Alan Gray Selected to Provide Run-Off Administration Services for ECRA and CMC Reinsurance Pools
Weekly Articles
Fitch Ratings maintained a neutral outlook for the Asia-Pacific insurance sector in 2026, citing resilient demand for protection products and solid capitalization across most markets despite regulatory tightening and competitive pressures. Key challenges include softening non-life pricing in several markets, rising claims from natural catastrophes and economic headwinds in China, while life insurance growth remains supported by bancassurance and retirement savings trends.
The insurance sector recorded $29.6 billion in disclosed M&A deal value across 191 transactions in the six months ending May 2026, slightly down from the prior period, but appetite remains solid particularly for specialty carriers, MGAs, fronting carriers and E&S businesses. Private equity continues to participate selectively while artificial intelligence is expected to increasingly influence strategies, valuations and deal activity as carriers and distributors assess its impact on efficiency, cost structures and competitive positioning.
A Lloyds Bank survey shows insurers are prioritizing liquidity strength and balance sheet resilience amid rising financial sector confidence. The findings reflect a cautious but improving outlook across the industry, with insurers focusing on capital management, risk mitigation and operational efficiency in response to ongoing economic and market uncertainties.
The Insurance Information Institute (Triple-I) reported a substantial rise in lightning-related homeowners insurance losses in the U.S. during 2025, with insurers paying an estimated $1.65 billion, up 59 percent from $1.04 billion in 2024. The number of claims increased 11.6 percent to 61,986 while the average claim cost rose 42.8 percent to $26,616, driven by higher construction and repair expenses, inflation, and the growing value of electronics and smart-home technology in residential properties.
A 60-day US-Iran ceasefire has raised hopes of reopening the Strait of Hormuz but the maritime sector remains cautious amid unclear rules, unresolved nuclear issues and fears of reclosure. Shipowners have begun repositioning vessels and markets are rallying while insurers continue to hold firm on elevated war-risk premiums insisting on solid evidence of lasting safety including mine clearance and a return to the formal Traffic Separation Scheme.
Everest and Stone Point Capital have launched Annapurna Re Ltd., a new casualty reinsurance sidecar that will provide dedicated capacity to support Everest's growing U.S. and international casualty reinsurance portfolio. The sidecar, backed by institutional investors managed by Stone Point, is expected to generate approximately $300 million in ceded premium over a multi-year period and aligns with Everest's strategy to optimize capital and expand in attractive casualty lines.
Iran has imposed mandatory insurance requirements on all commercial vessels transiting the Strait of Hormuz, creating a new layer of compliance and cost for shipowners. The move is expected to be followed by mandatory fees or tolls for approved transits, adding further pressure on marine war risk and cargo insurance markets amid ongoing geopolitical volatility.
Lloyd's has launched a new marine war risk consortium led by Chubb and supported by participating syndicates to provide additional capacity for vessels and cargo transiting the Strait of Hormuz. The facility offers up to $200 million each for hull and P&I risks and $200 million for cargo, providing brokers and clients with enhanced solutions in the complex and fast-moving regional environment.
The Lloyd's Market Association has welcomed the US-Iran Memorandum of Understanding aimed at reopening the Strait of Hormuz but stressed that practical, legal, safety and sanctions issues must still be resolved before normal shipping can resume. LMA leaders highlighted that while the agreement is a positive step, greater detail is required on mine clearance, approved routes, toll payments and sanctions clarity to provide the stability and certainty needed for shipowners and insurers.
Gallagher Re reported reinsurance pricing down an average of 22.8 percent across its portfolio at the June 1 Florida renewal, with the largest reductions on higher layers and in non-catastrophe exposed business. The broker noted abundant capacity, improved cedent balance sheets, and a benign 2025 hurricane season as key drivers behind the accelerated softening, enabling better terms and structures for Florida cedents.
Iran has claimed it is closing the Strait of Hormuz in response to alleged ceasefire violations by Israel in Lebanon, though the US Central Command states that traffic continues to flow through the waterway. The fragile US-Iran ceasefire and conflicting statements continue to create significant uncertainty for shipping, with ongoing diplomatic talks in Switzerland and persistent risks keeping marine war and cargo reinsurance premiums elevated.
