VIDEO: President of AON BENFIELD: We are working with the authorities in Romania to provide capacity on the international market to cover the risk of earthquake

14 September 2011 — Oleg DORONCEANU
"The most important catastrophe risk in Romania is earthquake. In this respect, we are working with authorities in Romania to provide capacity on the international market to cover these risks", said in an interview for XPRIMM TV Grahame CHILTON, President of AON BENFIELD and Vice President of AON Group.

Thus, "people live in areas that are exposed to risks of natural catastrophes, and our task is to find the capacity to cover these risks at the best price", said the President of AON.

Speaking of the CEE markets, AON BENFIELD official said that "we managed to have a significant market share in this region because we have been there since the time when they were under communist influence, and we got involved in the development of the industry".

The company has developed assessment models that allow local insurance companies or new entrants in the market to understand the risks they take over in insurance, as they don't know the existing threats. "We are among the best because we invested in this region for years and we thought in perspective where would our business be in 10-15 years. Thus, we can not rely solely on Western developed markets, for that now two thirds of our insurance costs come from North America. It is obvious that the CEE markets are highly developing, and we want to be those who educate the market based on the experience we have in other regions", said the President of AON BENFIELD.
In other order of ideas, talking about the evolution perspectives of the international insurance/reinsurance market, he states that "at present, one of the difficulties is that many insurance/reinsurance companies are listed on the stock market". But,"what capital markets do not appreciate is volatility, which is negatively appreciated, so that the companies that <cover> other companies against volatility and its effects are themselves exposed", said the President of AON BENFIELD. Also, many reinsurance companies are evaluated negatively for the capital they have, the question being <How to fight this perspective>", added Grahame CHILTON.

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