Reprints for Member companies are free upon login to the IRU Website.

A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

29 records found.

Title: Terrorism: Beyond The Destruction
Authors: Andrew E. Torr
Volume: 10  Number: 1  Issue: Winter 2003  Page: 49
Abstract:  This paper, dealing with the industry impact resulting from of the events of September 11, was written by Andrew Torr in the context of his participation in the intern program sponsored by the IRU. Based on recent developments, including passage of the federal Terrorism Risk Insurance Act, there are elements of this paper which may be somewhat out of date. Nevertheless, the editor and the IRU believe the quality and substance of Mr. Torr's presentation will be of significant interest to the Journal's readership.
Order Reprint - Download (Requires Login)

Title: The Calamity Y2K May Bring Reinsurers
Authors: Emily Canelo
Volume: 5  Number: 2  Issue: Winter 1997/1998  Page: 11
Abstract:  Defective or malfunctioning software programs and embedded semi-conductor microchips that haven't been updated to accommodate the change to the year 2000 could result in considerable litigation between mainframe customers and manufacturers, customers and software manufacturers, customers and retailers, government and so on. As claims begin to be filed under existing primary policies, particularly D&O, E&O, Commercial General Liability and Business Interruption, insurers and their reinsurers may sustain substantial losses that some experts have pegged at $300 billion to one trillion dollars.
Order Reprint - Download (Requires Login)

Title: The Catastrophe Bond Market 2005: Riding Out the Storms
Authors: Christopher M. McGhee
Volume: 13  Number: 3  Issue: Summer 2006  Page: 27
Abstract:  Catastrophe bonds have been described as “non- conventional” risk transfer solutions, but that moniker may soon be obsolete. In 2005, it became clear that catastrophe bonds have an important role to play in the risk transfer arena.
Order Reprint - Download (Requires Login)

Title: The Continued Development of Commutations in Live and Run-Off Markets
Authors: Mark Hayward, Chris Reichow
Volume: 16  Number: 4  Issue: Fall 2009  Page: 39
Abstract:  In this article, the authors discuss the growth of commutation as a tool and how it has evolved within the industry as a way to manage reinsurance assets and liabilities for their maximum potential. With the increased use of commutations, companies have also modified how they identify potential targets for commutation and the negotiation process. Nevertheless, within the changing landscape of commutations, differences remain in how companies approach a commutation simply based upon the country where a company is located.
Order Reprint - Download (Requires Login)

Title: The Current State of Catastrophe Modeling
Authors: Karen Clark
Volume: 16  Number: 3  Issue: Summer 2009  Page: 1
Abstract:  The turmoil within the market for credit default swaps - a financial tool similar to credit insurance - is intimately tied to the widespread asset devaluation and de-leveraging process roaring through the transatlantic economy. It is also similar, on a much broader scale, to the Lloyds LMX Spiral of the 1980s. In both crises, the problems were driven by misaligned incentives, intra-industry risk mitigation strategies that often pushed risks to new capital, underwriting models that caused some to view premiums as free money, and a reverberation of losses due to collateral obligations and counterparty defaults. This turmoil has prompted U.S. state, federal, and European policymakers to seek regulatory solutions, including the creation of a central counterparty system. In designing such regulations, however, policymakers should consider the lessons previously learned by the reinsurance industry in the aftermath of the Lloyds LMX Spiral for guidance.
Order Reprint - Download (Requires Login)

Title: The Effect of the Wallace & Gale Decision – A Potential for More Asbestos Disputes Among Insurers and Reinsurers
Authors: Andrew S. Boris
Volume: 12  Number: 2  Issue: Spring 2005  Page: 27
Abstract:  Although many have suggested that asbestos claims will diminish in importance in the years to come, insurers and reinsurers continue to struggle with the evolving nature of asbestos litigation. The recent Fourth Circuit decision In re: Wallace & Gale raises the prospect of even more insurer and reinsurer disputes and escalating administrative costs arising out of underlying asbestos claims.
Order Reprint - Download (Requires Login)

Title: The Emergence of Takaful and Retakaful Companies
Authors: Anne Foster
Volume: 15  Number: 4  Issue: Fall 2008  Page: 57
Abstract:  The market for takaful and retakaful the Islamic equivalent of insurance and reinsurance has seen rapid growth in recent years. This article looks at the reasons behind this growth, the challenges which the market faces and its future potential.
Order Reprint - Download (Requires Login)

