviva Plc, offering 250 pence per share (58% premium) with a mix of cash and shares, marking the second rebuffed proposal this year. (Kenneth Araullo, 28/11/2024, 'Direct Line Group rejects Aviva's £3.3 billion takeover proposal')Bishop Street Underwriters, a RedBird Capital Partners portfolio company, plans to acquire Landmark Underwriting, a London-based MGA specializing in tailored re/insurance solutions across multiple lines, with operations in the UK, Australia, Canada, and Europe, pending regulatory approval. (Kenneth Araullo, 26/11/2024, Insurance Business, 'Bishop Street to acquire Landmark Underwriting in UK expansion')Verlingue, a subsidiary of the Adelaïde Group, has acquired ProConseils Solutions, a leading French-speaking Swiss insurance broker, as part of its Better Future 28 strategic plan to expand its European presence through local partnerships. The acquisition, which enhances Verlingue’s footprint in Switzerland, aligns with the Adelaïde Group’s goal of becoming the leading family-owned insurance broker in Europe by 2028. ProConseils, founded in 2003, serves over 1,500 companies and local authorities with nearly 25 staff across three offices in the Canton of Vaud. (Jonalyn Cueto, 26/11/2024, Insurance Business, 'Verlingue expands European footprint with acquisition')Crawford & Company has acquired three Spanish loss adjusting businesses—Cortes y Botella, Tecse, and Inarges—boosting its presence in Spain by 80%. The expansion adds offices in Seville, Zaragoza, and Bilbao, complementing existing locations in Valencia and Alicante, and strengthens Crawford’s capabilities in sectors like healthcare, construction, energy, and cyber. (Jonalyn Cueto, 26/11/2024, Insurance Business, 'Crawford & Company swoops for three loss adjusting businesses')MoversTL Dallas Group, with over 50 years of experience in trade credit insurance, has appointed Peter Hodgson as Director of Trade Credit to lead the division, working alongside Simon Hyde, who will retire in 2025 after leading the team for many years. (Jonalyn Cueto, 29/11/2024, Insurance Business, 'TL Dallas appoints new head of trade credit division')The Broker Investment Group has appointed Katie Boots as HR Director; with over 30 years of HR experience in insurance and financial services, she brings expertise in FCA compliance and SMCR regulations. (Jonalyn Cueto, 29/11/2024, Insurance Business, 'The Broker Investment Group names new HR director')Gallagher has appointed Neil Clutterbuck as Chair of Pen Underwriting and Independent Non-Executive Director of Arthur J. Gallagher Holdings (UK) Limited, pending regulatory approval; Clutterbuck, a seasoned insurance leader with nearly 20 years at Allianz and expertise in underwriting, pricing, and regulatory strategies, also serves as a Senior Advisor at Sicsic Advisory. (Jonalyn Cueto, 29/11/2024, Insurance Business, 'Clutterbuck to lead Pen Underwriting as new chair')AXA Commercial has appointed Mike Crane as Director of its SME and Specialty division, effective January 2025, succeeding Deepak Soni; Crane brings extensive industry experience, including over eight years as Managing Director at LV= Broker, where he led key transformations and digital advancements. (Jonalyn Cueto, 28/11/2024, Insurance Business, 'AXA Commercial introduces new director')Pen Underwriting has appointed Paul Wood as Product Lead – yachts for Vessel Protect, aiming to expand into the global yacht insurance market; with over 15 years of marine underwriting experience, including roles at Amphitrite Underwriting, Lloyd’s syndicate MS Amlin, and Yachtinsure, Wood will focus on providing risk assessments and tailored insurance solutions for brokers serving mid-value yacht owners. (Jonalyn Cueto, 28/11/2024, Insurance Business, 'Pen Underwriting expands marine practice with yacht expertise')Allianz Partners has appointed Michael Buttstedt as CFO and board member, effective September 1, 2024; with over 25 years at Allianz, he transitions from CFO of Allianz Italy, having previously held leadership roles as Chief Risk Officer at Allianz Switzerland and Allianz SE. (Kenneth Araullo, 28/11/2024, Insurance Business, 'Michael