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With 20 years of underwriting directors’ and officers’ (D&O) insurance to her name, Emma Pereira (pictured), product leader, international management liability at Beazley, has worked with companies of every size and scale, and seen first-hand how the landscape has evolved.

The constantly changing nature of the market is what has kept her interest piqued for the last two decades, she said, with new companies and product lines continually emerging – and insurance businesses must keep pace with this evolution to enable enterprise. It’s why she feels so passionate about insurers investing in training programmes and being a voice in the market.

“I like that it’s constantly changing, and, having studied economics, seeing how it all fits in with the world around you,” she said. “There are new types of companies coming all the time, often in really fascinating cutting-edge science areas: whether it’s new developments around AI, or new medical innovations. And we like having the opportunity to try and support those businesses, to allow them to operate and keep doing the important work they’re doing.”

D&O insurance market changes

Assessing the current lay of the D&O land, Pereira noted that there has been a lot of change in the last few years. COVID changed the D&O market quite drastically overnight, she said, as businesses that were seen as low-risk suddenly moved into high-risk categories. Providers had to re-evaluate their portfolios to factor in potential additional claims volatility, and essentially to speculate what might happen in the broader external business environment and economy.

“In the last few years, prices went up quite a lot, while terms and conditions tightened,” she said. “We at Beazley did pride ourselves on writing all the high-risk accounts. We asked a lot of questions, but we stuck with clients and we picked up a lot of new business. We were trying to work and build new partnerships and relationships during that time when other markets either withdrew completely or pulled back on capacity.

“But now, with COVID behind us (touch wood), markets have come back in and there’s capacity again. Things are livening back up and there are more options out there, which is great for clients because it’s not a great situation when they have either zero options or just one. It’s a bit more competitive again, which is the condition needed for us to start coming up with new products and try to do something different to differentiate ourselves.”

During COVID, the emphasis was on emergency measures and business as usual, Pereira said, and she’s relishing seeing such a voracious appetite for innovation in the market. For Beazley, this includes its new private equity (PE) portfolio D&O product which looks to protect insureds through their full lifecycle, from company purchase through to divestment.

“The PE market is huge, with US$1.2 trillion in assets under management,” she said. “So, these are all companies that are owned by PE houses. And people think that these small private companies can just fit under a private company wording but actually, they do need a much more bespoke approach because they are quite a different beast in a lot of ways. I’ve always thought I’d like to develop this wording and this just felt like the right time.”

The coverage looks to insure its clients across the entire time in which they are owned by the PE house, she said, with an automatic renewal clause and some pre-agreed options for when the business exits.

“So, we’re taking a holistic approach to clients’ pricing and coverage requirements rather than providing a solution for one year and then changing the terms and conditions, and pricing the next year,” she said. “Typically, these life cycles are four-to-seven years but depending on the private equity house, they can be far longer or shorter. In D&O, policies don’t tend to cover a whole lifecycle, they are solid on an annual basis.

“And I think, particularly during COVID where certain companies had trouble getting cover and faced very volatile market conditions, there was a cry for a bit more sustainability and for someone to demonstrate consistency.”

Unique product features

Quite unique to the coverage is the introduction of key-person cover, she said, which is not typical in D&O policies but reflects that often small private companies are framed around one individual – whether it’s the founder, or the person behind the tech, etc. In the event of that person becoming incapacitated, the coverage offers protection. Another element is the addition of a legal advice helpline – essential support for small PE companies that don’t necessarily have the means to access expert legal advice.

At the core of the product’s development is a focus on what PE-backed firms are looking for, which is where broker feedback and communication have been so critical. As a result, Pereira said, the wording has already elicited a positive reaction across the marketplace.

“We’re having the conversations with brokers about what this means for their clients,” she said. “So, we’re letting the market know that we’re innovating, we’re coming up with different solutions and we are very much thinking about what our specific clients need. That has been generally very well received which is why after the trial run in London, we’ve started the rollout in our other territories.”

As a passionate advocate for increased education around D&O risk, Pereira emphasised how the narrative around the exposure of private companies to claims has changed. There’s now more awareness that claims do arise in this sector, she said, albeit not with the same frequency as other product lines.

“This cover does need to be taken seriously because it is serious cover,” she said. “When these directors and officers are held personally responsible, they can lose everything. They have to sell their house, their kids come out of private school and every asset they’ve got can be taken unless they’ve got insurance to protect them. And I wouldn’t sit on the board or as a director of any company without a policy there to protect me.”

