Weekly Articles
Insurance Market
2024 P/C Insurance Combined Ratio Best in More Than a Decade
In 2024, the U.S. property/casualty insurance industry achieved its best underwriting performance since 2013, with an aggregate combined ratio of 96.5, driven by significant improvements in personal lines such as homeowners and private auto insurance. However, challenges remain in commercial auto and liability lines, where combined ratios stayed elevated due to persistent loss pressures.
Allianz reports record operating profit and is fully on track to achieve full-year outlook
Allianz reported a 6.3% increase in operating profit to €4.2 billion for Q1 2025, with total business volume rising 11.7% to €54.0 billion, driven by strong performance across all segments. Despite a one-off tax provision related to the sale of its Indian joint ventures, shareholders’ core net income remained stable at €2.6 billion, and the company reaffirmed its full-year operating profit target of €16.0 billion, plus or minus €1 billion.
Kin Reports 35% YoY Revenue Growth in Q1; California Market Expansion Propels Results
Kin Insurance reported a 35% year-over-year revenue growth in Q1 2025, achieving $47 million in total revenue and nearly doubling its baseline operating income to $13.3 million, driven by a 95% gross profit margin and a 42% operating income margin. The company's expansion into California significantly contributed to this growth, with nearly 3,000 policies bound and $5.3 million in total bound premium within three months, matching the performance of its second-largest market, Texas.
Q1 2025 P/C Market Survey | The Council of Insurance Agents & Brokers
The Council of Insurance Agents & Brokers' Q1 2025 P/C Market Survey indicates a softening in most commercial insurance lines, with average premium increases across all account sizes at 4.2%, down from 5.4% in Q4 2024. However, commercial auto and umbrella lines experienced significant premium hikes of 10.4% and 9.5%, respectively, largely attributed to the influence of third-party litigation funding, which has escalated claim severity and led to increased underwriting scrutiny and reduced coverage limits.
Talanx Group off to a very good start in 2025
Talanx Group reported a record-breaking Q1 2025, achieving €604 million in net income—a 5% year-over-year increase—despite incurring €881 million in large loss payments, including €640 million from California wildfires. The company saw a 5% rise in insurance revenue to €12.4 billion, maintained a solid combined ratio of 92.8%, and reaffirmed its full-year net income target of over €2.1 billion.
The U.S. property/casualty insurance industry achieved its best underwriting performance since 2013 in 2024, with a net combined ratio of 96.6, driven by significant improvements in personal lines such as auto and homeowners insurance. However, this positive trend faces challenges in 2025 due to substantial losses from the January California wildfires and the economic impacts of newly implemented tariffs, which are increasing replacement costs and potentially slowing sector growth.
US House Bill Reintroduced to Rid Federal Insurance Office of Subpoena Power
Representative Scott Fitzgerald has reintroduced the Insurance Data Protection Act to the U.S. House of Representatives, aiming to strip the Federal Insurance Office (FIO) of its subpoena power. Fitzgerald and industry groups argue that the FIO's recent efforts to collect underwriting data under the guise of climate risk overstep its intended advisory role and infringe upon state-regulated insurance practices.
Reinsurance Market
Aviva 'off to a great start' with GI premium growth of 9% in Q1'25
Aviva reported a 9% year-over-year increase in general insurance premiums for Q1 2025, totaling £2.9 billion, driven by strong performances in both personal and commercial lines, bolstered by new business and the acquisition of Lloyd’s insurer Probitas. The company maintained a robust Solvency II shareholder cover ratio of 201% and expressed confidence in achieving its 2026 financial targets, including an operating profit of £2 billion and cumulative cash remittances exceeding £5.8 billion between 2024 and 2026.
AM Best has expressed support for the European Union's proposed public-private natural catastrophe reinsurance scheme, highlighting its potential to reduce pricing volatility, enhance post-disaster funding, and narrow the protection gap between economic and insured losses. However, the agency cautions that critical details—such as the scheme's mandatory nature, pricing structures, and regulatory oversight—must be clarified to ensure its effectiveness and stakeholder acceptance across diverse national markets.
Conduit Update for Q1 2025 CRE
In its Q1 2025 trading update, Conduit Holdings Limited reported a 15% year-over-year increase in gross premiums written, totaling $410.2 million, with growth across all segments: Property ($237.9 million), Casualty ($84.1 million), and Specialty ($88.2 million). Reinsurance revenue rose 17.6% to $213 million, and the company achieved a 2.1% return on its high-quality investment portfolio. Despite significant catastrophe losses, including estimated net losses between $100 million and $140 million from the California wildfires, Conduit maintained its mid-teens return on equity target and announced a $50 million share buyback program, reflecting confidence in its capital position and future prospects.
