XPRIMM News No. 547, 06 May 2021

Insurance Newsletter No. 547, 06 May 2021

www.xprimm.com

TOP NEWS - CURRENT REPORTS - STATISTIC UPDATES

TOP NEWS

Swiss Re posted Q1 2021 profit of USD 333 million despite USD 1 billion Covid & NatCat losses
by Andrei Victor, 2021-05-06
Despite the impacts of Coronavirus pandemic (losses of USD 643 million) and large natural disasters (USD 426 million), global reinsurer Swiss Re reported Q1 2021 profit of USD 333 million vs. a net loss of -EUR 225 million a year before.

AON's Q1 revenues increase 10% to USD 3.5 billion
by Andrei Victor, 2021-05-04
Re/insurance broker AON reported Q1 2021 revenue of USD 3.52 billion, an increase of almost 10% compared to the prior year period.

Q1 MMC's revenues increased 9% y-o-y
by Andrei Victor, 2021-05-04
Global re/insurance broker MMC (Marsh McLennan) posted Q1 2021 consolidated revenue of USD 5.08 billion (9% more y-o-y) compared with Q1 2020 (USD 4.65 billion)

Bulgaria's FSC Approved Eurohold's capital increase prospectus
by Andrei Victor, 2021-05-04
Bulgaria's Financial Supervision Commission (FSC) approved urohold's capital increase prospectus, which will allow the Bulgarian holding to raise up to EUR 100 million by issuing new shares on the Bulgarian Stock Exchange (BSE).

Insurance Europe: VAT Directive is outdated and not correctly applicable to modern financial services
by Alexandra GUZUN, 2021-05-06
The insurance industry considers that the VAT Directive puts the sector at a disadvantage compared to other sectors. Europe's insurers are therefore calling for the VAT Directive to be reformed to reduce hidden VAT and increase the possibilities for VAT to be reclaimed by financial companies in general, and insurers in particular.

The Resilience Week (2-8 June) program has been published by the Insurance Europe
by Alexandra GUZUN, 2021-05-06
The Resilience Week is a top-level session to kick-off Resilience Week, touching on all aspects of future resilience from an insurance perspective, with a particular focus on systemic risks. It will be hosted by Insurance Europe member the Hellenic Association of Insurance Companies.

AML rules applied to general insurance would divert the attention from other much higher risk areas
by Alexandra GUZUN, 2021-05-06
The Global Federation of Insurance Associations (GFIA) has published a position paper that outlines why policymakers should follow the risk-based approach promoted by the Financial Action Task Force (FATF) when developing any new rules regarding anti-money laundering (AML) and combatting the financing of terrorism (CFT).

Better Finance supports the Sustainable Corporate Governance by empowering the new generation as savers
by Alexandra GUZUN, 2021-05-06
The European Commission has launched the initiative on Sustainable Corporate Governance in order to reconcile economic growth, social progress, corporate governance and environmental protection, which is a vital and very urgent necessity. The new generation of EU citizens are encouraged to save for sustainable and adequate pensions.

Moody's affirmed the SCOR's rating and raised its outlook to 'stable'
by Andrei Victor, 2021-05-04
French reinsurer SCOR informed that rating agency Moody's affirmed the Group's insurance Financial Strength Rating of 'Aa3' and to raise the outlook to 'stable'.

SCOR released a new partnership in order to protect the world's biodiversity
by Alexandra GUZUN, 2021-05-06
SCOR Corporate Foundation for Science has a new partnership with the Museum national d'Histoire Naturelle (MNHN) in order to conduct a pioneering large-scale study on the risks related to biodiversity loss, under the aegis of the SCOR-MNHN Biodiversity and (Re)insurance Chair, created in 2019.

Berkshire Hathaway published the first quarter earnings 2021
by press.release, 2021-05-06
Berkshire Hathaway published the 1T2021 results which include gains of approximately USD 2.8 billion in the first quarter of 2021 and losses of approximately USD 54.5 billion in the first quarter of 2020 due to changes during the first quarters of 2021 and 2020 in the amount of unrealized gains that existed in the equity security investment holdings.

Strong solvency at 182% and a maintaned financial strength rating for Zurich in 2020
by Alexandra GUZUN, 2021-05-06
The Capital base of Zurich remains well-above regulatory requirements despite pandemic according to the Financial Condition Report 2020. Also, the Group maintained a strong financial position even after the financial market impacts, higher claims and voluntary measures to support customers and employees linked to the outbreak of COVID-19.

CHF 225 million of subordinated debt will be redeemed by Zurich
by Alexandra GUZUN, 2021-05-06
Zurich announced that it intends to exercise its option to redeem CHF 225 million of subordinated debt on June 2, 2021, according to a press release.