Between turbulent financial conditions, a destabilised geopolitical landscape, and the upsurge of concentration on what generative AI might mean for the future, brokers are tasked with helping their clients navigate an increasingly complex external trading environment. And as SVP of strategic distribution & development at Sompo International, Maxine Goddard (pictured) has a 360-degree view of what’s pressing on brokers as they look to do so.

“Client needs are changing, macroeconomic needs are shifting and so, we have to be dynamic,” she said. “We are in a competitive environment and everybody recognises that they need to be responsive and they need to be flexible, but the key theme is – who can do it better?

“We are in the time of the VUCA – the volatility, uncertainty, complexity and ambiguity, and therefore we need to be responsive to those changes. And so being innovative in our products, and innovative in how we deliver our products and our services is absolutely critical.”

Collaboration – the key to developing timely insurance products and services

Goddard noted that what she relishes most about her role is that it allows her to work in such a hands-on capacity with the broker market and to find out what they need from their providers first-hand. It’s an inherently collaborative approach that’s required, she said, which centres on discovering what it is and isn’t working, and determining what needs to be done differently to meet expectations.

“So, we’re always having conversations with the market, with the brokers, with the clients to find what they’re looking for and then be adaptive to those needs,” she said. “It’s a very liberal role in the sense that [my team is] fluid and wants to do things differently and really make a change. And because Sompo is quite new to being seen as a strong top-10 player in the market, we want to be highly visible and proactive.”

Sompo’s collaborative approach is especially timely given the demand for responsive insurance partners, which is being driven by the increasingly interconnected risk landscape facing organisations of every size and sector. Goddard highlighted that increased discussions around sustainability and weather-related events are an example of an area where brokers and clients are looking for insurance providers to be ready and adaptive to their ever-evolving needs.

Where new protection gaps are opening up, Sompo needs to be on-hand to deliver products and services that meet those needs, she said – and to help empower brokers to have new conversations with their clients around sustainability and ESG. There needs to be a strong response to the changing regulatory landscape – a demand coming from third-party suppliers, regulators, clients and brokers alike.

“So it’s really about having a 360-degree view of how things are evolving and making sure that we can respond to those needs,” she said. “Sompo Japan – which is our mothership – has seen earthquakes, tsunamis, etc., so it is very responsive to the needs of weather and climate. And across the entire organisation, the culture is to look at ways to innovate, to look at those underwriting solutions that will help.

“Whether it’s parametric solutions, whether it’s using technology to support how we deliver products, that is absolutely key. From a broker management perspective, I come in to find out from the brokers if these solutions are able to exactly suit their client’s needs and if they’re what clients are demanding. They can help us understand if our products are fit for purpose and also what others are doing in the space so that we can actually innovate and be a little bit unique.”

How Sompo backs its broker partners

Supporting brokers through these challenging external market conditions really all starts with listening, Goddard said. There is not a one-size-fits-all solution, so providers can’t afford to take the attitude that they know it all already, particularly when the landscape is moving so rapidly. COVID was an example of how fast the risk environment can change in ways that people just don’t see coming – and it’s critical to use those lessons to explore new emerging risks before they are realised.

“It’s about listening and keeping your ear close to movements in the market, what customers are talking about and what they’re worrying about,” she said. “But it’s also about looking at the macro-horizon to see what’s coming. It does take some degree of being a ‘fortune-teller’, to be able to almost see what’s coming – backed by the right data sources.

“There’s a lot of science behind insurance, with our experience and exposure models. We do also have hunches but they’re just about listening more and being in tune. When we talked about risks back in 2020 at the World Economic Forum, of course, disease and pandemic was discussed but it was never top of the agenda. Now it very much is, along with climate and weather-related cat events. So, it’s about being aware these risks are real and that some of these emerging risks aren’t actually emerging, they’ve happened before and we’ve got to be ready for the next cycle.”

Critical to Goddard’s role is amplifying Sompo’s voice in the market to ensure that the provider is recognised as a credible and innovative modern insurer. She is relishing the opportunity at hand to build the brand, she said, and to work closely with brokers and clients, as well as looking for new strategic partnerships. As a Japanese-headquartered company, Sompo is very relationship-focused, and it’s interesting to see how this is becoming more of the norm across the Western world.

“My team is a small team, but we do work with brokers across the entire UK to make sure that the brand Sompo is recognised, visible and front of mind, and that we are seen to be an insurer that will be flexible and adaptable to clients’ needs,” she said. “And I’ve been pleasantly surprised at how brokers are responding to that. We’ve been highly regarded as a new player and we do see ourselves as a challenger insurer.

