All Posts in "Insurance"

Gilles-Alexandre Ayiman has been promoted General Manager of the Ivorian subsidiary of WAICA Re. The appointment took effect on 1 January 2021.

A graduate of the Centre National de Prévention et de Protection (CNPP France) and the Institut national polytechnique Félix Houphouët-Boigny in Yamoussoukro (Côte d’Ivoire), Ayiman has worked as audit engineer/risk underwriter for three years at Atlantique Assurances. In 2019, he joined WAICA Re Côte d’Ivoire as Assistant Manager.

Patoma Admin by — January 8, 2021 in Insurance 0
LIoyd’s shut down underwriting room over New Covid-19

Lloyd’s has pulled down the shutters on its underwriting room again as the UK enters a new lockdown.

Lloyd’s first closed the doors to its iconic One Lime Street building in March during the first wave of Covid-19.

It reopened in September by staggering markets across named days of the week. Lloyd’s then restricted access to Wednesdays when London entered Tier 4 Stay at Home measures on 20 December 2020.

But Lloyd’s has now completely shut its underwriting room

In a statement given to Reuters this week, Lloyd’s said it is unlikely to reopen the underwriting floor before mid-February 2021, in line with the UK’s six-week national lockdown.

The UK’s House of Commons is due to vote on new regulations that would allow the lockdown measures to stay in place until the end of March.

Patoma Admin by — January 7, 2021 in Insurance 0

Cigna completed the sale of its group life  and disability insurance unit to New York Life Insurance for $6.3 billion in a move to focus on its healthcare businesses, the companies announced Thursday.

The acquisition of Cigna’s group life, accident, and disability insurance business, first announced a year ago first adds about 3,000 employees and more than nine million customers to New York Life’s “portfolio of strategic businesses,” the companies said.

Cigna said it expects to realize $5.3 billion in “net after-tax proceeds” and “expects to utilize the proceeds primarily for share repurchase and repayment of debt,” the company said in a filing on Thursday with the U.S. Securities and Exchange Commission. Cigna has said it will also use proceeds to pay down debt accumulated from its $67 billion acquisition of the pharmacy benefit manager Express Scripts more than a year ago.

Cigna’s move is similar to what Aetna did in 2007 agreeing to sell its life and disability business to The Hartford Group for $1.45 billion in cash.

“This acquisition, the largest in our company’s history, reinforces our financial strength by generating capital that can contribute to our surplus, dividends, and earnings,” New York Life Chairman and CEO Ted Mathas said Thursday in a statement. “We are excited to welcome to New York Life our new employees and the millions of new customer relationships that we will gain through this milestone transaction. We look forward to building on our leading group benefit solutions market position in the years ahead.”

Meanwhile, Cigna is focusing on its health offerings to consumers, employers and those insured by Medicaid and Medicare. Cigna is in a race with rival health insurance companies like UnitedHealth Group, Anthem, Humana and CVS Health’s Aetna health insurance business to grow its business administering health benefits for seniors as more flock to Medicare Advantage plans.

For its battles ahead, Cigna will need cash from the New York Life divestiture as it competes with rivals into the business of providing healthcare services.

Patoma Admin by — January 7, 2021 in Insurance 0

Swiss Re Corporate Solutions announces that it has received a direct insurance authorisation from the South African joint regulators Prudential Authority and Financial Sector Conduct Authority. Located in Johannesburg and fully operational, Swiss Re Corporate Solutions Africa offers customers in South Africa the full range of its products, including non-traditional risk solutions, as well as its long-term capacity and underwriting expertise.

Swiss Re Corporate Solutions Africa will underwrite some of the largest and most complex risks in South Africa across a broad spectrum of industries. With a focus on mid- and large-sized corporate customers, the company provides commercial insurance services primarily in the Property, Engineering & Construction, Energy (Operational Power including Renewable Energy & Operational Mining), Casualty, Bank Trade & Infrastructure, Surety and Financial & Professional Liability lines of business. The company also offers Innovative Risk Solutions, which can be tailored to a customer’s unique exposures.

“This direct insurance licence helps us strengthen our presence and further expand our offerings in South Africa,” said Fred Kleiterp, CEO Europe, Middle East & Africa at Swiss Re Corporate Solutions. “It is evidence of our strong commitment to this important market and underlines our ambition to be a sustainable partner to our customers and brokers in the region.“

“Our market partners in South Africa will continue to benefit from our strong lead capabilities, innovative solutions and financial strength,” said Michelle Oosthuizen, Head South Africa at Swiss Re Corporate Solutions. “Our own licence will enable us to better support our customers and brokers and build a sustainable, long-term business in South Africa.”

Swiss Re Corporate Solutions established operations in South Africa in 2015. To date it has operated in the country as Swiss Re Corporate Solutions Advisors South Africa, a licenced Financial Services Provider (reference no. 45661) binding direct commercial insurance business through a binder agreement with Guardrisk Insurance Company Ltd.