Buttstedt named CFO of Allianz Partners')Allianz Commercial has appointed Delvin Tillett as Head of Cyber for UK large corporate business, succeeding Michela Moro; Tillett brings 22 years of London market experience, including 12 years in cyber risks, with roles at Marsh and Munich Re. (Jonalyn Cueto, 28/11/2024, Insurance Business, 'Allianz Commercial appoints new head of cyber for UK')Aon Reinsurance Solutions has appointed Sandra Örljung as Account Manager for its Nordic team; with over 13 years at Aon, she brings experience in commercial risk solutions and will focus on supporting reinsurance clients across the Nordic and Baltic regions. (Kenneth Araullo, 28/11/2024, Insurance Business, 'Sandra Örljung joins Aon Reinsurance as Nordic account manager')PartnerRe has appointed Chris Shanahan, currently CEO of North America Life, as CEO of its life and health division, effective Jan. 1, succeeding Marc Archambault; Shanahan brings over 30 years of industry experience, including leadership roles at Hannover Re, Scottish Re, and Lincoln Financial. (Kenneth Araullo, 27/11/2024, Insurance Business, 'Chris Shanahan named CEO of PartnerRe life & health division')Howden Re has appointed Thomas Kroely as Managing Director for Continental Europe, leveraging extensive reinsurance experience, including roles as Client Reinsurance Director at Aon in Paris and Head of France, Belgium, and Luxembourg at Willis Re. Kroely’s career spans over 13 years at Willis Re and earlier roles in reinsurance brokerage, actuarial services, and financial analysis at Brit Insurance and Generali France. He will focus on European expansion and build a local team by 2025. (Kenneth Araullo, 27/11/2024, Insurance Business, 'Thomas Kroely joins Howden Re as MD for Continental Europe')Miller has appointed Konatsu Watanabe as a Broker in its Singapore-based property and casualty team, bringing over eight years of experience, including roles at UIB Asia Reinsurance Brokers and Tokio Marine Insurance Group, with expertise in facultative placements and Japanese business across Asia. (Kenneth Araullo, 27/11/2024, Insurance Business, 'Miller appoints Konatsu Watanabe to Singapore P&C team')Hadron has appointed Colin Johnson as CEO of its international operations, overseeing Hadron UK Insurance Company (HUKIC) and affiliates, with a focus on expanding in the UK and EU delegated authority market. Johnson, formerly CEO of Accredited Insurance (Europe) Limited, led AIEL to write over $1 billion in annual gross written premium across MGAs. (Kenneth Araullo, 27/11/2024, Insurance Business, 'Colin Johnson joins Hadron as international CEO')The Lloyd’s Market Association (LMA) has appointed Vivek Syal, Chief Underwriting Officer at Tokio Marine Kiln, and John Owen, CEO of AXIS Managing Agency, to its board, succeeding Matthew Shaw and Mark Gregory, respectively, as part of leadership transitions. (Jonalyn Cueto, 27/11/2024, Insurance Business, 'Lloyd's Market Association announces two new board members')Coalition has appointed Rob Kanno as Senior Security Support Analyst at its UK security support centre, reporting to Ryan Gregory. Based in Manchester, Kanno brings a strong IT background, transitioning to cybersecurity in 2023 after working as a Cybersecurity Analyst and Consultant at e2e-assure. The company has also expanded in Europe with key hires, including Tine Simonsen as European Head of Insurance in October and Matt Foster as Head of London Market in November. (Jonalyn Cueto, 27/11/2024, Insurance Business, 'Coalition announces new addition to UK cybersecurity team')Arch Insurance International has appointed Jelle Ouwehand as Head of Terrorism, Political Violence, and War, overseeing underwriting for a wide range of risks, including terrorism, SRCC, political violence, and NCBR. Based in London, Ouwehand brings over 15 years of experience, having joined Arch in 2018 after roles at Marsh and in underwriting and broking. (Kenneth Araullo, 26/11/2024, Insurance Business, 'Arch Insurance names Jelle Ouwehand as head of terrorism risks')Nick Mountifield has been appointed Managing Director of Academy Insurance Services, succeeding Richard