Canada removes airline safety net
Canadian airlines will face higher insurance premiums from July as the federal government is scrapping the program brought in after 9/11. The government program was introduced 15 years ago when insurers worldwide stopped providing war-risk coverage over fears of crippling claims.
Canada is the last country to end government protection; the US program ended in 2014; and private insurance companies have picked up coverage again. The Aviation Industry Indemnity Act enables the transport minister to bring back government coverage if private insurers exit the market again however the CBC reports that some of Canada’s largest airlines have already secured insurance from the start of 2016.
Former AIG unit takes larger slice in Indian venture
AIA, the Hong Kong-listed insurance firm which was formerly part of American International Group, has acquired an additional stake in a venture in India. The firm’s holding in Tata AIA Life Insurance Company is now 49 per cent, the maximum limit for foreign direct investment in India. Tata Sons holds the remaining 51 per cent.
Foreign insurers including Canada’s Sun Life and France’s
AXA have taken advantage of new rules allowing a near-equal stake in their Indian joint ventures as the economy grows in the country bringing new potential in the vast market.
Senior hire for Guy Carpenter
Global risk and reinsurance specialist Guy Carpenter & Company has promoted Peter Stubbings to CEO of its Bermuda operations. Stubbings was previously chairman of the Bermuda office and takes up his new role with immediate effect. He will be joined by Richard Keegan as senior VP in May.
Stubbings will be responsible for both the Retrocession and International Reinsurance Treaty practices, as well as overseeing new business development and the wholesaling of the firm’s US business into the Bermuda market. He will continue to report to Kevin Fisher, CEO of Global Specialties.
Chubb expands environmental coverage
Chubb has broadened the availability of its premises liability and other environmental insurance products. The insurer’s distribution network has been expanded to 48 branches across the US, although all products may not be available in all states.
"As other insurers exit core lines of pollution liability coverage, Chubb remains committed to being a full service provider of environmental insurance for businesses of all sizes," said Craig Richardson, Executive Vice President, Chubb Environmental.
Chubb’s network offers coverage to all sizes of business in areas including premises pollution liability, contractors pollution liability and tank coverage.
