Weekly Articles
Commercial Lines
A&E Insurance Market Grows Amid Rising Risks, Claims Costs - Risk & Insurance : Risk & Insurance
The architects and engineers (A&E) professional liability insurance market saw its fourth consecutive year of premium growth in 2024, driven by increased billings, new policies, and higher premium rates. However, insurers are facing rising claim severity due to economic and social inflation, increased legal costs, and concerns over AI-driven design solutions impacting future risks.
Florida Reforms Bear Fruit as Premium Rates Stabilize - Triple-I Blog
Florida's recent legislative reforms have helped stabilize the property and casualty insurance market by reducing claims-related litigation and slowing premium rate increases. Key measures, such as eliminating one-way attorney fees and assignment of benefits (AOB), have led to more insurers re-entering the market and lower reinsurance costs for carriers.
Wildfire, Hurricane Rebuilding Efforts Impeded By Tariffs: APCIA - Carrier Management
Arthur J. Gallagher & Co. has agreed to acquire insurance brokerage Woodruff Sawyer for $1.2 billion, enhancing its capabilities in management liability, construction, real estate, and cyber services, particularly on the U.S. West Coast. Founded in 1918, Woodruff Sawyer operates 14 U.S. offices and one in the U.K., serving middle and large-market clients with commercial property/casualty products, employee benefits solutions, and risk management services; its over 600 employees will join Gallagher under the leadership of Peter Doyle, head of Gallagher's U.S. retail property/casualty brokerage operations.
Ascot launches management liability brand | Insurance Business America
Ascot has launched AscotEXEC™, a new management liability brand offering coverage for public, private, and not-for-profit organizations across commercial and financial sectors. This expansion reflects Ascot's commitment to enhancing its liability solutions, with new product offerings set to debut at the upcoming PLUS D&O Symposium.
Worries Over Supply Chain Risks Turn Out to Be True So Far in 2025 | Engineering News-Record
In early 2025, supply chain disruptions have escalated due to new U.S. tariffs and geopolitical tensions, leading to increased material costs and delivery delays. These challenges have heightened business interruption risks, now ranked as the second-highest concern for engineering and construction professionals, following cybersecurity threats.
Bayer tells US it could halt Roundup weedkiller sales over legal risks | Reuters
Bayer has informed U.S. lawmakers that it may cease sales of its glyphosate-based Roundup weedkiller unless stronger legal protections against product liability litigation are established. The company has already paid approximately $10 billion to settle claims alleging that Roundup causes cancer, with about 67,000 additional cases pending. Bayer argues that since the U.S. Environmental Protection Agency and other global regulators have deemed the product safe, plaintiffs should not be able to sue under state laws. Without regulatory clarity, Bayer is considering exiting the U.S. market for this product.
Product Liability Update - February 2025 | Foley Hoag LLP - JDSupra
The February 2025 Product Liability Update highlights key legal rulings, including a Massachusetts court upholding a failure-to-warn verdict against Philip Morris and a New York federal court limiting broad discovery requests in orthopedic product litigation. These cases emphasize the evolving landscape of product liability law and the need for precise legal strategies in litigation.
P&C insurers brace for rising catastrophe risks | Insurance Business America
The P&C insurance industry faces growing challenges from increasing natural catastrophe risks, including hurricanes, wildfires, and earthquakes, with insured losses surpassing $50 billion in recent years. While large insurers leverage reinsurance and diversification, smaller carriers remain vulnerable, especially as social inflation, rising replacement costs, and economic uncertainty drive up claims’ severity and premiums.
Emerging Risks
AM Best's inaugural survey of 41 global cyber insurers, representing $7.9 billion in premiums, reveals that 73.1% of cyber policies cover small businesses with less than $10 million in annual revenue. This concentration raises systemic risk concerns, as many of these SMEs may rely on common cloud services, making a single outage or attack potentially impact multiple policyholders simultaneously.
Microsoft Warns of Chinese Hackers Spying on Cloud Technology - Claims Journal
Microsoft has identified an advanced Chinese hacking group, dubbed Silk Typhoon, conducting supply-chain attacks targeting remote management tools and cloud applications to spy on various U.S. and international organizations. In late 2024, the group breached state and local government entities and technology firms, seeking information on U.S. government policies and law enforcement investigations, and was implicated in a December hack compromising over 400 computers at the U.S. Treasury Department.