Hannover Re: Gross premium up by 11.9% and no new pandemic-related losses for first quarter results
by Alexandra GUZUN, 2021-05-06
Hannover Re posted a double-digit growth in premium income for 1T2021 and showed a modestly improved Group net income by 1.7% to EUR 305.9 million. Hannover Re's capital adequacy ratio at the end of March was 252% and hence continues to be comfortably above the limit of 180% and threshold of 200%.

A dividend distribution of EUR 4.50 per share approved at the AGM of Hannover RE
by Alexandra GUZUN, 2021-05-06
The virtual Annual General Meeting of Hannover RE adopted all proposed resolutions by a large majority. During the meeting, the Executive Board and Supervisory Board approved to pay an increased ordinary dividend of EUR 4.50 (EUR 4.00) per share for the 2020 financial year.

Munich Re's Q1 results visibly improved y-o-y; year-end consolidated profit target at EUR 2.8 billion
by Daniela GHETU, 2021-05-06
Munich Re generated a profit of EUR 589 million in Q1 2021, vs. EUR 221 million the year before. With significantly improved operating results, particularly owing to the lower COVID-19 losses burden, especially in P&C reinsurance, the German group maintains its consolidated profit target at EUR 2.8 billion for 2021.

Aviva's exit from Turkey completed; Belgian Ageas becomes one of the top players both in the life and non-life Turkish markets
by Daniela GHETU, 2021-05-06
Aviva announced it has completed the sale of its 40% shareholding in the Turkish life insurance and pensions joint venture, Aviva SA Emeklilik ve Hayat AS to the Belgian Ageas Insurance International NV which, through this acquisition expand its presence on the Turkish market toward the life insurance segment.

Unexpected rating downgrades are a concern for policyholders and brokers alike
by Alexandra GUZUN, 2021-05-06
Last September, S&P downgraded Aviva's French subsidiaries from the group level of 'AA-' to 'A+' with a negative 'CreditWatch', and at the end of February from 'A+' to 'A' (and still on negative watch). While 'A' is still a healthy rating, for policyholders it represents a material change.

ARMENIA: in Jan-March 2021, health insurance approached stagnation, while travel insurance decreased by more than 40% y-o-y
by Marina MAGNAVAL, 2021-05-04
In January-March 2021, GWP of the Armenian insurers in health insurance approached stagnation, reducing their growth rate from 8.2% a year ago to 1.1%, to a volume of AMD 7.4 billion (~EUR 13.48 million*), ArmInfo reports.

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AZERBAIJAN: PASHA Life continues to lead in the insurance market in terms of GWP in the first quarter
by Marina MAGNAVAL, 2021-05-04
PASHA Life Insurance announced its results for the first quarter of 2021 and continues to lead in the insurance market in Azerbaijan in terms of GWP, maintaining a growth trend despite the pandemic, Trend reports.

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BELARUS: this year the Belarusian Transport Insurance Bureau celebrated its 22nd anniversary
by Marina MAGNAVAL, 2021-05-04
In February 2021, the Belarusian Transport Insurance Bureau celebrated its 22nd anniversary. The magazine Insurance in Belarus notes that for many years the level of coverage with this type of insurance has been about 98% and according to this indicator in the Green Card system, the Republic of Belarus occupies one of the leading positions.

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KYRGYZSTAN: The State Financial Supervision Service proposed to approve the insured amount and the liability limit for MTPL
by Marina MAGNAVAL, 2021-05-05
The State Financial Supervision Service proposed to approve the insured amount and the limit of liability for MTPL - the draft regulation has been submitted for public discussion and published on the government's website, the financial publication Economist reported.

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RUSSIA: NAAI: in the first quarter of 2021 GWP in agroinsurance with state support increased by 16% y-o-y
by Marina MAGNAVAL, 2021-05-05
In the first quarter of 2021, agroinsurance with state support continued to grow - GWP under contracts concluded over the period amounted to RUB 492 million (~EUR 5.54 million*), which is 16% more y-o-y, according to the National Association of Agriculture Insurers (NAAI) website.

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RUSSIA: the number of complaints against insurers in January-March 2021 increased by 4% y-o-y
by Marina MAGNAVAL, 2021-05-05
In January-March 2021, according to the Bank of Russia, the number of complaints against insurers increased by 4% y-o-y, to 8.5 thousand. At the same time, the number of complaints about mis-selling (selling some products in the guise of others) increased by almost 1.5 times, ASN reports.

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UKRAINE: TAS Group increased GWP in January-March by almost UAH 112 million y-o-y
by Marina MAGNAVAL, 2021-05-05
In the first three months of 2021, TAS insurance group set another record in GWP collection, the amount of which reached UAH 590.18 million (~EUR 18.08 million*), which is almost UAH 112 million more than in the first quarter of 2020, Forinshurer said.

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UZBEKISTAN: implementation of a pilot project for health insurance mechanisms to begin from July 2021
by Marina MAGNAVAL, 2021-05-05
In Uzbekistan, effective measures are being taken to improve quality of medical services provided to the population and to create conditions for the financial protection of citizens.

