Insurance Jottings
Lloyd’s Brussels granted Monaco re/insurance licence for Brexit; appoints Rochefoucauld
Lloyd’s Brussels, the new Brexit subsidiary of London-centred specialist re/insurance market Lloyd’s, has received authorisation to underwrite insurance and reinsurance risks located in Monaco.
In addition, the subsidiary has appointed Guy-Antoine de La Rochefoucauld as its general representative for Monaco and as its fiscal representative for the territory.
The licence means that business from the territory could continue to be accessed by Lloyd’s members after the UK leaves the European Union on the 29th March, Lloyd’s said in a market bulletin of the 5th March
“Lloyd’s Brussels is not, however, authorised to underwrite life insurance or life reinsurance business for risks located in Monaco. It is because the contracts for risks located in Monaco are subject to the laws and regulations of the French Insurance Code.
“Following the UK’s exit from the EU on the 29th March 2019, Lloyd’s underwriters will cease to be authorised in Monaco.
“This is because Lloyd’s underwriters’ licence in Monaco is dependent on their authorisation in France, which will cease when UK firms lose their EU passporting rights,” Lloyd’s explained. “As a result, Lloyd’s Brussels applied for authorisation in Monaco in order to ensure that business from the territory could continue to be accessed by Lloyd’s members post-Brexit.
“Lloyd’s Brussels is authorised to write all non-life insurance classes 1-18, and non-life reinsurance business. Business may be written on an onshore basis, i.e., by a coverholder located in Monaco, or on a cross-border basis, i.e., by a coverholder located outside Monaco or on an open market basis,” reads the statement.
Berkshire Hathaway forms Irish insurer ahead of Brexit
Berkshire Hathaway European Insurance (BHEI) has been granted a certificate of authorisation by the Central Bank of Ireland to operate as an insurer in Ireland and the European Economic Area (EEA).
Aon partners with marine insurtech Skytek on satellite tracking
Aon has partnered with insurtech firm Skytek to monitor insurers’ marine risks and identify areas which require enhanced underwriting and reinsurance in real time.
The development was driven by the rise of major container ports and mega ships, which expose re/insurers to risk accumulation during a catastrophe.
To manage this risk monitoring vessel movements and estimating cargo accumulation has become critical for insurers.
In response to this need, Aon and Skytek have launched a new consultancy based on the Skytek system, and supported by the European Space Agency, to use real-time satellite tracking. This shows the precise location of insured risks alongside crucial vessel and cargo information.
Using this data, Aon will be able to analyse the potential accumulations and make recommendations specific to an re/insurer’s portfolio for efficient reinsurance programmes and underwriting insights.
Christian Silies, head of marine and energy at Aon Reinsurance Solutions business, said: “As part of Aon’s commitment to data and analytics, this insurtech partnership is focused on using innovative technologies to enhance risk management practices.
“As part of our development partnership, we will be taking the analysis beyond cargo and hull marine aggregation to also weave in business intelligence functionality using clients’ own data.”
Dr Sarah Bourke, CEO at Skytek, added: “The ability to take vast amounts of earth observation and space-based data and create tailored insurance products was inconceivable only a couple of years ago. These new products now open up an exciting future for deeper risk insights within the marine re/insurance world and beyond.
“Aon and Skytek are already developing transparent algorithms to determine cargo exposures at ports in real-time, using the latest earth observation technology alongside the latest artificial intelligence and machine learning techniques.”