Beaven, effective immediately. Mountifield, who joined Academy in June 2024 as group COO, has over 24 years of experience in the insurance industry, including senior roles at WTW, Allianz, Flood Re, and PIB. (Jonalyn Cueto, 26/11/2024, Insurance Business, 'Academy Insurance names MD as Richard Beavan steps back')Allianz UK has appointed Isabella Von Mesterhazy as Managing Director of its specialty business, effective Dec. 1, 2024, pending regulatory approval. Von Mesterhazy, a veteran of Allianz since 2011, succeeds Kieran O’Keeffe, and has played a key role in shaping Allianz’s specialty business through various positions, including Director of Trading for Allianz Specialty. (Jonalyn Cueto, 26/11/2024, Insurance Business, 'Allianz UK appoints new specialty MD')Lockton Re has appointed Andy Wakefield as a Senior Broker in its marine and energy division, bringing 34 years of experience in marine and energy reinsurance broking. Wakefield's career includes leadership roles at Aon, Ed. Broking, Willis Re, Aon Benfield, and Tysers, enhancing Lockton Re's capabilities in this specialty area. (Kenneth Araullo, 25/11/2024, Insurance Business, 'Andy Wakefield joins Lockton Re to bolster marine & energy team')All information provided in this market digest has been gathered from Insurance Business and IDEX Consulting.

General Insurance newsletter Friday 22nd November 2024

Insurance NewsInsurer and MGA 2024 reflections - The insurance and MGA market has been heavily influenced by technological developments and predictive analytics, which have helped to streamline claims and underwriting processes. MGAs are leveraging niche specialisations and innovation to drive growth, while sustainability and ESG strategies are becoming central to operations. Retaining talent remains challenging, making diversity, inclusivity, and strong EVP crucial for success. (IDEX Consulting news, 'Insurer and MGA 2024 reflections')Counter offers: what you need to consider - Before accepting a counter-offer, carefully assess if it truly addresses your reasons for leaving and aligns with your long-term goals. Staying with a current employer can often lead to diminished trust or career stagnation. 78% of employers believe candidates become passive jobseekers post a counter-offer. Consider whether the offer reflects your value or if it's a short-term fix. (IDEX Consulting news, 'Counter offers: what you need to consider')Integrating cultures during an acquisition: expert insights - Successful cultural integration is vital during an M&A deal, employee buy in and engagement must be taken seriously to minimise dissatisfaction and productivity loss. Key strategies include open communication, aligning values early, and involving leadership from both sides to build trust and collaboration. Emphasising shared goals while respecting individual identities helps to create a cohesive culture that supports long-term success. (IDEX Consulting news, 'Integrating cultures during an acquisition: expert insights')Risk and Compliance market trends - Changing Consumer Duty requirements, increased customer demands, cyber risks and mandatory ESG reporting have all added pressure and costs to insurers and brokers this year. Firms are leveraging advanced technology to improve compliance and risk management while facing challenges like cyber threats and new regulations. Staying adaptable and proactive is essential for success in this ever-changing landscape. (IDEX Consulting news, 'Risk and compliance market trends')Lockton Re partnered with Verisk to develop insurance and reinsurance products for the agricultural sector, utilising Verisk’s risk modelling tools to assess climate change impacts and optimise pricing and profitability in the US crop insurance market. (Kenneth Araullo, 21/11/2024, Insurance Business, 'Lockton Re and Verisk partner for crop re/insurance solutions')Placing Platform Limited (PPL) has launched a new underwriter dashboard with enhanced categorisation, search capabilities, and personalised views to streamline task management and improve efficiency for individuals and teams. (Jonalyn Cueto, 21/11/2024, Insurance Business, 'PPL unveils new underwriter