“We’re the new kids on the block and we are coming in with some products that are innovative in the sense that we’ve come to the market with something that’s ‘fresh for old’. And what I mean by that is, for example, the multinational international programmes market has been the typical five players for a number of years. Now we’re offering new capacity at Sompo and it’s refreshing for brokers because they’ve got something different they can offer their clients in that space.”

SiriusPoint, a global specialty insurer and reinsurer, has announced the appointment of Linda Lin as chief legal officer, effective July 24.

Lin will join SiriusPoint’s executive leadership team (ELT) and report directly to CEO Scott Egan. Based in New York, she will assume the role previously held by Jimmy Yang, who has been serving as the interim general counsel since February. Yang will work closely with Lin to ensure a smooth handover and transition.

“As a highly experienced general counsel with a broad legal background in the (re)insurance and listed environments, I have no doubt that Linda will be an enormous asset in helping us deliver against our ambitious strategy,” Egan said. “I am delighted that she is bringing her expertise to SiriusPoint and further strengthening our deep bench of executive talent in the areas of leadership and culture building. I am very grateful to Jimmy for the contribution he has made as interim GC. He has been invaluable to the progress we have made in the last nine months.”

Prior to joining SiriusPoint, Lin served as the general counsel and corporate secretary at Coaction Global (formerly Prosight), where she oversaw legal, regulatory, compliance, product development, and internal audit functions. She also held the position of senior vice president, general counsel, business unit legal, and co-headed regulatory at QBE North America (QBENA). Lin has also held various legal, claims, and product development roles at Berkshire Hathaway Specialty Insurance and Liberty International Underwriters. Before her insurance career, she worked as a litigator at the law firm Willkie Farr & Gallagher.

“I very much look forward to joining SiriusPoint. It is an exciting time for the company, which has a revitalised strategy and executive leadership team, and a keen focus on culture and values,” Lin said. “I look forward to working with the ELT and board to contribute to the strides SiriusPoint is making in its performance, and to supporting the company’s diversity, equity and inclusion initiatives, an area particularly important to me.”

Beyond her professional role, Lin is actively involved in various legal and community organisations. She serves as the president of the Sotomayor Program, which nurtures and develops future legal leaders from underserved communities and diverse backgrounds. She is also a member of the Eastern District of NY Magistrate Judge Merit Selection Panel and a board member of the Asian American Law Fund of NY. Previously, she held the position of president at the Asian American Bar Association of New York.

Earlier this month, SiriusPoint announced the appointment of Bronek Masojada as chair of its board of directors. The company also recently named Steve Yendall as chief financial officer.

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Canopius Group has announced the launch of its Cyber Incident Management Team (CIMT) to provide comprehensive support to Canopius cyber policyholders worldwide in the face of cyberattacks.

Leading the service are the Cyber Incident Response team leaders based in Canopius’s international business units. Brendan Helleman, who served in the British Army and UK Ministry of Defence for two decades, heads the team in London. Ellen Brookes, previously a technical support specialist at global law firm K&L Gates, leads the team in Sydney. Steven Wesolek, with nearly 10 years of information security and incident response experience, assumes the role in Chicago.

In addition to the regional leaders, six team members are spread across London, Sydney, and Chicago, bringing diverse expertise from backgrounds in cybersecurity, corporate relationship development, and the military.

Canopius’ CIMT aims to significantly enhance the insureds’ initial response to cyber attacks, reducing recovery time and improving service quality. The team manages interactions with specialized services required to address the attack’s impact, including lawyers, data forensics experts, and PR and reputation specialists. In-house response capabilities allow Canopius to address incidents within hours, while outsourced services can take days, the company said.

Canopius policyholders gain access to preferred rates for specialist cyber incident service providers. The CIMT also offers pre-event risk mitigation services, such as tabletop hacking simulations, which help identify vulnerabilities in insured computer systems.

“The launch of Canopius’s global cyber incident response marks a significant investment in our capabilities and further specialisation of our dedicated cyber claims team. It represents another milestone in the growth of our global cyber portfolio, wherein the focus is always to provide first class services,” said Matt Northedge, global head of cyber and technology at Canopius. “As the impact of cyber-attacks continues to grow in complexity, insureds and brokers require even closer collaboration when managing the consequences of such attacks. I am delighted to welcome our new team, who are already adding significant value and relief to our growing number of policyholders.”