Third-Party Risk Drives Surge in Cyber Claims, Incurred Losses - Risk & Insurance : Risk & Insurance
According to a report by Resilience, third-party risks, including ransomware and vendor outages, accounted for 31% of all cyber insurance claims in 2024, with 23% resulting in incurred losses—a significant increase from 0% in 2023. Ransomware remained a predominant issue, comprising 61% of claims with losses, while transfer fraud incidents rose to 18% from 14% in the previous year.
Best’s Commentary: Prolonged U.S. Tariffs Likely to Weigh on Insurers’ Loss Costs – AM Best
AM Best warns that new U.S. tariffs on Canada, Mexico, and China will negatively impact the insurance industry, particularly homeowners’ and auto lines, due to rising costs of vehicle repairs and building materials. Economic uncertainty, inflation, and potential supply chain disruptions may also pressure life insurers and insurers' investment portfolios.
Workers Comp
With Unrevealed Previous Injury, Later Claim Cannot be Denied, Georgia Court Says - Claims Journal
The Georgia Court of Appeals has ruled that employers cannot deny workers' compensation claims based on undisclosed prior injuries if they were aware of the previous injury and chose to retain the employee. This decision stems from the case of McKay vs. Inalfa Roof Systems, where the court found that the employer's knowledge and continued employment of the worker waived their right to use the "Rycroft defense" to deny benefits for a subsequent injury.
Frito-Lay Employee’s Injury in Hoops Tourney Out of Bounds for Workers’ Comp - Claims Journal
The Virginia Workers' Compensation Commission (VWCC) denied benefits to a Frito-Lay forklift driver who injured his Achilles tendon during a voluntary, off-duty basketball tournament. The VWCC determined that his participation did not occur within the scope of employment, as the event took place off-premises, was not mandated by the employer, and did not provide substantial direct benefits to the company beyond general employee morale.
Litigation & Mass Torts
J&J Spars With Foes of $9 Billion Talc Cancer Plan as Trial Ends - Claims Journal
Johnson & Johnson (J&J) has proposed a $9 billion settlement to resolve over 15 years of litigation involving claims that asbestos-contaminated talc in its baby powder caused cancer. While J&J asserts this bankruptcy plan is the most viable solution, opponents argue that the pre-bankruptcy voting process was flawed and that the company is inappropriately leveraging Chapter 11 protections despite its financial stability.
Labor Department Investigating Nvidia, Amazon-Backed Startup Scale AI - Insurance Journal
The U.S. Department of Labor is investigating Scale AI, a data labeling startup backed by Nvidia, Amazon, and Meta, for compliance with the Fair Labor Standards Act. Initiated nearly a year ago, the probe examines the company's pay practices and working conditions; Scale AI asserts it has cooperated fully and maintains that contributor feedback is overwhelmingly positive.
Lobster Fishermen Can Sue Environmental Group for Defamation, Judge Says - Claims Journal
A federal court has ruled that a group of Maine lobster fishermen can proceed with a defamation lawsuit against the Monterey Bay Aquarium's Seafood Watch program. The lawsuit challenges the program's 2022 decision to place U.S. and Canadian lobster on its "red list," advising consumers to avoid these products due to potential threats to the endangered North Atlantic right whale from fishing gear entanglements.
US Indicts Slew of Alleged Chinese Hackers, Sanctions Company Over Spy Campaign - Claims Journal
On March 7, 2025, the U.S. government announced indictments against 10 individuals. Eight associated with Anxun Information Technology (i-Soon) and two with the Chinese Ministry of Public Security—for allegedly conducting a prolonged espionage campaign targeting entities such as the U.S. Defense Intelligence Agency, the Department of Commerce, and foreign ministries of Taiwan, South Korea, India, and Indonesia. The Treasury Department also sanctioned Shanghai Heiying Information Technology Company and its founder, Zhou Shuai, for allegedly stealing and selling data from critical U.S. infrastructure networks, with some of this data reportedly acquired by previously sanctioned hacker Yin Kecheng.
