Aggregate value of insurance sector M&A deals up sharply in Q1

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First-quarter mergers and acquisitions involving U.S. and Bermuda-based insurance industry companies produced an aggregate deal value of $21.16 billion, according to a report Monday from S&P Global Market Intelligence.

This year’s first-quarter tally tops full-year deal totals for 2019 and 2020.

“Insurance carrier M&A activity seems poised to at least double in 2021 and could mark one of the strongest years in the last quarter-century,” S&P said.

The report also noted Chubb Ltd.’s $23 billion offer for Hartford Financial Services Group Inc., which Hartford spurned as inadequate, as well as American International Group Inc.’s planned separation of its life and

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Three ways blockchain is improving insurance

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Blockchain adoption might have been slow to infiltrate the insurance industry, but now insurers are starting to realise some of the benefits from the distributed ledger technology. Blockchain has the potential to transform multiple processes involved in insurance, from streamlining claims and improving timing to enabling better transparency in contracts and securing data.

1 Streamlining third-party transactions

Across the industry, insurers, reinsurers and brokers are working to streamline internal processes and transactions. However, this doesn’t generate returns at scale because challenging and diverse external conditions prevent current processes from being automated more widely.

Blockchain has the potential to enable the

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The line between health and wellness and insurance solutions will blur

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The year 2001 marked the liberalization of the Indian life insurance sector. While life insurance per se started in India in 1818, most of the 23 private life insurance firms that we have today came into existence in 2001. The Insurance Regulatory and Development Authority of India (Irdai) was incorporated in 2000 and soon after, it opened the doors to include private companies and started to invite applications with an intent to serve a severely under-penetrated market. Many domestic companies went into partnership with experienced international companies to offer insurance solutions to Indian customers.

The initial years saw a flurry

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What a hike in foreign equity in insurance means

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The Rajya Sabha recently passed a Bill to raise the limit on foreign equity participation from 49{fbc7a75af74adfbeb2d3baecdf7daa64e5d3521205059ee8f1fef6bec19bbc34} to 74{fbc7a75af74adfbeb2d3baecdf7daa64e5d3521205059ee8f1fef6bec19bbc34} in the insurance sector. Higher foreign equity participation will help insurers tide over solvency-related issues, increase competition and efficiency. Mint explains.

What is the rationale behind such a Bill?

Raising the limit on foreign equity participation in insurance means the caveat that such firms remain Indian-owned and controlled is now removed. This is expected to attract prominent global insurers to set up shop in India, which will take care of liquidity pressures. It will also help companies achieve growth and will

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States introduce changes to promote legacy deals for insurance sector

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Mergers and acquisitions among ongoing insurance sector companies are triggering more interest in runoff transactions to seal off old liabilities, and the trend has been boosted by legislation in various states seeking to simplify the process. 

Legislation passed in 2018 in Oklahoma led to the first transaction being approved in the state last year and several other states have either enacted or are considering enacting similar laws. 

Oklahoma’s Insurance Business Transfer Act provides a mechanism “for insurers to absolutely transfer blocks of insurance business to another insurance company,” according to the Oklahoma Insurance Department.

The law allows for insurers to

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ICW Group Names Daniel Rossen Vice President of Commercial Multi-Peril Insurance

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SAN DIEGO (PRWEB) April 01, 2021

Expanding its product offering to include commercial multi-peril insurance, ICW Group Insurance Companies, a leading group of property and casualty carriers, taps industry veteran Daniel Rossen as Vice President to lead the development and execution of these new lines of business.

Rossen brings more than 30 years of insurance industry experience to ICW Group and is charged with establishing all underwriting direction, appetite and strategy for the new commercial multi-peril unit. Rossen will leverage the company’s top expertise in many classes of business, A.M. Best “A” Rated status and its highly successful

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