Some of you might be familiar with a film that came out in the mid 1990s called The Young Poisoner's Handbook. The film centres on the so-called British ‘teacup poisoner' Graham Young, who was fascinated from a young age by poisons and their effects.
There are fears that underwriters in the directors' and officers' (D&O) market are heading towards a precipice as recent renewals have seen substantial limit increases at rock-bottom prices with extremely generous terms, Inside FAC understands.
A number of catastrophe treaties in Latin America have negotiated exceptionally low prices at the 1 January renewals, the impact of which is squeezing the facultative market into a corner, Inside FAC can reveal.
Recent facultative account renewals indicate a continuing trend of aggressive buying tactics by large cedants, with many looking to reduce their overall fac spend, Inside FAC understands.
The downstream energy insurance market's estimated claims bill for 2012 is expected to be more than twice the amount booked by underwriters the previous year, according to analysis by Inside FAC.
A consensus appears to be emerging in the market around the total insured loss from Superstorm Sandy, with a variety of sources suggesting the claims bill could hit $25bn.
As Inside FAC went to press, anxieties were mounting over Cyclone Narelle, which was intensifying off Australia's northwest coast, shutting key iron ore export terminals and crude production at offshore oilfields in Western Australia.
Natural catastrophes in 2012 are set to cost the market some $65bn, with the vast majority of these losses attributable to the US, according to the market's largest reinsurers Munich Re and Swiss Re.
Drilling contractor Transocean is expected to be involved in in-depth discussions with lawyers and its liability insurance underwriters in the coming weeks after agreeing to pay US authorities a $1.4bn fine for its role in the 2010 Deepwater Horizon disaster.
Inside FAC's ready reckoner of major insured losses in 2012
The upstream energy market looks set to continue on a twin track in the first quarter of 2013, with rating reductions on the property side counterbalanced by a hardening energy liability market, according to Lloyd & Partners (L&P).
The 1 January treaty reinsurance renewals were characterised by ample dedicated capital and stable pricing, with only loss-affected lines and regions experiencing price volatility, according to the latest analysis by the major broking houses.
US fac flood rates spike; Nexus launches into trade credit; Condon to power Miller in London; Marsh acquires Minnesota broker; BMS opens in Sydney; Jubilee adds $5mn capacity to Equinox; UIB appointed broking lead for Brazilian oilfield; PartnerRe acquires A&H specialist Presidio; Way restructures HIIG; Generali takes 100% stake in CEE subsidiary; Japanese trading house to support Antares; Allianz in Indonesian bribery settlement; McGill urges London to look east
There seems to be no stopping the Peruvian economy at the moment, and that's great news for international (re)insurers. The problem is that fac is being squeezed out... Inside FAC takes a look
Jason Howard, CEO, Faber Global
With crop reinsurance largely sewn up by the treaty markets, fac can still bring value to other agricultural sectors - such as grower ‘schemes', livestock production and aquaculture. Inside FAC dons its wellingtons to investigate...
Aspen US Insurance has agreed to provide capacity to Ryan Specialty Group (RSG)'s specialist errors and omissions (E&O) MGA ThinkRisk.