dashboard')Rokstone has launched Rokstone Parametric, a new insurance product in partnership with NormanMax Lloyd’s Syndicate 3939, offering a $10M global facility for earthquake, hurricane, and typhoon risks, with flood coverage expected in 2025 and projected GWP of $25M in 2024 and $50M in 2025. (Kenneth Araullo, 20/11/2024, Insurance Business, 'Rokstone and NormanMax debut global parametric insurance product')Ecclesiastical Insurance has maintained its top position in the Fairer Finance Home Insurance league table for the 20th consecutive time, ranking first out of 47 providers and retaining its Gold Ribbon status, while Saga, Direct Line, AA, and Co-operative Insurance earned Gold, Silver, and Bronze Ribbons, respectively. (Kenneth Araullo, 20/11/2024, Insurance Business, 'Ecclesiastical tops Fairer Finance rankings for 20th consecutive time')Carrow Insurance, a newly established MGA headquartered in Ireland, has launched in the European mid-market insurance sector, offering customised products in warranty, accident and health, and income and payment protection. Led by Ronan Conboy, former CEO of AmTrust International, and backed by Mission Underwriters via the Accelerant Risk Exchange, Carrow aims to serve 27 European countries with A-rated capacity and long-term partnerships. (Jonayln Cueto, 20/11/2024, Insurance Business, 'Carrow Insurance enters European market')Novidea has relocated to a larger office in London’s financial district, in the iconic Willis building near Lloyd’s of London, to accommodate its expanding team and support its growth strategy. CEO Roi Agababa emphasized the company’s rapid progress and the growing global demand for digital transformation in the insurance sector. (Jonalyn Cueto, 20/11/2024, Insurance Business, 'Novidea moves to iconic Willis building')Aqueous Underwriting has secured a three-year syndicated capacity agreement with Allied World and Sompo, enabling expansion of its SME product offerings. The new arrangement replaces Aqueous's partnership with Allianz for SME package business, which will transition through 2024, while continuing collaboration on other lines. Aqueous specializes in insurance solutions for SMEs in sectors like food, hospitality, leisure, and hotels. (Jonalyn Cueto, 20/11/2024, Insurance Business, 'Aqueous partners with Allied World and Sompo')McKinsey's Global Insurance Report 2025 highlights the volatile landscape of economic uncertainty, geopolitical tensions, and shifting trade patterns, while identifying growth opportunities in personal and commercial P&C, and life insurance. Personal lines P&C premiums grew by 9.5% in 2022–2023, driven by rate increases in mature markets, though gross written premiums as a share of GDP remained below pre-pandemic levels and coverage gaps between mature and emerging economies widened. (Kenneth Araullo, 19/11/2024, Insurance Business, 'Natural disaster risks drive need for P&C innovation – McKinsey')MS Reinsurance reported strong growth in the first half of 2024, with profit after tax reaching £128 million (US$128 million), up £71 million year-on-year, and insurance service profit rising to £138 million (US$138 million), an increase of £41 million, reflecting business expansion and favourable market conditions under IFRS 17. (Kenneth Araullo, 19/11/2024, Insurance Business, 'MS Reinsurance achieves massive growth in net premium earned')Tokio Marine Holdings raised its full-year adjusted net income forecast to ¥1.04 trillion (US$6.71 billion), up by ¥40 billion (US$258 million), driven by strong underwriting, international growth, and equity sales, with first-half adjusted net income reaching ¥771.2 billion (US$4.98 billion), 77% of the original forecast. (Kenneth Araullo, 19/11/2024, Insurance Business, 'Tokio Marine raises 2024 net income forecast')Helios Underwriting plc forecasts a decrease in its capacity fund value to £75 million (US$95 million) by the end of 2024, down from £82.4 million in 2023, driven by a dip in Lloyd's auction prices and changes in its freehold portfolio, though its tangible assets showed growth during the first nine months of the year. (Kenneth Araullo, 19/11/2024, Insurance