In the news
Reinsurance rate reductions continued during the Jan. 1, 2017, renewal season, but the pace has moderated mainly due to the "relatively stable" U.S. property-catastrophe renewals, according to Jardine Lloyd Thompson Group Plc's JLT Re.
JLT Re's Risk-Adjusted Global Property-Catastrophe Reinsurance Rate-on-Line Index, a measure of global property catastrophe reinsurance pricing, dropped by 5.7% at the Jan. 1, 2017, renewals, versus the 8.2% decline seen in 2016, 11% in 2015 and 12% in 2014, the company's global head of analytics, David Flandro, said in a news release.
_________________________________________
The U.S. Department of Health and Human Services Office of Inspector General recommended that state-based Affordable Care Act exchange Connect for Health Colorado return approximately $9.7 million in federal funds for violating federal grant rules. The department had awarded approximately $185.0 million in startup funds to the health insurance exchange.
_________________________________________
Looking for ways to lower expenses, large life insurance companies have turned to offering policies with a simplified underwriting process and presenting them directly to consumers in different ways, S&P Global Market Intelligence reported.
Based on S&P Global's review of product filings, companies including MetLife Inc., Massachusetts Mutual Life Insurance Co., New York Life Insurance Co. and AEGON NV's U.S.-based Transamerica Group have a digital footprint to sell individual term insurance products directly to consumers, while some companies also work with large retailers to access potential consumers directly.
_________________________________________
After collapsing on two separate occasions in 2016, life insurance stocks soared after the presidential election, finishing the year far higher than the wider market, S&P Global Market Intelligence reported.
Featured news:
Johnson & Johnson to split Actelion; Gates Foundation invests in HIV vaccine: The Bill & Melinda Gates Foundation is committing up to $140 million in Intarcia Therapeutics Inc. as part of an effort to combat HIV.
Financial news in other parts of the world
Asia-Pacific: Mackenzie to buy China Asset Management stake; RBI to set up NBFC ombudsman
Middle East & Africa: Popularizing e-money in Africa; looming layoffs at Kenyan banks
Europe: US expels Russian diplomats in hacking scandal; cyber insurance demand to rise
Latin America: Financial irregularities detected at Agrobanco; B&MA gains final approvals
The day ahead
Early morning futures indicators pointed to a higher opening for the U.S. market.
In Asia, the Hang Seng rose 0.96% to 22,000.56, while the Nikkei 225 slid 0.16% to 19,114.37. In Europe, around midday, the Euronext 100 was down 0.04% to 930.40.
On the macro front
The Chicago purchasing managers' index and the Baker-Hughes Rig Count report are due out today.