News in Brief: Reinsurers pitched to be leading agents of change: ecologist

News in Brief: Reinsurers pitched to be leading agents of change: ecologist | Insurance Business

News in Brief: Reinsurers pitched to be leading agents of change: ecologist
Reinsurers pitched to be leading agents of change: ecologist

An Australian ecologist has told delegates at the inaugural Antarctic and Southern Ocean Horizon Scan in New Zealand that the re-insurance industry holds the answer to climate change, the NBR reports.

Professor Steven Chown said if reinsurers won’t provide cover for coastal properties at risk from rising sea levels or flood prone areas, the onus of responsibility for the protection of property would return to individuals.

“That is likely to drive significant change in terms of property use, building location and risk assessment and be critical when climate change is overlaid on current property use patterns,” he said.

US insurers pull sponsorship after LA Clippers racism scandal

State Farm, CarMax, and Virgin America have ceased sponsoring the Los Angeles Clippers after the release of an audiotape in which basketball team’s owner Donald Sterling can be heard making racist comments.

State Farm is the second Clippers sponsor to jump ship, preceded by CarMax, which told ESPN it found Sterling's statements "completely unacceptable."

The insurer left after sponsoring the Los Angeles team for nine seasons. Virgin America is also dropping its Clippers sponsorship.

Sterling allegedly went on a racist rant to his girlfriend, V. Stiviano, in audio picked up by TMZ. In the audio that has been attributed by TMZ to Sterling, he’s very bothered by her public association with a number of black individuals, including Magic Johnson, ordering her never to bring black people to any of his games.

QBE returns to ICNZ

The Insurance Council of New Zealand has welcomed back QBE to its membership ranks after several years’ absence as well as three new members Credit Union Insurance, CBL Insurance, and Provident Insurance.

Ross Chapman, general manager, NZ operations QBE, who is now on the ICNZ board, said the Canterbury earthquakes meant it was more important than ever for the industry to have a collective voice.

"We recognise the importance of the active role the ICNZ plays in representing the insurance industry, as well as helping to educate consumers on key issues and risks, and believe it is particularly important to promote a united front.

"The event of the Christchurch earthquakes and the significance of current government reviews, such as FSL, mean it is more important than ever for the industry to talk with one voice, to both the Government and community. We are pleased to be able to be a part of this."

Partner Returns to DLA Phillips Fox

DLA Phillips Fox insurance litigation partner, Veronica Cress, has returned to the Auckland office of DLA Phillips Fox after being seconded in 2012 and 2013 to DLA Piper offices in Sydney and Bangkok to assist with insurance litigation and reinsurance arbitration.

Cress is an experienced civil litigator and insurance specialist whose experience includes claims, corporate and commercial insurance litigation.

ING agrees to sell $1.8b stock in insurance arm

ING Groep NV, the Dutch bank and insurance company, has struck a deal to sell $1.8 billion (1.28 billion euros) worth of shares in its insurance arm to Asian investors later this year, reports AP.

The European Commission has instructed ING to spin off its remaining insurance operations in compensation for needing state support during the financial crisis of 2008. The date of the initial public offering has not been set.

In the deal, RRJ Capital, Temasek and SeaTown Holdings agreed to purchase shares at 1.5 percent to 3 percent below whatever IPO price is eventually set.

ING benefits from guaranteed support for the IPO, while the Asian investors benefit from the discount.

The business, which is to be branded NN Group, has a book value of 14.3 billion euros.