February 2007 

Run-off liabilities in German-speaking market exceed €66 billion, according to new KPMG survey.

In October 2006, the KPMG / ARC UK non-life run-off survey included some initial findings from a survey being conducted by KPMG in Germany on the German speaking insurance run-off market. This survey has now been completed.

Key findings

The survey has estimated that non-life insurance liabilities in run-off in German speaking countries exceed €66.5 billion (£44.8 billion).

This is significantly larger than the size of run-off in the UK. The KPMG/ARC UK run-off survey produced in October 2006, estimated the size of run-off in the UK non-life insurance market at £38.2 billion (€56.67 billion).

Non-life liabilities in run-off make up approximately 19% of the whole €353.1 billion (£237.96 billion) German speaking non-life insurance market – the same proportion as found in the UK.

Download Survey PDF 

How effective are the current UK dispute resolution methods of litigation, arbitration, mediation and early neutral evaluation (“ENE”)?

Are they complimentary or mutually exclusive? What is the anatomy of a dispute that precedes these? Julian Ward, managing director of JTW Reinsurance Consultants and director of InterResolve and WordingsPlus, provides a bullet point Summary

February 2007

Run Off update

Can Employers' Liabilities Policies be included in Schemes of Arrangement or Commutations?

Re T&N Ltd

Download (pdf)

December - January 2006/7 

The inaugural ARC Run-Off Awards were presented at the Annual ARC Members Dinner in October at Clothworker's Hall, London.

The 2006 Awards categories were won as follows:
1.Run-Off Management Services Provider of the Year – CMGL
2. Run-Off Legal Services Provider of the Year - Kendall Freeman
3. Run-Off Advisory Services Provider of the Year - KPMG's Insurance Solutions
4. Run Off Company of the Year - Equitas Limited
5. ARC Award for Services to Run Off - Paul Taylor of the FSA

ARC says the judging panel - comprised of senior market figures - looked for companies who have made a real and positive contribution to the UK run-off sector during the past 12 months. The panel was also influenced by originality and innovation, together with recognition of the wider long-term interests of the run-off market.

The judging panel viewed the final category as a lifetime achievement award and looked for someone who has made a real and significant contribution in an influential capacity and over a considerable period of time to the run-off market.

December - January 2006/7 

PRO Insurance Solutions has been retained by Bermuda domiciled reinsurer Rosemont Reinsurance, a subsidiary of GoshawK Insurance Holdings to provide strategic and run-off management solutions.

Rosemont Re was placed in to run-off in October 2005 following a significant decline in its capital base as a result of substantial catastrophe losses from both the 2004 year and in particular from hurricanes Katrina, Rita and Wilma in 2005. The appointment of PRO follows Rosemont Re's review of run-off solutions and an open tender process.

Rosemont Re will continue to maintain a small presence in Bermuda to provide oversight of the run-off and to satisfy Bermuda regulatory requirements. As such, PRO says it will work closely with Rosemont Re's newly appointed president mark Bridges. PRO's initial priority is to work with management to produce a clear and effective plan to bring both operating and financial stability to Rosemont Re in the near-term and to optimise the run-off with a view to delivering practical finality.

December - January 2006/7 

CMGL, provider of claims and insurance management services, has appointed Robert Bisson as general manager of its French operations. Bisson is based at CMGL France's headquarters in Paris. Bisson has over 20 years' experience in insurance and financial services. He joins CMGL after four years at the RiverStone Group in Paris, where he was responsible for the run-off portfolios of CTR and CORIFRANCE. Prior to RiverStone, he spent 11 years at broker La Securite Nouvelle, latterly as CFO. He began his career in banking and has worked for Paribas and CIBC, amongst others.

Bisson was recently elected as chairman of SEGS, (Syndicat Européen de Gestion de Sinistres) the French run-off association. SEGS was founded in 2004 and is the leading industry organisation in the sector. Current members include CMGL, Groupe Prunay, Van Ameyde, Caution Services, IMS, Globale Rueck and Tawa.