Business, 'Helios Underwriting projects fund capacity decline in 2024')MS Amlin Underwriting Limited reported strong financial performance for the first half of 2024, with insurance service profits rising to £116 million, up £71 million year-on-year, and net profit after tax increasing to £87 million, driven by robust underwriting, portfolio expansion, improved investment returns, and lower discounting volatility. (Kenneth Araullo, 19/11/2024, Insurance Business, 'MS Amlin posts rise in net premiums earned')Allianz has launched the "Power of Unity" program to address societal trust erosion and promote confidence in a stable economic future, responding to growing polarization and social unrest worldwide. Allianz Research’s 2024 Social Resilience Index highlighted the weakening of democratic institutions and social cohesion, with 69% of stakeholders expressing a lack of confidence in political leadership’s ability to address key issues. (Rod Bolivar, 19/11/2024, Insurance Business, 'Allianz battles polarisation with global initiative')A new report by the Lloyd’s Market Association (LMA) and Oxbow Partners, titled The Growth of Enhanced Underwriting in the Lloyd’s Market: The New Normal?, predicts substantial growth in enhanced underwriting over the next decade. Based on research with 85 senior leaders and 55 organizations representing 77% of Lloyd’s 2023 GWP, the report explores the implementation, opportunities, risks, and capabilities required for this evolving practice. (Jonalyn Cueto, 19/11/2024, Insurance Business, 'Lloyd's embraces enhanced underwriting – report')Swiss Re has revised its economic outlook, noting strong US Q3 GDP growth of 2.8% and raising its 2024 US growth forecast to 2.8%, with a 2025 forecast of 2.2%. The report highlights potential impacts of fiscal and trade policies, including a shift toward looser fiscal policy in the US post-elections, which could boost growth but also raise concerns about debt sustainability, while protectionist policies may limit some growth benefits. (Kenneth Araullo, 18/11/2024, Insurance Business, 'US growth outpacing global markets in 2024 – Swiss Re')HDI Global reported strong growth for the first nine months of the year, with a 11% increase in revenue to €7.3 billion and operating profit rising to €479 million. The combined ratio improved to 90.5%. Dr. Edgar Puls credited the performance to robust client and broker relationships and the company’s agility in addressing changing risk environments. (Kenneth Araullo, 18/11/2024, Insurance Business, 'HDI Global posts revenue growth and improved profitability')RSA Insurance has launched a new professional indemnity (PI) insurance product for businesses and consultants advising on sustainability, net zero, and climate-related strategies. The product, the first of its kind in the UK, addresses the growing demand for climate professionals and offers protection against claims of inadequate advice, design, or services. (Kenneth Araullo, 18/11/2024, Insurance Business, 'RSA launches UK's first PI insurance for climate consultants')Mergers and AcquisitionsOptio Group has completed its acquisition of Netherlands and Brussels-based MGA Den Hartigh Beheer & Exploitatie BV, enhancing its European presence with a century-old, tech-driven provider of property, casualty, marine, and high-net-worth insurance, led by CEO Jan Den Hartigh. (Kenneth Araullo, 21/11/2024, Insurance Business, 'Optio finalizes acquisition of Dutch MGA Den Hartigh')Marsh McLennan's reinsurance specialist, Guy Carpenter, will acquire the remaining 51.5% of shares in Athens-based Carpenter Turner, with the transaction expected to close by year-end. Alexander Turner, CEO of Carpenter Turner, will become CEO of Guy Carpenter Greece, overseeing reinsurance operations in Greece and Cyprus, and collaborating with Marsh McLennan’s other businesses to support regional clients. (Kenneth Araullo, 19/11/2024, Insurance Business, 'Guy Carpenter Greece to launch after full acquisition')MoversMarkel appointed David Pressman as Senior Underwriter for marine cargo. With 11 years of industry experience, he previously specialized in marine cargo