Fidelis Insurance Group - Fidelis Insurance Group Reports 2025 First Quarter Results
Fidelis Insurance Group reported a net loss of $42.5 million for Q1 2025, primarily due to $166.8 million in losses from the California wildfires, resulting in a combined ratio of 115.6% and an operating return on average equity of -7.6%. Despite these challenges, the company achieved a 13.8% year-over-year increase in gross premiums written, totaling $1.72 billion, and returned $33.2 million to shareholders through share repurchases and dividends.
Hannover Re reported €480 million in net income for Q1 2025, down nearly 14% from the prior year due to €631 million in claims from the California wildfires and other catastrophe losses. Despite exceeding its large-loss budget, the company maintained a strong return on equity of 16.1% and reaffirmed its full-year profit target of €2.4 billion.
Ivans Index shows y-o-y increase in premium renewal rates in April
In April 2025, the Ivans Index reported year-over-year increases in premium renewal rates across all major U.S. commercial insurance lines, except for Workers’ Compensation, which saw a decline. Notably, General Liability rose to 4.33%, Commercial Property to 7.70%, and Umbrella to 9.41%, while Commercial Auto and Business Owners Policy (BOP) experienced slight decreases, and Workers’ Compensation fell to -1.78%.
Munich Re posts net result of €1.1bn in Q1 despite high major-loss expenditure | Munich Re
Munich Re reported a net profit of €1.094 billion for Q1 2025, down from €2.115 billion in the same quarter of the previous year, primarily due to €1.1 billion in claims from the Los Angeles wildfires. Despite this, the company maintained its full-year profit target of €6 billion, supported by strong performances in life and health reinsurance and its ERGO segment.
Swiss Re reports a first-quarter net income of USD 1.3 billion | Swiss Re
Swiss Re reported a first-quarter 2025 net income of $1.275 billion, marking a 16% increase year-over-year, driven by strong investment returns and favorable tax outcomes, despite incurring $570 million in claims from the Los Angeles wildfires . The Property & Casualty Reinsurance segment achieved a net income of $527 million with a combined ratio of 86.0%, while Corporate Solutions and Life & Health Reinsurance contributed $208 million and $439 million in net income, respectively.
Commercial Lines
Commercial Property Customers Cutting Insurance Corners Despite Risk
A third of U.S. commercial properties faced natural disaster damage in the past five years. Rising severe weather risks are prompting cost-cutting, policy bundling, and calls for stronger building codes, especially in wildfire and hurricane-prone areas.
Markets/Coverages: QBE Starts New Commercial Property Product for Large Companies
QBE North America has introduced a new commercial property insurance product tailored for large U.S. companies, offering all-risks coverage on a shared and layered basis—including primary, quota-share, buffer, or excess positions. The product targets a wide range of industries, including education, healthcare, technology, and real estate, aiming to address the complex risk landscape faced by large corporations.
At RIMS, Sedgwick Experts Outline Key Workers’ Comp Claims Trends
At RIMS RISKWORLD, Sedgwick spotlighted trends in workers’ comp: early behavioral health engagement cuts missed workdays, aging workforce drives higher costs, stress must be addressed proactively, and tariffs may disrupt medical supply chains and drug availability.
Sedgwick: Number of Recalled Products in US Rose 25% in First Quarter
In the first quarter of 2025, the total number of products recalled in the U.S. surged by 25% to 125.37 million units, despite a slight decrease in the number of recall events to 775. This increase was primarily driven by significant rises in recalls within the pharmaceutical and food sectors, while automotive, medical device, and FDA-regulated food recalls saw modest declines.
Workers’ Comp Premiums Fall 3% in 2024; Combined Ratio Holds at 86: NCCI
In 2024, U.S. workers’ compensation premiums declined by 3%, yet the industry maintained a strong combined ratio of 86 for the eighth consecutive year, according to the National Council on Compensation Insurance (NCCI). Despite this profitability, medical and indemnity claim severities each rose by 6%, with notable increases in injury frequency within the private education sector, potentially linked to workplace violence incidents.
Workers Express Lower Tolerance for Toxic Environments
Workers are increasingly unwilling to tolerate toxic work environments, with many prioritizing mental health and well-being over job security or higher pay. Experts note that younger generations are more adept at recognizing and rejecting abusive behaviors, leading to a cultural shift where employees are more likely to leave harmful workplaces and seek supportive, respectful professional settings.