Insurance Market
American Family Insurance reports 2024 financial results - American Family Insurance
American Family Insurance reported a revenue increase to $20.0 billion in 2024, up from $17.1 billion in 2023, primarily due to rate actions and higher investment income.
Arthur J. Gallagher to Acquire Woodruff Sawyer for $1.2B - Insurance Journal
Arthur J. Gallagher & Co. has agreed to acquire Woodruff Sawyer for $1.2 billion, expanding its presence in the middle-market insurance sector. Woodruff Sawyer, established in 1918, offers commercial property/casualty products, employee benefits solutions, and risk management services from 14 U.S. offices and one in the U.K.
Beazley results for year end 31 December 2024
Beazley reported record profits of $1.42B, a 13% increase from 2023, alongside 10% premium growth to $6.16B. The combined ratio rose to 79%, and $500M in share buybacks was announced. Despite $80M in California wildfire losses, Beazley remains well-capitalized, focusing on strategic growth and underwriting resilience.
The Baldwin Group Announces Fourth Quarter and Full Year 2024 Results
The Baldwin Group reported a 16% year-over-year revenue increase to $329.9 million in Q4 2024, with organic revenue growth of 19% and a 38% rise in adjusted EBITDA to $63.2 million. Despite a GAAP net loss of $41.1 million for the year, the company saw strong operational performance, expanded margins, and expects significant free cash flow growth moving forward.
Lancashire Holdings anticipates net losses between $145 million and $165 million from the recent Los Angeles wildfires. Despite these losses, the company's Chief Underwriting Officer (CUO) has confirmed that Lancashire still has substantial aggregate reinsurance coverage remaining, ensuring continued protection against future large-scale catastrophe events.
Liberty Mutual q4-2024-earnings-release.pdf
Liberty Mutual reported strong financial performance in Q4 2024, with net income rising to $1.239 billion and a combined ratio of 91.5%, the lowest in 20 years. Despite a 6.9% decline in net written premiums for the quarter, the company's disciplined underwriting and expense management contributed to its profitability.
State Farm Stronger as Underwriting Losses Shrink—But Not in California - Carrier Management
State Farm reported a reduced underwriting loss of just over $6 billion for 2024, significantly less than the $13 billion and $14 billion losses in 2022 and 2023, respectively, primarily due to improved auto insurance performance. However, the company's California subsidiary, State Farm General, continues to face financial challenges, leading to a request for a 22% emergency rate increase to maintain its operations in the state.
Global insurance brands strengthen in value amid challenges | Insurance Business America
According to a recent report by Brand Finance, the top 100 global insurance brands experienced a 9% year-on-year increase in brand value, demonstrating resilience amid challenges such as climate change. Notably, Ping An Insurance maintained its position as the most valuable insurance brand at $33.6 billion, while Allianz saw a 9% rise to $26.7 billion, and Nissay/Nippon Life Insurance emerged as the fastest-growing brand with a 94% increase to $9.2 billion.
According to a recent survey by The Jacobson Group and Aon, 88% of insurance carriers plan to maintain or expand their workforce in 2025, with 55% intending to increase staff, reflecting a positive industry outlook. This anticipated growth is primarily driven by expectations of increased business volume and expansion into new markets.
Trust Issues Hinder Industry Efforts to Close Protection Gap, Survey Shows - Claims Journal
A recent survey of over 500 insurance executives from 17 countries revealed that more than 78% feel an ethical obligation to address the global protection gap—the disparity between insured and uninsured losses across various sectors. However, 76.5% identified waning consumer trust as a significant barrier to closing this gap, underscoring the need for greater transparency and responsible innovation within the industry.
Women continue to make up 59% of the U.S. insurance workforce, with notable increases in underwriting roles, where representation has grown to 61.9%. However, they remain underrepresented in leadership, holding less than 7% of CEO positions and only about 31% of agency principal or owner roles.
Reinsurance Market
Flat mid-year reinsurance pricing could catalyse more ILS capital: Autonomous - Artemis.bm
Analysts at Autonomous Research suggest that stabilizing reinsurance pricing at mid-year renewals could attract additional capital to the insurance-linked securities (ILS) market. This potential influx may enhance capacity and competitiveness within the reinsurance sector.