Patoma Admin by — January 7, 2021 in Insurance 0

By Favour Nnabugwu
Continental Reinsurance Plc has announced the appointment of Mr Ogadi Onwuaduegbo as its new Regional Director and Mr Nkwenti Njah for Regional Director and Life Manager for English speaking (Anglophone) countries in West Africa, effective from January 2021.
In lieu of this recent appointment, Mr Ogadi takes over the helm of affairs from Mr Shola Ajibade, whose 5-year employment contract will elapse by the end of December 2020.
Mr  Ogadi is an insurance expert with more than ten years’ experience in Nigeria and the UK.  He is also a Chartered Insurer, Insurance Institute of London.  He has worked for reputable organizations including Marsh Limited, London and Afro-Asian Insurance Services, London where until most recently he held the role of Senior Broker and Business Producer for Nigeria.
In the same vein, Nairametrics gathered that Mr Nkwenti Njah has recently joined the Lagos team as Head of Life and Health Operations for Anglophone countries in West Africa. He replaced Mr Olaolu Omifare who retired after 24 years of active service to the company.
Nkwenti Njah holds a Master’s degree in Actuarial Science from the University of Lisbon, Portugal and a Master’s degree in Economics from the University of BUEA, Cameroon. He has acquired 14 years of experience in risk management, actuarial, finance, accounting and auditing.
Commenting on the appointment of Mr. Ogadi, the Group Managing Director of Continental Reinsurance Plc, Dr. Femi Oyetunji said: “We have selected Ogadi to accelerate our ongoing strategy for Anglophone, West Africa, the region of our corporate genesis.  We still see significant growth opportunities that require an emphasis on advisory skills in underwriting and claims handling, risk assessment, and relationship management – all of which were factors that led to Ogadi’s selection.”
Accepting his appointment, Mr. Ogadi stated that: “I join Continental Re at an opportune moment in its journey.  I am happy to pick up the pace in executing the current strategy in line with the Company’s value proposition for claims settlement excellence.’’
Continental Reinsurance Plc was established on the 24th of July, 1985 as a private reinsurance company. It changed to its present status of being a composite reinsurer in 1990.
Inline with its goal of becoming a recognized leading insurance company in Africa, it converted to a public limited liability company in 2000, and recapitalised to N10 billion in 2007.
It subsequently got listed on the Nigerian stock Exchange in the same year (2007).
In 2019, the firm restructured and its 100% stake was acquired by the parent company, CRe African Investment Limited, leading to its delisting from the NSE.
Patoma Admin by — December 28, 2020 in Insurance 0
LIoyd’s opens European Union Headoffice

Lloyd’s, the insurance and reinsurance market, officially opened Lloyd’s Brussels, its post-Brexit headquarters in the European Union.

Lloyd’s Brussels is Lloyd’s first Europe-wide operation and will bring Lloyd’s expertise closer to its customers and partners in Europe, Lloyd’s said in a statement. The company has an executive committee and board with 50 staff in Brussels as well as 45 other employees across Europe.

Lloyd’s is ready for Brexit with Lloyd’s Brussels now officially open for business,” commented Lloyd’s Chairman Bruce Carnegie-Brown.

“Our decision to set up an insurance company in Brussels has provided certainty to our partners and customers throughout Europe, reassuring them that they can continue to benefit from Lloyd’s specialist expertise and financial security post-Brexit,” he said, noting that Lloyd’s Brussels is now placing and processing European risks.

“Now that Lloyd’s Brussels is operational, we are looking forward to the new opportunities that we will have to grow our business with European customers through a locally staffed, locally regulated and locally capitalized insurer,” he added.

“By using electronic placement and digital data capture, Lloyd’s Brussels offers its partners in Europe the very best that Lloyd’s has to offer in an easily accessible and cost-effective way,” he affirmed.

Lloyd’s Brussels (Lloyd’s Insurance Co. S.A.) is a subsidiary of Lloyd’s with 19 European branches, working with over 400 coverholders and 40 Lloyd’s brokers across Europe. It was set up to ensure that customers and partners in the European Economic Area (EEA) continue to have access to Lloyd’s world class services and expertise, while also facilitating continued growth and further digital transformation.

  1. Lloyd’s Brussels writes all non-life risks, as well as facultative and non-proportional excess of loss treaty reinsurance, and since the beginning of November has started accepting and processing EEA risks with inception from Jan. 1, 2019.
Patoma Admin by — December 26, 2020 in Insurance 0

By Favour Nnabugwu

In an effort to protect themselves from the financial burden made by medical bills left unpaid by tourists, more and more countries are now requiring visitors to show proof of travel insurance before being allowed to enter. 