Emerging Risks & Technologies
Coinbase Hack May Cost Company $400M, Rocks Crypto Pioneer
Coinbase disclosed a significant data breach involving bribed customer service representatives who provided hackers with access to sensitive customer information, including personal and financial details, leading to a $20 million ransom demand. The breach, which may cost the company up to $400 million, has raised concerns about customer safety and data security, prompting Coinbase to offer a $20 million bounty for information leading to the attackers' arrest and to reassure customers that its Prime custody service remains unaffected.
Data Exfiltration is the New Ransomware in Evolving Cyber Landscape
Ransomware attacks have evolved from merely encrypting systems to focusing on data theft, leading to increased legal and notification costs even as ransom payments decline. Organizations are now advised to implement Data Loss Prevention tools to monitor and prevent unauthorized data exfiltration, enhancing compliance and reducing potential liabilities.
EPA to Rollback Limits on ‘Forever Chemicals’ in Drinking Water
The Environmental Protection Agency (EPA) announced plans to weaken certain limits on "forever chemicals" (PFAS) in drinking water that were finalized last year, while maintaining standards for two common types, PFOA and PFOS, but extending the compliance deadline for utilities to 2031. This move, aligning with some utility industry arguments, has drawn criticism from health advocates who argue it undermines public health protections and may violate the Safe Drinking Water Act.
FEMA Chief Says Agency Will Raise State Burden for Disasters to 50%
David Richardson, the newly appointed head of the Federal Emergency Management Agency (FEMA), announced plans to increase the state's share of disaster response costs from 25% to 50%, aligning with the Trump administration's objective to reduce federal expenditures. Richardson emphasized a shift in FEMA's role, focusing strictly on legally mandated functions and encouraging states to take greater responsibility for disaster preparedness and recovery efforts.
FERMA’s NEXT report highlights – FERMA
FERMA's inaugural NEXT (New EXposure Trends) report warns that short-term thinking and cognitive biases are leaving European businesses and governments vulnerable to long-term risks such as geopolitical instability, technological disruption, talent shortages, and climate change. To address these challenges, the report advocates for strategic foresight practices—including scenario planning and horizon scanning—to help organizations overcome systemic barriers and build resilience against emerging threats.
Insurer Coalition: Costs From Business Email Compromise Rise in 2024
According to Coalition's 2025 Cyber Claims Report, business email compromise (BEC) incidents accounted for approximately 60% of the cyber insurance claims it handled in 2024, with the average claim severity increasing by 23% to $35,000. Notably, nearly 30% of these BEC claims involved funds transfer fraud, where initial losses averaged $185,000; however, Coalition successfully recovered $31 million for policyholders, emphasizing the importance of promptly reporting such incidents.
Marks & Spencer Says Hackers Have Stolen Some Customer Data
Marks & Spencer (M&S) disclosed that hackers stole some customer personal data during a recent cyberattack, though no usable payment or card details were compromised. The retailer is collaborating with cybersecurity experts and law enforcement to investigate the incident, which involved ransomware infections and prompted M&S to suspend online orders and contactless payments.
Waymo Recalls 1,200 Self-Driving Vehicles After Minor Collisions
Waymo is recalling 1,212 self-driving vehicles equipped with its fifth-generation automated driving system software to address collision risks with chains, gates, and other roadway barriers. The recall follows 16 minor incidents reported between 2022 and late 2024, none resulting in injuries, and the issue has been resolved with a software update deployed across the fleet by December 2024.
Willis Launches FinTech Plus - WTW
Willis Towers Watson (WTW) has introduced FinTech Plus, a global insurance solution tailored for fintech companies navigating growth, regulatory complexities, and evolving digital risks. Developed collaboratively by WTW teams in the UK and US, the product offers unified financial, cyber, and regulatory coverage through a streamlined single proposal form and consistent policy wording, backed by a panel of Lloyd’s syndicates and London-based insurers.
Litigation & Mass Torts
Boy Scouts abuse settlement survives insurer and claimant appeals
The Third Circuit upheld most of the Boy Scouts' $2.46B abuse settlement, denying objections from Liberty Mutual and AIG, but partially sided with Allianz, preserving its reimbursement rights. Abuse claimants’ late appeal on third-party releases was rejected.
New Jersey Announces $450 Million PFAS Settlement With 3M Days Before Start of Trial
New Jersey has reached a landmark settlement with 3M, securing up to $450 million over 25 years to address environmental damage caused by PFAS, also known as "forever chemicals," at sites including Chambers Works and Parlin. This agreement, the largest of its kind in the state, resolves 3M's liability in several lawsuits and mandates continued remediation efforts, while also reflecting a broader trend of insurers tightening coverage for PFAS-related risks amid escalating litigation and regulatory scrutiny.
