Europe
Denmark | France | Germany | Switzerland | United Kingdom
European countries have all suffered losses, but some more than others. The full picture will only emerge with more time. In general, the European insurance industry has maintained solvency and met their obligations. Some insurers have offered flexibility on premium payments and processes to customers.
It is expected that the demand for digital services and products will rise. This may well change the way that insurers do business as they respond to changes in customer behaviour.
Europe news
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International Organisation of Pension Supervisors (IOPS) member responses - click here
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Information from IOPS members and other relevant supervisory authorities in response to the current situation, to help financial institutions and consumers from the private pension sector to face the consequences of this major crisis
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European insurers respond to IAIS consultation on impact of COVID-19 (link)
IFC - COVID-19 Economic Impact: Europe and Central Asia (link)
France's AXA spurns EU regulators' plea to halt dividends
EU regulator urges insurers to scrap dividends and share buy backs due to Covid-19
Europe’s corporate risk and insurance managers would support the creation of state-backed insurance pools to cover pandemic risk and plug the huge coverage gap that has been exposed by the Covid-19 outbreak, based on feedback from leading industry representatives gathered by Commercial Risk Europe.
Crowdfunding platform specialist Smallbrooks together with the Confederation of Danish Industry and Copenhagen Fintech is developing a crowdfunding platform in Denmark that allows local businesses to sell their goods and services online without having to build a webshop, an approach that could be used elsewhere. (link)
France: Plans for pandemic insurance cover near completion
MAIF passes on EUR 100 million in motor claims savings to its member-policyholders during coronavirus containment period
France: Financial Stability - impact for Generali France – interview with president and CEO
Germany donates $5.9m to protect African countries with climate insurance amid COVID-19 crisis
The German government and the country’s credit insurance industry have agreed to help to maintain insurance cover for trade despite economic hardship related to the coronavirus outbreak, three people with knowledge of the plan said on Wednesday.
Under the plan, the government would guarantee up to 30 billion euros ($32.8 billion) for the commercial credit insurance industry, the sources said.
Munich Re and Swiss Re, the world’s two biggest re-insurers, in recent days sought to reassure investors that the virus would have a limited impact on their businesses.
“Even in the very unlikely scenario of a worldwide pandemic equivalent to a 200-year event, Munich Re would face a maximum of 1.4 billion euros in life and health insurance claims – similar in scope to a medium-sized natural catastrophe in property-casualty reinsurance,” the firm said in its annual report on Wednesday. It doesn’t expect the coronavirus outbreak to have any overall material effect on annual results.
The major impact of Covid-19 on the insurance industry to date is on the asset side of the balance sheet, Swiss Re chief financial officer John Dacey said at an investor conference on Thursday. The company put in place hedges to mitigate the economic impacts of falling equity prices and widening credit spreads and sees the impact to be entirely manageable at this point, he said.
ABI Coronavirus (COVID-19) Information Hub - https://www.abi.org.uk/products-and-issues/topics-and-issues/coronavirus-hub/
FCA seeks court declaration to clarify BI virus cover for UK SMEs
Catlin chairs UK pandemic industry group, looks to Pool Re on reinsurance
Institute and Faculty of Actuaries forms COVID-19 Action Group
Financial Conduct Authority of UK asks insurers to settle business interruption claims
UK export credit agency to offer export insurance in all major markets
London insurance market to e-trade during COVID-19 pandemic
FCA asks insurers to stretch policy T&Cs for coronavirus UK regulator the Financial Conduct Authority (FCA) has said that it expects insurers to stretch the terms & conditions of policies to help the population adapt to the socioeconomic impact of coronavirus (COVID-19). The FCA is in the process of making the re/insurance industry aware that customer behaviour is set to change as a result of the Covid-19 pandemic, and is guiding the sector on how to respond. The expectation is that the sector should be flexible and treat customers fairly, particularly those in a vulnerable situation at the point of renewal.
Insurance and coronavirus (Covid-19): our expectations of firms – the FCA’s position on
- Operational resilience and business continuity
- Travel insurance
- Motor and home insurance
- Private medical insurance
- Product suspension
- Renewals
- Mid-term adjustments
- Expectations of brokers
