PG&E Corp. and its Pacific Gas and Electric Co. subsidiary announced an $11 billion settlement in principle related to the 2017 Northern California wildfires and 2018 Camp Fire. The settlement agreement was reached with entities representing approximately 85% of insurance subrogation claims to resolve claims stemming from the fires.
Insured losses on the U.S. mainland from Hurricane Dorian are likely to cost between $500 million and $1.5 billion, catastrophe risk modeling company Risk Management Solutions Ltd estimated. The estimate includes expected losses to the National Flood Insurance Program.
Meanwhile, industry insured losses from Typhoon Faxai, which made landfall in Yokosuka, Japan, on Sept. 9, will be between ¥340 billion and ¥740 billion, catastrophe risk modeling company AIR Worldwide projects. AIR Worldwide said Faxai beat Typhoon Higos for the strongest sustained wind speed at landfall and tied with 1958's Typhoon Helen for the lowest recorded central pressure.
Progressive Corp.'s net income attributable to the company fell 36% to $175.9 million in August from $274.7 million a year earlier. Net income per share available to common shareholders slid year over year to 30 cents from 46 cents.
The Connecticut Insurance Department approved an average increase of 3.65% for individual plans and 9.19% for small group plans for the 2020 coverage year. The approved average increases were smaller than what carriers initially sought.
Commercial automobile insurer Atlas Financial Holdings Inc. received a deficiency notification letter from the Nasdaq Stock Market LLC stating that the company was not in compliance with listing requirements because its market value of publicly held shares, or MVPHS, for the last 30 consecutive business days was below the minimum requirement of $5 million. The company will monitor the MVPHS and consider available options in the event that it remains below $5 million.
U.K.-based Davies Group Ltd. has acquired Independence, Ohio-headquartered independent claims adjusting provider Frontier Adjusters Inc.
State Bank of India dropped its plans to list unit SBI General Insurance Co. Ltd. as there is no need for additional capital.
In appointments, TigerRisk Partners LLC appointed Manoj Gupta COO. Direct Line Insurance Group PLC appointed Tim Harris CFO and executive director, effective Oct. 1.
U.K.-based asset manager Aviva Investors Global Services Ltd. launched the Aviva Investors Climate Transition European Equity Fund with €100 million in seed capital from France-based AVIVA France SA, a unit of Aviva PLC. The fund is designed to support the shift to a low-carbon economy amid rising global temperatures caused by climate change.
According to an A.M. Best report, upgrades in the U.S. life/annuity and health segments in the first half outpaced downgrades by a wider margin year over year.
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Progressive slumps after August results; life insurers climb as bonds rally: The S&P 500 climbed 0.96% to 3,007.39 for the week ending Sept. 13, while the SNL U.S. Insurance Index rose 1.48% to 1,078.05.
Hippo Insurance looking to diversify exposure amid rapid growth: Chief Insurance Officer Richard McCathron explained what he considers to be the advantages and challenges of growing as a startup home insurer.
Total return reinsurers change tack as performance lags traditional peers: The three listed total return reinsurers have performed worse than their more conventional peers over the past five years, and two are now taking more underwriting risk in a bid to improve earnings.
Ireland is clear favorite for financial firms' post-Brexit EU base: About 34 firms, including Arch Capital, Berkshire Hathaway and Prudential PLC, have chosen or are considering selecting Ireland as a center from which to conduct future EU operations.
In other parts of the world
Asia-Pacific: HKEX to press on despite LSE rebuff; regulators mull key rate decisions
Europe: LSE rejects HKEX's £32B offer; ex-Deutsche CEO becomes Man Group chair
Middle East & Africa: Old Mutual's spat with Moyo drags on; Zimbabwe hikes key rate
The day ahead
In Asia, Hang Seng slipped 0.83% to 27,124.55.
In Europe, around midday, the FTSE 100 shed 0.24% to 7,349.78, and the Euronext 100 dropped 0.59% to 1,087.19.
Click here to read about today's financial markets, setting out the factors driving stocks, bonds and currencies around the world ahead of the New York open.
On the macro front
The Empire State Manufacturing Survey is due out today.
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