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STORY LAB

STORY LAB with Mariusz WICHTOWSKI: the Green Card system is the most successful international insurance organization at this moment
by Daniela GHETU, 2021-05-04
Generally, the positive aspects in the motor insurance business are not generated by the industry itself. In many cases, certain improvements are introduced due to the regulation. One of the big regulators is the European Commission and I think the Motor Insurance Directive introduced many changes in the motor insurance business, providing for higher and real rights to the victims and to the injured persons.

STATISTICS

STATISTICS: Albanian market expanded 12.5% y-o-y during first quarter
by Andrei Victor, 2021-05-06
Albanian insurers' Q1 2021 GWP amounted to over ALL 4.03 billion (EUR 32.80 million), or 12.52% more compared to January-March 2020, according to the quarterly market figures published on the AFSA's website (Albanian Financial Supervisory Authority).

STATISTICS: Croatian insurers' Q1 2021 GWP rise 6.3% y-o-y
by Andrei Victor, 2021-05-06
The gross written premiums of Croatian insurers rose by 6.29% year-on-year in Q1 2021, to HRK 3.25 billion (~EUR 430 million), according to the quarterly figures published on the website of the Croatian Insurance Bureau.

STATISTICS: Montenegro insurers' GWP decreased 4% in Q1
by Andrei Victor, 2021-05-06
The gross written premiums of Montenegrin insurers decreased by 3.85% y-o-y in the first quarter of 2021, reaching EUR 23.84 million, as preliminary official figures showed.

STATISTICS: Slovene market ended 2020 with GWP of EUR 2.6 billion
by Andrei Victor, 2021-05-06
The Slovenian insurance market totaled EUR 2.57 billion at the end of 2020, a 2.07% increase y-o-y, according to the Slovenian Insurance Association's year-end figures.

TOP EVENTS

MOTOR INSURANCE CONFERENCE

20 April 2021

PROPERTY INSURANCE CONFERENCE 22 April 2021

ON THE MOVE

Stephan Wirz to join VIG Re BoD
by Andrei Victor, 2021-05-04
Reinsurer VIG Re announced its Supervisory Board unanimously elected Stephan Wirz as a member of the Board of Directors with effect of May 1, 2021 on its meeting of April 22, 2021.

Sabine Usaty is the new President of the Management Board of UNIQA Osiguranje, Croatia
by Daniela GHETU, 2021-05-06
Sabine USATY was appointed President of the Management Board of UNIQA Osiguranje on May 1. She has more than 20 years of experience in management positions, part of them within the UNIQA Group.

Zurich appoints ex AXA XL's CUO, Timothy Powell as Global Head Financial Lines and Cyber
by Daniela GHETU, 2021-05-06
Zurich Insurance Group has appointed Timothy Powell, until recently Chief Underwriting Officer for International Financial Lines with AXA XL, as Global Head Financial Lines and Cyber, a newly created role that combines lines of business and simplifies the Group's offering.

Warren Buffett chose Greg Abel to lead Berkshire Hathaway
by Alexandra GUZUN, 2021-05-04
Warren Buffett, CEO of Berkshire Hathaway, has finally named during the annual meeting who would succeed him if he were to step down. He named the Vice Chairman Greg Abel to take over as chief executive officer of the conglomerate he built according toa declaration of Buffett to CNBC.

EVENTS

Balkan Insurtech Virtual Summit

11 May 2021, 9:00 AM - 5:00 PM EEST

Organizers: InsurtechBalkans Hub and Fintechguardian NGO

Media Partner: XPRIMM

For details: insurtechbalkans.tech

Transparency in Insurance Contract Law
19 May 2021
For details: aidainsurance.org

Georgian International Insurance Conference
20 May 2021
Organizer: XPRIMM & LEPL
For details: xprimmevents.com

Transparency in Insurance Regulation and Supervisory Law
14 October 2021
For details: aidainsurance.org

WorldPensionSummit 2021
12-14 October 2021
Location: Louwman Museum, The Hague, The Netherlands & Virtual
Organizer: Pension & Investments
For details: pionline.com

Insurance and Human Rights
2 December 2021

For details: aidainsurance.org

AIDA Europe webinar 2021 Series

Media Partner: XPRIMM Publications

For details:

19.05.2021: AIDA Europe Webinar: Transparency in Insurance Contract Law

14.10.2021: AIDA Europe Webinar: Transparency in Insurance Regulation and Supervisory Law

2.12.2021: AIDA Europe Webinar: Insurance and Human Rights

9th AIDA Europe Conference
Zurich, Switzerland
18-20 May 2022
Organizer: AIDA Europe
Media Partner: XPRIMM Publications
For details: aidainsurance.org

CURRENT XPRIMM REPORTS