Property + Casualty

08/22/19

Could parametric insurance help narrow the insurance coverage gap? These case studies provided by Lloyd's risk insight team examine the need for a product that provides effective coverage with transparent claims service and automated responses to customer loss. With data indicating that a large percentage ($162.5bn in 2018) of global economic losses derived from natural catastrophes in the past 10 years were uninsured, the concept of “staying afloat" versus being “made whole" appears to be gaining popularity. Learn how parametric insurance can help manage risks ranging from earthquake damage to market volatility.

08/22/19

The use of drone technology in the construction industry can revolutionize the lifecycle of a project and provide a contractor with a competitive edge. With the significant increase in the usage of drones, it's important that contractors employ sound risk management strategies and analysis in order to protect their business. This article explores the benefits of utilizing drone technology, associated risks, and legislative issues, as well as insurance coverages to consider.

07/30/19

The hardening conditions experienced in casualty in the second quarter continue to deepen as we move into the third, in both primary and excess lines. However, despite overall market hardening and segment-level challenges, carriers still need to write business. Wholesalers and retailers that specialize and collaborate are best positioned to succeed in this challenging marketplace.

06/18/19

​As the market for habitational casualty insurance continues to harden, both primary and excess carriers are being more selective, raising prices and attachment points, and are increasingly unwilling to consider risks with claim-frequency issues. Given these conditions, insureds can potentially reduce their claims expenses by moving from a deductible to a self-insured retention (SIR) program. This article explains how an SIR works, the types of insureds that can benefit from taking control of their claims management, and the benefit of partnering with a TPA to handle the administrative component.

06/18/19

​As a result of significant storm-related losses in recent years, insurance companies are obligating policyholders to take on increased risk-sharing of storm losses via deductibles. In addition to the storm deductible categories of named storm, hurricane, flood, and wind/hail, policyholders must now contend with the newer convective storm deductible. This article explores the definition of convective storms, the importance of clear policy wording in the application of storm deductibles, and understanding specific risk concerns by location.

05/16/19

​Anti-stacking provisions are designed to ensure that an insurance company will not apply multiple sets of limits to a single loss event. These provisions can have a significant impact on claims and may be designed for application to intra-policy and inter-policy loss events as well as deductibles. Through various examples and scenarios, this article explains what anti-stacking provisions are, how to identify them in a Property, Casualty or Professional Lines policy, and what they mean to policyholders.

05/16/19

​The explosive growth of the sharing economy – businesses offering goods and services through digital platforms that match consumers and providers – presents tremendous opportunity for retailers to market insurance and risk management services to a new breed of businesses. However, the regulation of shared-services is complex, continuously growing and can vary at the state and local level. This article provides insight into the regulations and laws impacting insurance for this industry and key questions to ask when considering the right insurance program for your sharing economy customers.

06/18/19

As the U.S. economy continues to move forward, one of the fastest-growing industries is Logistics and Freight Forwarding. With more and more Freight Forwarding startups entering the space, it is becoming a highly competitive environment. Added services, such as Shipper’s Interest policies, can be a key differentiator and competitive advantage for a forwarder. This article provides insight into the benefits of offering a Shipper’s Interest policy and how it differs from a Cargo policy and other essential coverages.

04/25/19

Causation can play a key role in determining whether a claim is approved or denied, particularly as it relates to commercial property insurance coverage. According to the doctrine of efficient proximate cause, if a covered peril sets in motion a chain of events, the loss is covered. This article examines various concepts regarding causation and their implications, as well as the concurrent causation doctrine adopted by states that do not follow the doctrine of efficient proximate cause.

03/19/19

When a company suffers a loss to a fixed physical asset, such as when a fire damages a building, the insured may incur an interruption to their business which can result in the loss of income and the incurrence of expenses. This article examines how Business Income and Rental Value Income losses in a Property policy may treat depreciation after the damage or destruction of a fixed physical asset, numerous factors that impact the treatment, and how to mitigate claim disputes.

03/19/19

​With another hurricane season just a few months away, now is the time for retail brokers to ensure that they are aware of policy elements and language that can have a significant impact on coverage in the event of a hurricane or named storm loss. This article examines key issues and challenges that may affect coverage and how to address them in order to achieve the best coverage solution for your client.

03/19/19

In November 2018, the FDA released new guidance on how and why it will utilize its statutory power to mandate recalls under the Food Safety Modernization Act (FSMA). To adapt to the new requirements, companies face a financial burden related to improving technology and allocating appropriate labor. This article provides insight into the FSMA and the importance of an insurance policy that responds to government intervention and mandated recalls.

03/06/19

As we head deeper into the first quarter of 2019, one thing is clear: changes are coming to the insurance marketplace that buyers and brokers alike will experience as the year progresses. Carriers are feeling pain, not just in commercial auto and problematic property sectors, but across many other areas of property and casualty as well. This is leading to a reaction that we’ve already begun to see and that was recently highlighted at the 2019 Wholesale & Specialty Insurance Association (WSIA) Underwriting Summit.

02/19/19

Social engineers exploit human emotions, rather than using sophisticated software or hacking technology, to bypass the most iron-clad security measures. In the second part of our Social Engineering series, we identify examples of schemes employed by social engineers and how to design and implement comprehensive security practices to mitigate the risk of a loss.

02/19/19

​When the housing market crashed in the 2008, many people turned their secondary homes into income-producing properties. The need for specialized insurance for short-term vacation rentals was recognized with the introduction of online booking websites such as AirBnB. However, standard homeowners insurance policies provide minimal coverage for business activities in the home. This article identifies potential coverage gaps and how rental endorsements can address these coverage issues.

01/24/19

Changes in the alternative capital space and the London marketplace raise the stakes for retailers. In the Q1 update, our experts discuss the global reinsurance market and how to be well positioned to make use of alternative capital as well as how performance management at Lloyd's could impact capacity in 2019.

01/24/19

Increased regulations have made pure technological cyber-attacks more difficult and costly, causing cyber criminals to shift their focus to social engineering. Although traditional commercial crime policies contain a computer fraud and funds transfer fraud insuring agreement, courts have generally held that claims arising from incidents where the insured voluntarily transfers funds – many of which arise from social engineering – are not covered. This article examines key court rulings and how to fill in potential coverage gaps.