Fitch Ratings suggests that a public-private reinsurance scheme could strengthen EU insurance markets by sharing the financial burden of increasing climate-related disasters. With only 25% of recent natural catastrophe losses insured, EU regulators propose a risk-based premium system and a disaster-relief fund to enhance coverage and resilience.
Lancashire's GPW up 11% in 2024 with growth in property and specialty reinsurance - Reinsurance News
Lancashire Holdings Limited reported strong financial results for the year ending December 31, 2024, with gross premiums written increasing by 11.3% to over $2.1 billion, driven by growth in property and specialty reinsurance lines. The company achieved a profit after tax of $321.3 million, reflecting a return on equity of 23.4%, and declared total dividends of $294.3 million, including a final ordinary dividend of $0.15 per share and a special dividend of $0.25 per share, subject to shareholder approval.
Fourth quarter 2024 results | SCOR
SCOR reported a net income of €233 million for Q4 2024, surpassing analyst expectations of €195 million, driven by strong performances in its Property & Casualty (P&C) and Life & Health segments. The company proposed an annual dividend of €1.80 per share and maintained a robust solvency ratio of 210%, reflecting its solid financial position.
Technology and Innovation
DXC and ServiceNow partner to transform insurance workflows with AI - Reinsurance News
DXC Technology and ServiceNow have expanded their strategic partnership to introduce DXC Assure BPM, an AI-powered solution designed to modernize insurance operations. This platform integrates DXC's extensive insurance expertise with ServiceNow's AI capabilities to automate processes across the entire policy lifecycle, aiming to reduce operational costs by up to 40% and enhance customer experiences.
The cyber insurance market is increasingly exploring alternative risk transfer (ART) solutions, such as insurance-linked securities (ILS) and cyber catastrophe bonds, to manage growing cyber risks. While early issuances show promise, challenges like high capital costs, policy standardization issues, and limited investor participation must be addressed for broader adoption.
Gallagher Re introduces Cyber Risk Adjusted Rating Index | Insurance Business America
Gallagher Re has introduced the Cyber Risk Adjusted Rating (RAR) Index, which tracks reinsurance pricing trends while accounting for shifts in underlying cyber risk. The index highlights market volatility, with rising prices from 2020 to 2023 followed by declines in 2024-2025, as cyber reinsurance buyers secure improved terms and lower risk-adjusted rates.
Lemonade Embraced AI in Claims From Inception, And Is Still Eying The Next Tech – Claims Journal
Lemonade has leveraged AI since its 2015 inception, automating 55% of claims and achieving a 95% digital FNOL rate. Chief Claims Officer Sean Burgess emphasizes AI’s role in efficiency, customer satisfaction, and cost reduction, particularly in pet insurance. Employees embrace AI, and metrics include accuracy, service quality, and claim cost efficiency.
WTW unveils new AI-driven monitoring tool for insurers - Reinsurance News
WTW has launched Radar Vision, an AI-driven performance monitoring tool designed to enhance insurers' decision-making across underwriting, claims, and pricing functions. Building upon WTW's existing Radar platform, Radar Vision leverages artificial intelligence to provide early insights into factors such as inflation trends, competitor actions, claims, and customer behavior, enabling insurers to improve underwriting profitability, identify new growth opportunities, and reduce operational costs
Revealed – $480 billion could be saved by carriers | Insurance Business America
A recent ACORD study reveals that only 25% of insurance carriers have fully digitalized their operations, with over 10% lacking significant digital integration. The report estimates that adopting artificial intelligence (AI) could reduce expenses for property and casualty insurers by up to 14.6%, translating to potential annual savings exceeding $480 billion industry-wide.
People Moves
Acrisure Re Corporate Advisory & Solutions Expands Capabilities with Senior Hires
Acrisure Re’s Corporate Advisory & Solutions (ARCAS) division announced key leadership appointments. Lauren Johnson returns as Head of Funds at Lloyd’s (FAL), Assad Negyal becomes Head of Pricing, David Ryan leads Exposure Management, and Lucas He joins as VP of Retrospective Solutions. CEO Simon Hedley highlighted ARCAS' strategic growth and expertise expansion.