Title: The Errors and Omissions Clause: The Duct Tape of Reinsurance?
Authors: David Newkirk
Volume: 13  Number: 2  Issue: Spring 2006  Page: 27
Abstract:  Errors and Omissions clauses arose in reinsurance treaties as a means of rectification of clerical errors in lengthy bordereaux. Despite the limited original function, various attempts have been made to use the clause too expansively. Some cedants have, for example, attempted to use the clause to justify late notice, cession of risks outside the scope of the reinsurance cover, pre-contractual non-disclosure, or increased amounts ceded. These efforts have been supported, in part, by variant language grafted on to the clause in some treaties. In addition, the clause is now sometimes seen in Excess of Loss treaties, where it has no logical place. By careful attention to the wording used, the clause can still serve the valuable function it originally served - correction of purely clerical errors.
Order Reprint - Download (Requires Login)

Title: The Evolution of Risk Retention Groups
Authors: Gary Osborne
Volume: 12  Number: 4  Issue: Fall 2005  Page: 21
Abstract:  This Article will examine the evolution of Risk Retention Groups from their beginnings in 1981 up to the present where the alternative industry is responding with some concern to the findings of the GAO study into the use and regulation of the 200 active RRG’s in the United States.
Order Reprint - Download (Requires Login)

Title: The Future of Solvent Schemes of Arrangement for Insurance Run-Off
Authors: Nicholas Bugler, Roger Loo, Peter A. Ivanick, Lynn Roberts
Volume: 13  Number: 1  Issue: Winter 2006  Page: 29
Abstract:  In the UK, solvent schemes are a popular and efficient way to bring finality to an insurer's run-off business. In June 2005, however, an insurer's solvent scheme was blocked by the English High Court, resulting in many insurers abandoning or momentarily suspending any such schemes they had been working on. This article discusses that blocked scheme in detail and its authors' opinion that there still remains a future for solvent schemes for insurers.
Order Reprint - Download (Requires Login)

Title: The History and Future of ILW Contracts
Authors: Enda McDonnell
Volume: 16  Number: 3  Issue: Summer 2009  Page: 17
Abstract:  An industry loss warranty (ILW) is a reinsurance contract that protects the buyer from catastrophic insurance losses. ILWs are also known as original loss warranties (OLWs) and market loss warranties (MLWs). ILWs are primarily used to protect against property risk, property catastrophe, marine, aviation, and satellite losses. The payout of ILWs is dependent on the total loss to the insurance industry arising from an event. ILWs are basically derivative or swap contracts except that they contain an ultimate net loss clause (UNL) which requires the buyer to incur a loss prior to making a collection under the contract. The UNL clause allows the buyer to receive favorable accounting treatment since the contract is considered a reinsurance contract and not an investment. Although the marketplace is smaller, it is possible to write ILW derivative contracts. The property catastrophe market is by far the largest ILW market. Nevertheless, the concepts described herein can also be applied to the property per risk, marine, aviation and satellite markets. This article provides an historical perspective on how the ILW market developed, it reviews the key elements of ILWs and the indices used to measure the original insured industry losses. The article also provides a list of historical losses, a review of how long it took them to develop in the US, buyer and seller motivations, types of ILWs - which includes examples of current pricing - and finally, it reviews current trends in the ILW market.
Order Reprint - Download (Requires Login)

Title: The Impact of Class Action Reform
Authors: Erin Nulty
Volume: 12  Number: 4  Issue: Fall 2005  Page: 37
Abstract:  Class action reform is now a reality. How will this “court reform” law affect the insurance industry?
Order Reprint - Download (Requires Login)

Title: The Impact of Late Notice on Excess Insurance Claims - New York Disposes of the Need to Show Prejudice
Authors: Donald E. Frechette
Volume: 5  Number: 2  Issue: Winter 1997/1998  Page: 63
Abstract:  The New York Court of Appeals has decided that excess insurance policies are, for purposes of the "no prejudice" rule, more similar to primary insurance contracts than reinsurance agreements. And as such, the court determined that excess insurance companies have the same vital interest in prompt notice as do primary insurers.
Order Reprint - Download (Requires Login)

Title: The IRU, Inc.: The Evolution of an Industry Force
Authors: IRU
Volume: 14  Number: 4  Issue: Fall 2007  Page: 69
Abstract:  This past Spring, the IRU celebrated its 40th anniversary as an organization which began as a loosely formed group of reinsurance practitioners interested in sharing industry experience, and which has evolved into an association of more than 60 companies with motivated professionals dedicated to enhancing the reinsurance experience and expertise of its members.
Order Reprint - Download (Requires Login)

Title: The Regulation of Reinsurance: An Analysis of Proposed Legislative Changes
Authors: Sharon E. Sonnett
Volume: 13  Number: 3  Issue: Summer 2006  Page: 43
Abstract:  Various state and federal lawmakers are considering the implementation of significant changes to the regulatory scheme of reinsurance in the U.S. The proposals are not entirely consistent, however, and many are being met with considerable opposition. This article examines some of the more controversial proposals.
Order Reprint - Download (Requires Login)

