Chilean insurers can cope with quake claims says Fitch
Ratings agency Fitch says that it believes that Chilean insurance companies are well placed to absorb the cost of claims arising from the devastating earthquake. The quake, which meant up to a million people being advised to leave their homes, was the latest natural disaster to hit the South American country this year following flooding in the north and a volcanic eruption in the south. Marketwatch reports that the 8.3 magnitude quake and resulting tsunami which hit the north-central part of Chile Wednesday is estimated to have caused between U$100 million and $1 billion in economic losses according to the US Geological Survey. The insured losses though are likely to be $500 million or less and insurers will be covered in part by the country’s reinsurance protection for catastrophic disasters.
Tech expert challenges insurers to embrace innovation
The insurance industry is failing to move into the technological age despite the wider financial sector embracing innovation. Writing for CityAM.com Rob Moffat, a principal investor at tech venture capital firm Balderton Capital, asks why the insurance industry is lagging. Moffat cites the UK market in particular, where insurance comparison sites have changed the way consumers buy their policies, but he says that there is little innovation from the insurance sector compared to the growth of financial technology, or ‘fintech’. Moffat suggests that regulation and the vast sums of money involved in starting an insurance company are barriers for start-ups, but established insurers are slow to fill the gap. Perhaps there is an opportunity for brokers to offer solutions to tech-hungry consumers?
Aon Benfield calls for reinsurers to engage with academia
At its 14
th Biennial Hazards Conference, which begins in Sydney next week, Aon Benfield will call for the global reinsurance industry to engage with academics, governments and corporates in order to build resilience to the growing risk from natural disasters. Speakers and panelists will provide perspectives on understanding the future through talks on big data, evolving market trends and how pending technological advancements will challenge the insurance industry to evolve.