Travel insurance is a type of coverage that helps protect you if your vacation or business travel plans change. It may also provide medical coverage for emergencies that occur outside of your network.
 
Yes, for many of the countries that require travel insurance for entry, there are travel insurance kiosks/offices that offer travel insurance for those who are ill-prepared.
It is better, however, if you get the proper travel insurance before you leave for your trip.
 
A travel visa does not replace travel insurance. Many of the countries that require travel insurance for entry also require a valid passport and an entry visa
 
Twenty-four countries now impose a travel insurance including Covid-19 treatment fees on travellers. They are required to benefit from such coverage when travelling to the following destinations:

China, Russia, Algeria, Cuba, Argentina, Aruba, Brazil, Bahamas, Chile, Costa Rica, Dominican Republic, Ecuador, Jordan, Lebanon, Jamaica, Namibia, Nepal, Paraguay, Pakistan, Seychelles, South Africa, Thailand, Sint Maarten (NL), Ukraine.

Other countries such as Dubai or French Polynesia do not impose a travel insurance yet strongly recommend it.

Some airlines are working with insurance companies to integrate Covid-19 risk in their coverage.

 

 

Patoma Admin by — December 24, 2020 in Insurance 0

European Commission (EC) has launched a 5months Phase II competition investigation before it will approve or reject the proposed $30bn Aon acquisition of Willis Towers Watson (WTW),

The broker said it expected a full competition review of the deal, and believes its current completion schedule for the first half of 2021 will be met. The EC has until 10 May to deliver its verdict.

Opening the in-depth probe, EC competition commissioner Margrethe Vestager said the investigation will “assess carefully whether the transaction could lead to negative effects for competition, less choice and higher prices for European customers in the commercial risk brokerage market”.

The EC’s initial review raised several concerns and the EC said it could not approve the merger without further investigation.

The EC said it is concerned that bringing the two brokers together “could significantly reduce competition” in commercial broking, reinsurance broking and retirement services for commercial clients.

In an initial market probe, the EC identified a number of concerns, particularly when it comes to the supply of commercial broking services to large multinational clients that depend on high-level expertise.

It said multinational broking services for P&C, financial and professional services, credit and political, cyber and marine risks would be most affected by combining Aon and WTW.

It added that the broking services to commercial clients of all sizes for aerospace manufacturing risks could also be negatively impacted.

“Aon and Willis Towers Watson are two of the very few brokers that are able to provide these services on a multinational scale,” the EC said. It noted that Aon and WTW did not submit commitments during the initial investigation, which closed yesterday, to address the EC’s preliminary concerns.

Aon said: “The Phase II review is a common next step in the review process for a transaction of this size and complexity under the EU Merger Regulation, and the firm remains on track to close the combination in the first half of 2021.”

But it is confident about a positive outcome from the review and will work with the EC during the process.

The Aon/WTW deal was announced in March this year and was approved by shareholders of both firms in August.

Patoma Admin by — December 23, 2020 in Insurance 0
Continental Re boss tasks SMEs on “Must have insurance policies”

By Favour Nnabugwu

Operators in the Small and Medium Enterprises (SMEs) sector in Nigeria have been urged to take up insurance policies that can help them to continue operating in an uncertain and extreme times.

Dr. Femi Oyetunji, the Group Managing Director of Continental Reinsurance Plc, made the call during Access Bank Plc and Coronation Insurance Plc’s webinar themed ‘ Managing Business Risks at a Time of Uncertainty ‘

He identified the following top SMEs business risks are :
* Keyman
* Currency
* Regulatory
* Property damage
* Reputational risks,
* Business interruption
* Supply chain , including
*Cyber risks
* Fraud”

He emphasizes on the need for Keyman policy, saying ” for most SMEs, everything revolves around a person, not necessarily the business owner. It could be the master baker in a bread industry.

The keyman knows everything about the company in his head, and tomorrow he may decide to leave, and what would you do if he suddenly left?

“So, be sure that if anything happen either the keyman suddenly walked away or the death of the owner, you still want to be able to generate income. So, be sure to take up keyman insurance,” he said.

Further, he urged the business owners, to consider” diversify your products and your locations, and instead of importing the raw materials for your product, consider local content that you can use for substitute, because you don’t want to be exposed to a particular source, and in terms of the transfer of money and to be sure you can deliver your product to customers. ”

On Currency Risk, he noted : ” You can’t transfer this risk . It is best to have zero tolerance for the regulator,and be a good business person .

” Property Damage: Don’t cut costs at the point you need it most. The best thing is for you to locate your business where it can be protected, such as in a class – A rated office facility with fire extinguishers. Although, it may be more expensive, yey it is beneficial.

” Cyber Risk: With technology comes cyber risks . Nevertheless, you can invest in modern technology for production , packaging and delivery of your product, such as bread.”