underwriting at AEGIS London and MS Amlin, where he progressed from Binding Authority Technician to Marine Cargo Underwriter. (Jonalyn Cueto, 22/11/2024, Insurance Business, 'Markel appoints new senior underwriter')Reassured appointed Philip Byrne as Chief Risk and Compliance Officer. With extensive experience in risk and compliance, Byrne previously served as Head of Compliance at Markerstudy Group and Director of Risk and Compliance at BGL Insurance. He will focus on strengthening governance and risk management strategies while ensuring positive customer outcomes and enhancing digital capabilities. (Jonalyn Cueto, 22/11/2024, Insurance Business, 'Reassured appoints new chief risk and compliance officer')Aon appointed Magnus Roe as Global Chief Data and Analytics Officer and Mona Barnes as Global Chief Claims Officer. Roe, based in Singapore, will enhance Aon’s analytics capabilities. He previously served as Head of Strategy for risk analytics and global COO for reinsurance analytics, where he advanced analytical tools and supported client solutions. Barnes will oversee global claims operations, leveraging her experience from Swiss Re and Chubb. She joined Aon in 2023, managing UK and global broking centre claims operations. (Roxanne Libatique, 21/11/2024, Insurance Business, 'Aon drives data and analytics transformation with global appointment')RSA Luxembourg announces leadership changes as Lynn O’Leary transitions to President of Intact's US Specialty Lines in Q1 2025, succeeded by Nadia Cote, an experienced insurance executive with over 25 years in senior roles across Europe and Canada, as CEO Europe (pending regulatory approval), with interim leadership by Louis Marcotte to ensure a smooth handover. (Jonalyn Cueto, 21/11/2024, Insurance Business, 'RSA announces leadership transition')Aon has appointed Brian Gillin as Managing Director of its cyber reinsurance solutions team, leveraging his decade of experience in cyber risk advisory and leadership roles at Aon, and Adam Neverton as Global Head of Strategic Broking for professions, drawing on 30+ years of expertise to develop tailored risk solutions for professional services clients. (Kenneth Araullo, 20/11/2024, Insurance Business, 'Aon Names Brian Gillin managing director for cyber reinsurance')Delos Insurance Solutions has appointed Gloria Hendrickson as Head of Reinsurance, leveraging her expertise in catastrophe modelling and underwriting from leadership roles at NormanMax Insurance Holdings and New Paradigm Underwriters. (Kenneth Araullo, 20/11/2024, Insurance Business, 'Delos Insurance appoints Gloria Hendrickson as head of reinsurance')Crawford & Company has appointed Paul Lofkin as President of UK and Ireland operations, effective December 1, 2024. With 22 years of insurance experience, Lofkin advanced to the UK leadership team in 2023 as Head of Platforms, overseeing claims solutions, repair services, and driving industry innovation, including creating the UK’s first dedicated rural adjusting team. (Kenneth Araullo, 20/11/2024, Insurance Business, 'Paul Lofkin named president of Crawford UK & Ireland operations')HDI Global has appointed Tom Major as Chief Claims Officer, effective February 7, 2025. With 12 years at Allianz, including his current role as UK Head of Claims overseeing nine business lines, Major brings extensive underwriting and claims expertise and will report to Stephanie Ogden, CEO for the UK and Ireland. (Kenneth Araullo, 20/11/2024, Insurance Business, 'Insurance hires: HDI Global, Optio Group, Acrisure London')Optio Group has appointed Oliver Sheppard as Head of Financial Lines, effective immediately. With nearly two decades of experience in financial lines across Lloyd’s and company markets, Sheppard will oversee the professional indemnity portfolio, profit and loss, and market capacity. He previously served as Head of UK and International professional indemnity at Munitus Insurance and has held senior roles at Allianz, AIG, RSA, and Zurich. (Kenneth Araullo, 20/11/2024, Insurance Business, 'Insurance hires: HDI Global, Optio Group, Acrisure London')Acrisure London Wholesale has promoted Tom Quy to Managing