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Weekly News Roundup – 7th July

It was the MGAA Conference 2023 yesterday – a great opportunity for the OneAdvent team to catch up with old friends and make new connections. We also heard from a panel of brokers sharing their insights on working with MGAs, got a comprehensive update from the FCA’s Matt Brewis on Consumer Duty, listened to AXA’s Claudio Gienal discuss why insurance is ‘the safety net of our communities’ and much more. Full debrief coming your way next week!

Amidst all the event fever, Gallagher Re released their triannual report following 1/7 and reported a ‘less stressed’ and ‘more orderly’ renewal period. The FCA has also issued new guidance around supporting vulnerable customers, following a review into increased claims complaints.

Gallagher Re 1^st View: Continuing Discipline (Source: Gallagher Re)
In their latest renewals report, Gallagher Re reported stability in the market despite year on year price increases due to an improved supply of capacity and the entrance of new capital (raised by traditional insurers and ILS funds).

FCA warns insurers about support provided to struggling customers (Source: FCA)
The best-in-class are using voice analytics and providing dedicated website sections for vulnerable customers but the FCA has “found too many examples of customers not receiving the service they’re entitled to” in a recent review.

Why French riots mean that global SRCC coverage may get more expensive (Source: Strategic RISK Europe)
Following 5 nights of rioting across France last week, credit rating agency, DBRS Morning Star, expects that “insurance and reinsurance companies will continue to apply stricter underwriting guidelines in the most conflictive jurisdictions, including reducing the availability of these coverage”.

Global cyber premiums could exceed $50bn by 2030 – Howden (Source: Global (Re)Insurance)
According to Howden, the cyber reinsurance market “will need to more than triple in size by the end of this decade to meet demand”.