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Over the last few weeks, we have seen two sharply contradictory stories on risk management and climate change. In response to accusations from Republican politicians in the US that the UN’s Net Zero Alliance is anti-competitive, a growing number of insurance firms have pulled out of the initiative. At the same time, an industry expert in the UK recently warned insurance executives that they could be held individually liable if their firm fails to live up to promises about environmental, social and governance issues.

It seems that insurers are being squeezed between two conflicting demands, one which criminalises an over-zealous approach to climate change, while another adds teeth to demands for climate change to be taken more seriously.

How are insurers supposed to negotiate these risks?

The first lesson is that there are no easy answers – there is no absolute good and bad in the practice of sustainability, and often the right thing to do is to embrace complexity and ambiguity and play a part in managing complex changes – ensuring the right governance and plans are in place to create an orderly transition, not only in insurance firms, but in the companies they underwrite and invest in.

More black-and-white approaches like screening out entire sectors or seizing on one technology as a panacea for the environment will ultimately reveal a lack of rigour, and a lack of willingness to track and understand the issues as they develop.

There is no easy way out of the demands that face insurers on climate change, but there is a way to meet the challenges. By tracking the route through to net zero, and factoring equally important issues such as political and social stability and biodiversity, insurers can develop a new dimension of professionalism that will enable them to manage regulatory risks and emerge from the climate change debate with a stronger reputation for ethical practice.
 

Her years spent supporting insurance brokers in lead generation and sales consulting have equipped Barbara Miller (pictured), group head of corporate sales at Clear Insurance, with a keen understanding of what it takes to succeed in a highly competitive marketplace. Insurance is perceived as a transactional industry, she said, so her role is to support people in demonstrating the power of the consultative approach.

“It’s a challenge that has been here forever because differentiation is notoriously difficult in this service sector industry,” she said. “People don’t see a difference between these service-led businesses which, when you cut through it, are selling the same product from the same marketplace to the same pool of businesses in the UK.

“So, how do you differentiate yourself? You do that through your work ethic, your ability to instil confidence in your clients and your ability to demonstrate that you’re the best and safest pair of hands to look after them. And that takes training and cultural change.”

Learning and development – the key to differentiation?

Learning and development are at the core of Clear’s employee-centric proposition, she said, and it’s that emphasis which led to the recent development of its Early Career Professionals (ECP) Network. The idea was first suggested by one of the current members of the network, who pinpointed the value in having a support programme aimed at people looking to develop their insurance careers.

Miller noted that at the heart of getting any such initiative off the ground is having a business that’s willing to listen to new ideas and make the investment necessary to make them happen. For Clear, she said, which is passionate about developing its talent pipeline, it made sense to seize the opportunity at hand to support and nurture its early career professionals.

“I got involved because naturally, some of the feedback we received was that people felt they’re missing the confidence to know how to identify their career opportunities and propel themselves,” she said. “They want to know how to voice their opinion, how to network well and how to do public speaking. They asked me because I do a lot of that around the business and also produce our Clear forums which are internal company-wide forums offering training on products, services and soft skills.”

She was delighted to get involved with the network, Miller said, as it directly links to something she is deeply passionate about – reducing the investment gap in early careers is a clear concern across all sectors, not just insurance. People have got to get involved in bridging that gap, and this network provided a clear opportunity to do just that.

Rolling out a successful network

The next step was the creation of a workshop looking specifically at building confidence in public speaking and networking, which saw Miller undertake a ‘roadshow’, going out to different branches and teams around the business. It was overwhelming to see how well this was received, she said, and to see how people were encouraged to step out of their comfort zones and to really take charge of their own career trajectories.

“The immediate feedback was that they felt inspired,” she said. “And that’s so important to me because going back to my background, I don’t have a degree, I’m not Chartered, and I’m not qualified in sales or marketing. Yet, I’m the group head of corporate sales for the Clear Group. What makes the difference isn’t all about your academic background.

“It’s about the choices you make along the way. Will you take an opportunity, or won’t you? Will you stand up in front of a room of people and say what you think, based on good information – or will you not because you feel unconfident? It’s about making sure that people feel empowered to take opportunities.”

The ECP Network is aimed at those early in their careers within the insurance industry who feel passionate about insurance as a career rather than just a job. It attracts those who are looking to progress and make the most of the opportunities available to them, she said, and those who want to be part of the future of the insurance profession.

The purpose of Clear’s ECP Network

“The purpose and mission of this is to provide a platform for [these individuals] to contribute their ideas,” she said. “Also, it’s a place where they can network with like-minded individuals that are in a similar position in other business areas or branches so they can come together and share their experiences. It also allows them to learn from and seek support from around the group.