Title: The Reinsurance Underwriting Audit: An Essential Process
Authors: Bina T. Dagar
Volume: 14  Number: 1  Issue: Winter 2007  Page: 63
Abstract:  This article contains lessons learned and skills honed over several years of performing reinsurance underwriting audits. Every audit is different in that each has different objectives to fulfill. But there are certain commonalities in all of them. Organizing before, during, and after the audit are key to a successful performance. A reinsurance underwriting audit serves a vital function to gain familiarity with the cedants book of business and is an important tool in risk mitigation.
Order Reprint - Download (Requires Login)

Title: The Rescue of AIG and the Impact on Insurance Regulation
Authors: David W. Alberts, Vikram Sidhu
Volume: 16  Number: 3  Issue: Summer 2009  Page: 47
Abstract:  In mid-September 2008, the US federal government rescued American International Group, Inc. (AIG) - at that time the worlds largest insurance group - from potential financial collapse. The US government acted to avoid a disorderly failure of AIG and the potential harmful consequences for global finance. AIG was considered to be too big to fail. Since then, AIG has also come to symbolize companies that are too big to regulate under the current system. Following the initial rescue last September, the US government has revised several times the terms and components of the assistance program for AIG to end up at around $180 billion in aid for the company. This article provides a recap of the various iterations of the US governments aid for AIG. During this time, the goals have been to prevent the company from collapsing while helping it progress towards an orderly restructuring of its businesses. The US government now owns nearly 80% of AIG. The company is continuing to try to sell and reorganize its businesses with the aim of repaying the US government. However, AIG now estimates that it will take three to five years to do so. It is trying to sell its various businesses and assets and engaging in various types of restructurings of its businesses (such as life insurance securitizations and moving businesses into special purpose vehicles in preparation for future spin-offs). Of course, the ongoing financial crisis is making AIGs efforts difficult. This article also considers what AIGs near collapse and rescue by the US government means more broadly for the future of insurance regulation. AIG has come to symbolize a mammoth financial services company for which the existing regulatory framework was insufficient. It is considered likely that the insurance industry will become subject to at least some federal regulation in the US including possibly under a federal systemic risk regulator or through an optional federal charter, for which regulatory changes the near collapse of AIG and its rescue by the US government have been significant catalysts.
Order Reprint - Download (Requires Login)

Title: The Run-Off Market: A Regional Analysis
Authors: Ian Marshall, Dr. Hubertus Labes, Donald Wustrow, Ricardo Cantilo
Volume: 17  Number: 3  Issue: Summer 2010  Page: 67
Abstract:  Abstract: It is common place to admit these days that times are changing the landscape of most industries. Insurance and reinsurance are no exception to this phenomenon. This article aims at exploring the latest run off developments in various worldwide markets, emphasizing a few cases that seem to have marked a new trend.
Order Reprint - Download (Requires Login)

Title: The Secondary Life Insurance Market: Not Just A Fraud Problem
Authors: Stephen C. Baker, Jason P. Gosselin, John B. Dempsey
Volume: 11  Number: 4  Issue: Fall 2004  Page: 15
Abstract:  The secondary life insurance market has created significant exposure for the insurance industry. While viatical fraud is easily the most talked-about negative impact of the secondary market, decreased lapse rates resulting from secondary market transactions threaten to debilitate traditional actuarial assumptions. The reality of the secondary market for insurers and reinsurers is that fewer premiums will be received, fewer premiums will be ceded, and more claims will be presented. The insurance industry must take stock of its exposure.
Order Reprint - Download (Requires Login)

Title: The Subprime Mortgage Crisis:Potential Reinsurance Exposures
Authors: Daniel J. Neppl, Sarah Hughes Newman
Volume: 16  Number: 4  Issue: Fall 2009  Page: 1
Abstract:  This article provides a brief background of the subprime mortgage crisis. This article also describes issues facing the direct insurance market and the sectors of the industry with likely exposure to subprime. Finally, this article looks at some of the reinsurance issues that may arise out of the subprime mortgage crisis.
Order Reprint - Download (Requires Login)

Title: The Value of Engineering Input in Seismic Risk Studies
Authors: William P. Graf
Volume: 11  Number: 4  Issue: Fall 2004  Page: 1
Abstract:  Most seismic risk analysis for insurance for real estate portfolios is done as a *desktop* exercise, without the involvement of professional engineers and geologists, and with only very general data on site locations and on the building structures. Good risk estimates are important for insurer and reinsurer business success. Inaccurate risk assessments can lead to poor rate-setting, lost deals or even large, unanticipated losses. Although catastrophe software technology has improved, and tremendous investments have been made in geologic hazard mapping, seismic risk analysis tools cannot be used as a substitute for the judgment of experienced engineering professionals. Here, we use specific examples, for a real-world California real estate portfolio, to illustrate the changes in the risk picture as better information is brought into the portfolio analysis. We also provide general guidelines for when engineering information should be sought, and how it may best be used.
Order Reprint - Download (Requires Login)

