Policy and regulation
The Australian Securities and Investments Commission is seeking stakeholder feedback for a proposed regulatory guide on the deferred sales model for add-on insurance.
The deferred sales model will introduce a four-day pause between the sale of a principal insurance product and the sale of an add-on insurance product as recommended by the Financial Services Royal Commission.
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The Insurance Regulatory and Development Authority of India intends to shift to the "use and file procedure" for product approvals, which will allow insurers to market products without the regulator's prior approval, BusinessWorld reported.
IRDAI Chairman Subhash Khuntia said that appointed actuaries will be responsible for balancing the policyholders' protection with the prudential operations of insurance companies, making sure to factor in uncertainties and threats like climate change and future pandemics when designing products.
Life and health
Adamjee Life Assurance Co. Ltd. has decided to list on the Pakistan Stock Exchange Ltd. through an IPO.
Adamjee Life Assurance is a wholly owned subsidiary of Adamjee Insurance Co. Ltd.
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Vidal Health Insurance TPA Pvt. Ltd. has fully acquired Vipul MedCorp Insurance TPA Pvt. Ltd., The Hindu Business Line reported.
The transaction will see Vipul Medcorp Insurance merge into Vidal Health, according to the report.
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Arpico Insurance PLC appointed Kelum Senanayake CEO, effective March 1, the Sunday Observer reported.
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AIA Group Ltd. logged a full-year 2020 operating profit after tax of US$5.94 billion, or 49.19 cents per share, compared with US$5.69 billion, or 47.13 cents per share, in the previous year.
The value of new business, or VONB, margin declined to 52.6% from 62.9% in 2019. The company's total VONB also decreased year over year to US$2.77 billion from US$4.15 billion.
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Yunfeng Financial Group Ltd. expects to report full-year 2020 net profit attributable to equity shareholders of about HK$610 million, a year-over-year increase of 140% from HK$255.6 million.
The company attributed the increase mainly to the satisfactory performance of the group's insurance business, the improvement in the operation of its noninsurance businesses and a significant increase in realized gains from equity investments.
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Dai-ichi Life Holdings Inc. has formed a liaison office in New Delhi that will look into opportunities and regulatory trends in the Indian market.
The company has received approval from the Insurance Regulatory and Development Authority of India and completed other necessary approval procedures for the liaison office.
Property and casualty
Shinhan Financial Group Co. Ltd. is raising funds to prepare for another M&A transaction as it looks to acquire a general insurance company, Insurance Business Asia reported.
The company intends to issue 400 billion South Korean won of hybrid bonds in March to raise capital, according to the report.
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The Insurance Regulatory and Development Authority of India imposed a fine of Cholamandalam MS General Insurance Co. Ltd. is facing a penalty of 10 million Indian rupees imposed by after it violated certain provisions of the motor insurance service provider guidelines, The Hindu reported.
The company allegedly made indirect payments to motor insurance service providers, automotive dealers and designated persons under the guise of advertisement and professional charges.
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Insurance Australia Group Ltd. denied having any "net insurance exposure" to trade credit policies sold to Greensill Capital Pty. Ltd. through BCC Trade Credit Pty. Ltd.
The company said it had eliminated its net exposure to trade credit insurance when it sold its 50% interest in BCC Trade Credit to Tokio Marine Management (Australasia) Pty Ltd. in April 2019.
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Neil Morgan will become the COO of Insurance Australia Group, in addition to his current role as the group executive for technology and operations.
The company also appointed Amanda Whiting to succeed Craig Olsen as the CEO of IAG New Zealand Ltd., effective in August.
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QBE Insurance Group Ltd. appointed Sam Harrison group chief underwriting officer.
Cécile Fresneau will lead the insurance division of the company's European operations, taking over the role from Harrison.
Nick Hankin also became the permanent chief underwriting officer for QBE International. Hankin took over the role on an interim basis following the retirement of Colin O'Farrell in 2020.
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The total economic losses from a 7.1 magnitude earthquake that struck the coast of Japan's Fukushima Prefecture on Feb. 13 are expected to reach hundreds of millions, according to Aon PLC's Global Catastrophe Recap for February.
The earthquake, which destroyed and damaged about 4,700 residential structures, had already generated nearly 88,000 insurance claims, according to the General Insurance Association of Japan.
In China, drought conditions prompted by below-average precipitation, mainly in the provinces of Guangxi, Hunan and Yunnan, caused about $58 million of direct economic losses in February alone. Central sections of China were also affected by a winter weather event that caused estimated economic losses of about $50 million, mostly due to agricultural impacts.
A rupture on Nanda Ghunti in India caused a major flash flood in the state of Uttarakhand that damaged thousands of structures and four hydroelectric power plants, resulting in economic losses of about $206 million.
In Australia, wind-related and flood-related impacts resulting from Tropical Cyclone Niran damaged residential buildings and other private and public infrastructure across the coastal areas of Queensland and New South Wales. Economic losses due to crop damage alone were estimated at about $155 million.
Reinsurance
Chris Black will step down as the CEO of FMG Insurance Ltd., following its annual general meeting in August.