Emma Woolley appointed CEO of AIG Talbot
Talbot Underwriting, AIG’s Lloyd’s insurer, has appointed Emma Woolley as CEO, effective March 2025. Woolley, previously AIG’s Global Head of Marine, brings extensive experience from Lancashire Insurance, Canopius, and Swiss Re. She replaces Chris Rash, continuing Talbot’s strategic growth within the Lloyd’s marketplace across key global offices.
Apollo appoints Gina Gill as chief information officer – Apollo Group
Apollo, the innovative integrated insurance group, has appointed Gina Gill as Chief Information Officer (CIO). In her new role, Gill will oversee Apollo's technology strategy and digital transformation initiatives.
Cowbell chief claims officer Le to exit Zurich-backed insurtech | Cyber Risk Insurer
Theresa Le, Chief Claims Officer at Cowbell Cyber, has resigned after a three-year tenure with the Zurich-backed insurtech. Her departure follows other senior exits over the past nine months, including the Chief Underwriting Officer, Chief Financial Officer, and Chief Marketing Officer.
Everest adds John Howard to Board of Directors - Reinsurance News
Everest Group Ltd has appointed John Howard as an independent, non-executive member of its Board of Directors, effective immediately. Howard brings over three decades of diversified insurance and senior executive leadership experience to the role. His extensive industry knowledge is expected to contribute significantly to Everest's long-term growth and profitability
Lockton Re hires Aon's Eric Paire as Head of Capital Advisory - Artemis.bm
Lockton Re has appointed Eric Paire as its Head of Capital Advisory. Paire previously served as Head of Capital Advisory at Aon for nearly seven years and was Head of Global Partners & Strategic Advisory EMEA at Guy Carpenter before that.
Markel Specialty strengthens SE Excess Casualty leadership team - Reinsurance News Markel Specialty has strengthened its Southeast Region's Excess Casualty leadership team by promoting Nan Fine to Managing Director, overseeing casualty lines, and appointing Hillary Warren as Manager for Commercial Wholesale Excess Casualty. This leadership realignment aims to streamline product delivery between Primary and Excess lines while enhancing strategic direction and wholesale relationships.
Miller establishes new M&A and Strategic Solutions Team
Miller has launched its M&A and Strategic Solutions (MASS) team, led by Andrew Johnson, Edwina Charlton, and Rupert Newman. The team specializes in transactional risk, tax, and contingent risk insurance, serving private equity, hedge funds, corporates, and law firms. This expansion strengthens Miller’s professional and financial risks capabilities globally.
Mt. Logan Capital Management hires Liew as Chief Analytics Officer, AUM hits $1.8bn - Artemis.bm
Mt. Logan Capital Management (MLCM), owned by Everest Group, has appointed Sun Siang Liew as Chief Analytics Officer to oversee portfolio management and actuarial analytics. Meanwhile, MLCM’s assets under management have grown to $1.8 billion, reflecting its expanding market presence.
Nationwide Excess & Surplus launches Property Unit - Nationwide
Nationwide has launched a new Excess & Surplus (E&S) Brokerage Property unit, appointing industry veteran Tonya Courtney to lead the division. This strategic move aims to enhance Nationwide's capabilities in the E&S property market, offering specialized solutions to address complex property risks
Tokio Marine HCC President Schell to Retire After 50 Years in Insurance - Insurance Journal
Mike Schell, President of Tokio Marine HCC, will retire at the end of March 2025 after a distinguished 50-year career in the insurance industry, including 23 years with Tokio Marine HCC. Barry Cook, currently CEO of Tokio Marine HCC International, will assume the newly created position of Deputy CEO effective April 1, 2025.
W. R. Berkley Corporation Appoints Heath Kidd as Executive Vice President
W. R. Berkley Corporation appointed Heath Kidd as executive vice president. Kidd, a 30-year industry veteran, brings expertise in strategy, underwriting, risk control, and claims. CEO W. Robert Berkley Jr. expressed confidence in Kidd’s leadership. Berkley operates globally in insurance and reinsurance.
W. R. Berkley launches Berkley Embedded Solutions with Lloyd as President – Coverager
W. R. Berkley Corporation has launched Berkley Embedded Solutions, a digital-first insurance business delivering tailored products at the point of purchase. Stephanie Lloyd, a pioneer in embedded insurance, has been appointed president. The new venture integrates modern technology with Berkley’s underwriting expertise to enhance customer accessibility and engagement.
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