Title: To the Shareholders of Berkshire Hathaway Inc.
Authors: Warren E. Buffett
Volume: 6  Number: 3  Issue: Spring 1999  Page: 1
Abstract:  The net worth of Berkshire Hathaway was $57.4 billion at the end of 1998, the greatest of any American corporation. In December 1998, Berkshire Hathaway purchased General Reinsurance Corp., the largest U.S. property-casualty reinsurer, for $22 billion. Berkshire already owns GEICO and other insurance and reinsurance companies. Backed by the gigantic capital base of Berkshire, General Re can now take on and retain additional reinsurance in virtually any amount, and can accelerate its push into international markets. The 1998 chairman's letter to Berkshire Hathaway shareholders is copyrighted and this excerpt is printed with the permission of Mr. Buffet.
Order Reprint - Download (Requires Login)

Title: Tobacco Liability - Are Insurers About To Get Burned?
Authors: John R. Cashin
Volume: 4  Number: 4  Issue: Spring 1997  Page: 25
Abstract:  Tobacco manufacturers have had a tobacco exclusion in their commercial general liability policies since the 1960s. This exclusion should serve to protect insurers from having to respond to the litigation now being mounted against the tobacco industry by a number of litigants. But the exclusion has yet to be tested in any court.
Order Reprint - Download (Requires Login)

Title: Too Little Reinsurance of Natural Disasters in Many Markets
Authors: Rudolf Enz, Swiss Reinsurance Company
Volume: 5  Number: 2  Issue: Winter 1997/1998  Page: 47
Abstract:  The study examines whether non-proportional reinsurance covers against natural disasters -- knows as "CatXL cover" -- offer primary insurers sufficient protection in the event of a major natural disaster. This study assesses reinsurance programs from an international perspective and draws attention to gaps in insurance and the resultant risks in 13 countries.
Order Reprint - Download (Requires Login)

Title: Transferring Risk Under Non-Traditional/Finite Reinsurance: Issues and Concerns
Authors: Jack R. Scott, Esq.
Volume: 12  Number: 3  Issue: Summer 2005  Page: 1
Abstract:  In recent months, both business interest and governmental scrutiny have increased as to finite risk/structured contracts and their role in the marketplace. The evaluation of risk transfer under non-traditional insurance and reinsurance transactions requires familiarity with both the specific terms of art and the regulatory rules that apply to this specialty practice.
Order Reprint - Download (Requires Login)

Title: Treatment of ECO and EXP Exposures BRMA Analysis
Authors: BRMA Claims Subcommittee
Volume: 8  Number: 3  Issue: Summer 2001  Page: 69
Abstract:  Reinsurance coverage for loss arising from a cedent's extra contractual obligations and from claims in excess of a company's policy limits have been the subject of discussion and debate for quite some time. Such debate has focused, not only on the liability of reinsurers for such unanticipated exposures, but also on the ways in which such liabilities should be defined for purposes of reinsurance attachment. Such debate has prompted BRMA to analyze the related issues and to develop a report of their findings.
Order Reprint - Download (Requires Login)

Title: TRIA and Beyond Terrorism Risk Financing in the U.S.
Authors: The Wharton Risk Management and Decision Processes
Volume: 12  Number: 4  Issue: Fall 2005  Page: 1
Abstract:  Since September 11th, 2001, members of the Wharton Risk Management and Decision Processes Center team have been studying the issue of terrorism insurance as part of a longer range Wharton Risk Center project on Managing and Financing Extreme Events. The goal of this report on TRIA and Beyond is to provide policymakers, key industry representatives and other interested parties with an analysis of the roles that the public and private sectors can play with respect to terrorism risk coverage in the United States in the post-9/11 world. The following is the Executive Summary of the report which is divided into four parts: Principal Findings, Proposed Solutions, Open Issues and Next Steps.
Order Reprint - Download (Requires Login)

Title: Tsunami Risks – What Insurers and Reinsurers Need to Know
Authors: Paul Somerville, Ph.D., William P. Graf, M.S., P.E., Hong Kie Thio, Ph.D., Gene Ichinose, Ph.D.
Volume: 12  Number: 3  Issue: Summer 2005  Page: 59
Abstract:  Following the huge earthquake and tsunami of December 26, 2004, there has been great interest in risks from tsunamis. In this article, we provide background and perspective on the tsunami hazard to assist insurers and reinsurers in understanding and managing risks from this peril. We describe an approach to probabilistic tsunami hazard analysis, provide general tsunami risk guidelines, and point to needed developments in tsunami risk models.
Order Reprint - Download (Requires Login)