Director, effective January 1, 2025, succeeding John Sutton, who will transition to a consultancy role. Quy, with over 17 years of experience, has been with ALW since 2019, where he helped develop the cyber wholesale practice and establish Acrisure Re’s cyber reinsurance division. Quy’s career spans over 17 years, with previous roles at Miller, Paragon International, and THB Group. (Kenneth Araullo, 20/11/2024, Insurance Business, 'Insurance hires: HDI Global, Optio Group, Acrisure London')JM Glendinning Real Estate has expanded into London with a new office at 1 Bedford Row, led by Somerset Akerman and Jon-Paul Matyus-Flynn, both with extensive experience from Estates Insurance Group. Akerman spent five years at EIG, transitioning from managing personal and commercial lines to focusing on real estate business development. Matyus-Flynn brings a diverse background in motor, high-net-worth home insurance, and commercial portfolios before specializing in real estate business development at EIG, where he helped build client bases, particularly in real estate. (Jonayln Cueto, 20/11/2024, Insurance Business, 'JM Glendinning opens London office')Coalition appointed Matt Foster as Head of London Markets, where he will lead underwriting for complex risks, reporting to Stephen Wares. Foster brings eight years of cyber underwriting experience at Munich Re, where he was promoted to Senior Cyber Underwriter in 2023. The move follows Tom Draper's promotion to UK Managing Director, overseeing over 30 employees and reporting to Kyle Bryant. Draper has a decade of experience in cyber insurance, previously with Willis, Lockton, and Gallagher. (Jonalyn Cueto, 19/11/2024, Insurance Business, 'Coalition appoints new head of London Markets')Steven J. Bensinger has been appointed as a Non-Executive Director to the group board of Accredited Insurance Program Management, effective Dec. 9, and will serve as Chair of the audit committee. With over 45 years in the global insurance sector, Bensinger has held senior roles at AIG, The Hanover Insurance Group, and Aon, among others. He currently serves on several boards, including Ariel Re, Kinsale Capital Group, and Clearcover Insurance, and is a Senior Advisor at Howden Re. (Kenneth Araullo, 18/11/2024, Insurance Business, 'Steven Bensinger joins Accredited Insurance as non-exec director')Allianz Commercial has announced key management changes within Allianz Global Corporate & Specialty SE (AGCS SE). Tracy Ryan will leave her role as Head of Allianz Commercial in the Americas at the end of 2024 to become CEO of the National Council on Compensation Insurance. Shanil Williams, currently Chief Underwriting Officer, will assume Ryan's responsibilities in early 2025. Vanessa Maxwell will join the AGCS SE Board as Chief Underwriting Officer, succeeding Williams, with Jarrod Schlesinger appointed Global Head of Financial Lines and Cyber. Jenise Klein will become Chief Underwriting Officer for North America. Additionally, Gabrielle Durisch has been promoted to Chief Sustainability Officer. (Rod Bolivar, 18/11/2024, Insurance Business, 'Allianz Commercial announces management changes for key roles')Hymans Robertson has appointed Rohan Murdeshwar and Harsh Jaitak as senior consultants to strengthen its general insurance team, supporting the growth of its insurance and financial services practice. Murdeshwar, with over 10 years of experience, previously worked at PWC and WTW, while Jaitak brings expertise in risk management and reinsurance from roles at KPMG, Kuwait Reinsurance, and WTW. (Jonalyn Cueto, 18/11/2024, Insurance Business, 'Hymans Robertson expands GI team with WTW alumni')FM Global has appointed Randy Hodge as Chief Operating Officer, effective Dec. 1, 2024, succeeding Bret Ahnell, who retires in March 2025 after nearly 40 years. With over 30 years at FM, Hodge has held roles including Field Engineer, Operations Manager, EVP of staff insurance operations, and Chief Underwriting Officer. (Jonalyn Cueto, 18/11/2024, Insurance Business, 'FM appoints new chief operating officer')All information provided in this market digest has been gathered from Insurance Business and IDEX Consulting.