Toyota Settlement, Walmart Lawsuit Scrapped by CFPB
The U.S. Consumer Financial Protection Bureau (CFPB) has rescinded a 2023 settlement with Toyota's financing arm, which had required the company to pay $60 million in penalties and consumer refunds over allegations of steering buyers into costly, unwanted add-on products. Additionally, the CFPB dropped a lawsuit against Walmart and payments firm Branch, which had accused them of imposing over $10 million in fees on delivery drivers—moves reflecting the Trump administration's broader rollback of consumer finance enforcement actions.
White House Dismisses Democrats on Consumer Product Safety Commission
The Trump administration dismissed three Democratic commissioners from the Consumer Product Safety Commission (CPSC), asserting executive authority over the agency. The ousted commissioners contend the firings are unlawful, arguing that CPSC members can only be removed for cause, and express concerns that the administration's actions may compromise consumer safety standards.
People Moves
AIG has appointed Angelo Colombo as CEO of its Latin America and Caribbean operations, effective June 2, 2025, pending regulatory approval. Based in São Paulo, Colombo brings over 20 years of experience and will focus on expanding AIG’s regional presence and client relationships.
Aon appoints Lambros Lambrou to serve as Chief Strategy Officer
Aon has appointed Lambros Lambrou as Chief Strategy Officer, effective immediately, to lead key initiatives central to the firm's Aon United strategy and its 3x3 Plan. In this role, Lambrou will focus on enhancing integration between Aon and NFP, collaborating closely with NFP CEO Doug Hammond to deliver comprehensive solutions to clients.
AXA XL promotes Mick Turvey to lead UK Mid market underwriting | AXA XL
AXA XL has promoted Mick Turvey to Head of Mid-market Underwriting and UK Regions, UK & Lloyd's. In this role, Turvey will lead the underwriting strategy for the middle market portfolio, focusing on UK clients with both domestic and international exposures, and oversee regional teams in cities including Bristol, Birmingham, Glasgow, Leeds, London, and Manchester. With 35 years of experience in property and casualty underwriting, Turvey joined AXA XL (then XL Catlin) in April 2013.
AXA XL Strengthens Team in India with Key Appointments | AXA XL
AXA XL has expanded its team in India with key leadership and underwriting appointments, including Saumitra Sharma as Chief Underwriting Officer and Alok Shukla as CEO of the India Reinsurance Branch. Additional hires across underwriting and claims functions aim to strengthen the company’s operational and technical capabilities in the region.
Conduit CEO appointment and Directorate Changes
Neil Eckert has been appointed as the permanent Chief Executive Officer of Conduit Holdings Limited, following his interim leadership since March 2025 after Trevor Carvey's retirement. Additionally, Rebecca Shelley has been named Interim Non-Executive Chair, and Ken Randall has taken on the role of Senior Independent Director, as the company initiates a search for a permanent Chair.
Launch Underwriters adds Sparks as CEO joining Matson as executive chairman | Program Manager
Launch Underwriters has appointed Dennis Sparks as CEO and Erik Matson as executive chairman, reuniting the former MS Transverse executives to lead the company's next-generation managing general agent (MGA) platform. Their leadership aims to drive innovation and growth within the MGA sector.
New Energy Risk Appoints George Schulz CEO – New Energy Risk
New Energy Risk (NER) has appointed George Schulz as its new Chief Executive Officer, effective June 1, 2025, succeeding Tom Dickson, who led the company for over a decade. Previously serving as NER’s Managing Director of Program Development, Schulz played a pivotal role in expanding the company's underwriting capabilities and bringing innovative risk solutions to emerging sectors in renewable energy, sustainable fuels, and infrastructure technology. As CEO, Schulz aims to build on NER's strong foundation and broaden its risk solutions to enable impactful technologies throughout their lifecycle.
Reinsurance Expert Dan Powers Joins Alliant Insurance Services in Boston
Dan Powers has joined Alliant Insurance Services as Senior Vice President within its Value-Based Healthcare and Risk Management Solutions practice, bringing over two decades of experience in business development, partner strategy, and reinsurance. Based in Boston, Powers will lead reinsurance strategy and alternative risk initiatives, collaborating with healthcare providers, systems, and payers to design customized financial protection strategies aimed at improving care and reducing costs in value-based contracts.
Zurich North America announces new leaders in U.S. National Accounts and Underwriting
Heather Fox is appointed Head of U.S. National Accounts at Zurich North America as Paul Lavelle retires; Peter Caminiti becomes Chief Underwriting Officer for North America, marking a strategic leadership transition within Zurich's executive team.
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