A federal judge in St. Louis has sent Bayer's proposed 7.25 billion dollar Roundup settlement back to Missouri state court ruling that only the defendant has the right to remove the case to federal court. The decision strengthens Bayer's efforts to gain final approval for the class action deal to resolve most of its approximately 65,000 lawsuits claiming the weedkiller causes cancer while objecting plaintiffs plan to appeal and the company awaits a separate U.S. Supreme Court ruling on preemption issues.
A federal judge in San Francisco dismissed xAI's lawsuit accusing OpenAI of stealing trade secrets related to its Grok chatbot. U.S. District Judge Rita Lin ruled that xAI failed to show OpenAI induced former xAI engineer Xuechen Li to divulge confidential information or that OpenAI knew of any disclosure, marking Elon Musk's second legal loss against OpenAI in four weeks.
Meta Platforms is lobbying Congress for broad legal immunity from child-harm claims tied to its social media platforms such as Instagram as part of negotiations around the Kids Online Safety Act (KOSA). The proposed language would shield online companies from state-law lawsuits related to minors' online safety and privacy, potentially undermining thousands of pending cases including the recent $6 million jury verdict against Meta and Google's YouTube.
The owner and manager of the Dali cargo ship that caused the 2024 collapse of Baltimore's Key Bridge have asked a federal court to dismiss economic loss claims brought by the city of Baltimore and about 11 private entities including dockworkers and businesses. Grace Ocean and Synergy Marine argue that under the longstanding Robins Dry Dock precedent these claimants cannot recover purely economic losses because they had no proprietary interest in the bridge itself.
Claims notifications are rising in the increasingly crowded Southern Europe transactional risk (M&A insurance) market according to Devonshires' Alex Martinez Salmon. This trend reflects heightened activity and competition in the region, with more deals leading to greater warranty and indemnity claim frequency as the market matures.
CRC Specialty has launched the Insurisk Middle Market Property Program, a new facility providing up to $50 million in capacity for non-catastrophe commercial property risks with total insured values up to $50 million and minimum premiums starting at $25,000. The program targets a broad range of middle market classes including offices, habitational, retail, light manufacturing, warehousing, hospitality, and institutional occupancies with comprehensive all-risk coverage and is backed by A.M. Best "A-" or better-rated paper.
Artificial intelligence is now deeply embedded in insurance operations, with carriers using it for underwriting, pricing, claims intake, and processing to improve efficiency and risk assessment. This adoption is expected to reshape insurance litigation by enabling faster document review, pattern recognition, litigation forecasting, and early case evaluation, while raising challenges around transparency, bias, regulatory compliance, and the need to balance automation with human judgment.
The rapid proliferation of large-scale data centers to support artificial intelligence infrastructure is creating highly complex and high-valued risks that go beyond traditional property and casualty insurance experience according to AM Best. Key concerns include significant business interruption exposure from interconnected networks, construction quality issues in rapidly built facilities, environmental liability from enormous water and power demands, potential cyber-physical loss cascades, and insurer asset exposure through investments.
Willis, a WTW business, has released its Cyber Claims in Focus 2026 report analyzing 5,500 cyber claims from 95 countries totaling over $1 billion in insurer payments from 2013 to 2026. Key findings show cyber insurance covering more than 95 percent of average data breach losses and 90 percent of first-party losses, with data breaches and ransomware as the most frequent and severe events, third-party vendors driving increasing losses, and AI fueling risk volatility rather than acting as a standalone claims driver.
Descartes Underwriting and Oak Global have partnered to introduce parametric insurance solutions at Lloyd's, leveraging advanced data, satellite imagery, and real-time triggers for faster and more transparent risk transfer. The collaboration aims to expand parametric capacity and innovation across multiple perils at Lloyd's, enhancing efficiency and resilience for clients in an evolving risk environment.
Liberty Mutual and ICEYE have partnered to launch a market-first parametric wildfire insurance product that uses satellite-based technology for rapid, objective payouts based on predefined wildfire parameters. The solution provides faster liquidity to policyholders after wildfire events, addressing traditional indemnity delays and helping businesses and communities recover more quickly from increasing wildfire risks.
Waymo is recalling nearly 3,900 robotaxis in the U.S. due to a software issue that could cause vehicles to drive into closed freeway construction zones and continue operating. This marks the second recall in just over a month after an earlier one involving vehicles entering flooded roads, as the Alphabet self-driving unit faces ongoing regulatory scrutiny over safety incidents.