He urged insurance practitioners, not to just sell their products to SMEs, rather, our number one objective is risk management ; we want to sell our products after we have work with you to reduce your exposure to risks as much as possible.

“So, insurers should look at the risks, and what the other options are to transfer the risk to another entity. The entity can come in various forms- reinsurance companies, derivatives, and linked securities,” he said.

Patoma Admin by — December 23, 2020 in Insurance 0

The National Insurance Commission has thrown its weight behind Bank – Assurance model, an initiative of Access Bank Plc and Coronation Insurance Plc, for the Small and Medium Enterprises (SME’s) sector in Nigeria.

“The Bank Assurance scheme aligns with the campaign of the Commission, in terms of financial education and inclusiveness, and it will give the insuring public an opportunity to be able to get enlightened as to what insurance products they need to have at any point in time to protect their assets, said Mr. Sunday Thomas, Commissioner for Insurance (NAICOM).

In a keynote, during the company’s webinar themed ‘ Managing Business Risks at a Time of Uncertainty’ the Commissioner urged the insuring public, especially small business owners, to take up insurance products
in the management of their businesses.

“It is good to have a good risk management framework as well as be able to manage our insurances and assets. Many are left with the option of cutting cost, however not all cost-cutting will measure success and some might even end up hurting our businesses”

“As business owners and as businesses spring up, we must ensure that we put the right processes in place in trying to manage our assets and ensure that we have more strategic thinking”.

“Risk is part of our business endeavours and the best thing is to evaluate and see what part of the risk you can transfer. The insurance industry has proven its relevance in the affairs of the economy”, he said.

He commended Coronation Insurance Plc collaboration with Access Bank Plc, saying that their partnership had come to alien with the commission’s campaign of financial education and inclusiveness.

Earlier in his presentation, the Group Managing Director of Continental Reinsurance, Dr. Femi Oyetunji, stated that risk is anything that brings uncertainty into the achievement of objective.

Represented by Mr. Taiwo Adeoyin, Technical Advisor to the Commissioner, he said, “At this time we are in now, what comes to the mind of everyone is how do I reduce cost, how do I reduce the amount of the expenses I incurred as a business, because there are high inflation and recession.

However, the rationality paradox theory tells us that sometimes, what we gain in terms of reducing costs could even be more in terms of what we lose.
” You could say that , Oh, this is not the time to take up insurance, this is not the time to insure some assets, but I tell you that at the end of the day, you might end up eating down into your portfolio and into your bottom line, to be able to find your feet in sustainability.

“At this point in time, it is good to reduce costs but in terms of insurance, we should ensure that all our assets are adequately insured. It’s also important to have a good management framework and be able to manage our insurance assets.”

Mr. Roosevelt Ogbona, Deputy Managing Director, Access Bank Plc , while noting that year 2020 has proven to be very uncertain and unfriendly year to everyone inrespective of the indistry or economic level within the market, said that the bank decided to partner with Coronation Insurance, to evolve the Bank Assurance scheme for the purpose of ” fulfillment of our promise to our customers, that we want to be more than a bank to you.

We want our customers to experience the best of underwriting and claims experience. “I believe that this partnership makes that possible. Coronation is a natural partner for us. First, because of our history we have just shared, and more importantly, it meets all the criteria that we wanted in an insurance partner”.

First, the speed of response and the level of customers that Coronation Insurance brought to the table .Second, and more critically, its financial strength and capitalization of the company.

We believe that by coming together, “We would define and set new standard for quality service delivery within the insurance industry.
More importantly, we will alleviate the level of insurance services to the Micro, Small and Medium Enterprises, MSMEs., matching those that we saw within the banking sector, and to propel the industry to what it is to be – a bench mark for service within the Nigerian space,” he sai

Another speaker, Mr. Omotayo Gbede, Managing Partner, Crowns & Lyord, a chartered Accoutant firm, also told the SMEs operators, to use the Bank Assurance to boost their business success.

In a discourse, “How Inflation could impact on your business ‘, he noted:
“2020 is a year that the like may not come in a long time. It has brought us to the reality that we must always be on our feet. We didn’t plan for inflation and increase in foreign exchange and interest rates”.

“We didn’t plan for a lot of things and yet we are in it, and who are the most impacted? They are the SMEs, because of their lower financial capacity, and their reliance on keyman who may be the owner of the business.”

He added that we are in a New normal , and without effective risks management, it will be difficult for any company t

Mrs. Yinka Adekoya, the Managing Director of Coronation Insurance Plc, concluded the webinar and said, “We hope the webinar has been impactful, and will help you in planning for 2021, and the uncertainty we all face.
“We are extremely excited at this transformational Bank Assurance partnership with the Access Bank, and we hope it will establish us at the point of reference in the insurance industry in Nigeria, and Africa.

Patoma Admin by — December 21, 2020 in Insurance 0