In view of the events that are happening now in the world and the threats that exist, terrorism risk insurance is becoming an increasing priority for many clients looking at insurance products.
"Russia is no different, and as an industrial country, many requests for terrorism risk reinsurance that we see coming in to Sompo Canopius are related to large-scale industry, such as power generation companies. We also insure commercial property such as hotels, retail business," Sompo representatives said. "We are pleased to work as a reinsurer in Russia, and work here mainly through the big brokers. In particular we have a long established relationship with Ingosstrakh and Willis CIS Insurance Broker. Small insurance companies do not provide much demand in Russia, therefore, we mainly focus on the major players."
Russia is a growing market and the demand for terrorism risk reinsurance is certainly increasing. Sompo receives more and more requests from insurance companies. Events in Syria have an effect on the terrorism insurance and reinsurance demand but so also do large scale international events such as the upcoming football World Cup. Sompo Japan Nipponkoa Insurance Europe, Sompo Conopius' syster company, which has a representative office in Moscow, was involved in some projects related to the Tokyo Olympic Games, being able to cooperate on those.
"In any country where we operate there are different issues to contend with. In Russia for example, we need to deal with sanctions, but this is not a new issue for Sompo Canopius. Russia is not the only country where business is affected by sanctions and we are able to work worldwide within these regulations. They do not "shut" the entire business.
In fact, "there are clients who cannot be reinsured now but there are also those with whom we can continue to cooperate. Typically, the sanctions are not applied to a particular economic sector but more often to a particular policyholder. Therefore, our task is to take great care to check each deal and each owner to establish if any sanctions apply", stated the company's representatives.
In summary, "we at Sompo Canopius are ready to provide the Russian insurance market with our extensive experience and expertise on crisis management, political risk and terrorism coverage. By working together in partnership, we can develop the right products for our clients and make progress together," the company representatives said.