Willis, a WTW business, has unveiled a new version of its Climate Diagnostic model embedded within the Risk IQ platform to help risk managers better understand and respond to climate-driven volatility affecting property insurance markets. The enhanced analytics tool predicts the current and future impact of floods, windstorms and other climate perils on assets and supply chains, enabling scenario-based assessments, resilience planning and improved insurability through broking workflows and risk engineering surveys.
Aegon has strengthened its leadership team and announced it will establish its future global headquarters in New York. The move reflects the company's strategic focus on the U.S. market and aims to enhance its presence and operational alignment in one of the world's leading insurance and financial centers.
Arch Capital Group has appointed Francois Halgan as CEO of Global Reinsurance and David Schmeiser as CEO of Global Mortgage, effective immediately. Halgan, who previously served as President of Arch Reinsurance, will lead the global reinsurance operations, while Schmeiser, who was President of Arch Mortgage Insurance, will oversee the global mortgage business.
Ariel Re has appointed Tim Shreeve as Chief Commercial Officer. Shreeve brings extensive experience in reinsurance distribution and client relationships and will lead Ariel Re's global commercial strategy, business development, and growth initiatives across its specialty reinsurance portfolio.
Augment Risk has appointed Lee Bonnett to strengthen its Managing General Agent (MGA) practice. Bonnett brings extensive experience in MGA operations and specialty insurance and will focus on driving growth, enhancing underwriting capabilities, and expanding the firm's MGA platform.
AXA XL has appointed Jeanmarie Giordano as Global Chief Underwriting Officer. Giordano, who most recently served as North America Chief Underwriting Officer at Everest and previously held senior roles at AIG, succeeds Libby Benet and will lead the company's global underwriting strategy, technical excellence, and portfolio resilience.
CRC Group has named Bethany Greenwood as Chief Executive Officer of its Underwriting Division. Greenwood, who previously served as President of the Underwriting Division, will lead strategy, operations, and growth across CRC's specialty insurance and MGA platform.
Arch Capital Group has promoted Jerome Halgan to CEO of Arch Global Reinsurance Group and Michael Schmeiser to CEO of Arch Global Mortgage Group. Both will continue to report to President Maamoun Rajeh as Arch strengthens its leadership structure following the recent expansion of Rajeh's role.
HDI Global US has appointed Dan Feige as Head of Engineering, Construction and Inland Marine Underwriting. Feige brings extensive underwriting leadership experience and will be responsible for driving growth, strategy, and performance across these key specialty lines for the company.
HDI Global US has appointed Jill Salmon as Head of Cyber Underwriting. Salmon brings significant cyber underwriting expertise and a strong track record of building high-performing teams, most recently as Head of Professional Liability at Berkshire Hathaway Specialty Insurance, and will focus on advancing HDI's cyber platform and growth in the US market.
Liberty Mutual Insurance has appointed Defne Turkes as President and Managing Director of Global Risk Solutions International Division. Turkes brings extensive international insurance experience and will lead the division's global strategy, growth, and operations across specialty risk solutions outside the U.S.
Lockton has appointed Stephane Lesperance as CEO of its Canadian business. Lesperance brings extensive experience in the Canadian insurance market and will lead Lockton's strategy and operations across the country, focusing on growth, client service, and talent development.
RSUI Group Inc. has announced that Chairman and Chief Executive Officer Phillip McCrorie will retire in March 2027 after more than 20 years with the company. McCrorie, who joined RSUI in 2003 and has served as CEO since 2010, will be succeeded by current President and Chief Operating Officer Brian O'Hearne, who will assume the role of President and CEO.
Sompo has appointed Henry MacHale as Chief Underwriting Officer and Head of Strategy for its International Markets insurance business. MacHale, previously Group Chief Strategy Officer at Aspen, will be based in London and will work with regional underwriting leaders to drive performance, set global underwriting policy, and shape strategy for organic and inorganic growth across 22 countries.
Learn more about us on our website: https://www.alangray.com/
Alan Gray was established in 1988 as a claims and audit advisory firm, and over the years has built a reputation as a cost-effective, reliable, and trusted resource to those involved in the management of risk.