“Clear is growing so fast as a group and this gives our people the platform to understand how the business is coming together, why it’s purchasing the businesses it is and how that strategy bolsters our clients’ experience and our service offering.”

The network is not just for client-facing early careers professionals, she said, but instead recognises the incredible variety of roles which are available within an insurance business.

Miller added that this is a particularly timely idea when you consider the amount of M&A activity Clear has completed in recent years. When a small business or book is acquired, she said, often the people who join the group as a result are used to being the only ones on their team doing their respective roles. This can be quite an isolating experience for them, and this initiative offers them the chance to network with others doing similar roles and understanding how they fit into the context of the broader group.

“Our measurement of success is how we retain the talent that we bring in and we nurture that into different roles,” she said. “It’s not just about giving opportunities but also making sure they’re at the top of the game when they take on that opportunity… One thing I learnt from meeting all these people – which represent a not-insignificant 10% of our business – is that it’s about making sure they understand the bigger picture of their role and how it matters.”
It’s that which gives people a sense of purpose around their careers, she said, and seeing that blossom across the ECP Network has been very rewarding.

Where the network goes next

The programme started last November, and while it’s still relatively early days, network member representatives are already meeting regularly to keep coordinated and keep the initiative on theme and on mission.

“There’s a long way to go but we’ve got a good platform,” she said. “Clear has shown that they see how important this is and they’ve made significant investments into the initiative. Identifying the need for a network like this in a group of our size was the first step and that recognition of its purpose encourages people to want to become part of the network. And now it’s our responsibility to make sure that we give people enough opportunities to exercise some of the things they’ve learned and the support they have through the network.”

The ethos behind the creation of Allianz Trade in the UK closely mirrors the purpose at the heart of trade credit insurance – to protect businesses and livelihoods, and to stimulate entrepreneurship.

Then-named Euler Hermes, Allianz Trade was formed as a result of the UK government’s decision to establish an entity to promote exporting in the wake of the First World War. In 2021, the organisation welcomed its first woman leader in its 100-plus year history with Sarah Murrow (pictured) stepping up as CEO of the UK and Ireland business. Speaking with Insurance Business, Murrow noted that her two-decade-strong career within Allianz Trade is a powerful indicator of the opportunities that exist within the trade credit insurance market.

“I’ve been presented with every opportunity that I ever wanted but I had to seize those opportunities,” she said. “I think sometimes when people are given them, they don’t want to take that risk but I’ve found that, when you do, it really pays off and is a very rewarding experience. And when I look among my friends, I see how rare it is for someone of my generation to have been with one company for 20 years which is testament to the different opportunities the company has given me along the way.”

Trade credit insurance – a safety net for UK businesses

It’s a running joke in the trade credit insurance industry that people will ask each other how they fell into it, she said, but she knows why she stayed in the sector – because of the opportunity at hand to protect the very fabric of society, particularly amid tough economic conditions. Credit insurance is hugely beneficial to society, because it can stem the knock-on effect of insolvencies on an economy and prevent financial shocks from reverberating down the entire supply chain.

In her role as CEO, Murrow looks after a team of over 300 staff across the UK and Ireland – a remit that offers her a horizon view of the challenges and opportunities facing brokers and clients. Businesses generally are facing a difficult time due to the much more sensitive economic situation, she said, and Allianz Trade is forecasting a 16% year-on-year increase in business insolvencies in the UK.

“Last year realised a 51% increase over 2021, albeit on a very low base given that we were in COVID and there was a lot of money flowing in the economy which kept business insolvencies artificially low,” she said. “That 16% increase is net 29% above our 2019 levels – which was our most recent ‘normal’ year.

“That increased level of business insolvencies is putting credit risk very much back on the agenda for our clients, and also UK businesses in general. This is really a result of lower growth, higher inflation, higher cost of financing, and obviously more non-payments. In fact, our recent studies show that suppliers are being paid much more slowly by their customers. So, what we’re seeing is that corporates are essentially becoming banks, and not necessarily knowingly.”

In addition, there are lingering supply chain disruptions coming out of COVID, she said, which has seen businesses becoming more cautious about having inventory on hand. But given that consumer demand is down, just-in-time inventory levels are becoming more just-in-case, which is creating an oversupply of inventory for some businesses which is negatively impacting their returns. Transport, equipment, textiles and electronics are among the sectors most impacted by this glut of inventory.

“We saw a failure earlier this year when an online retailer cited inventory issues as being one of the main reasons they failed,” she said. “They stocked up on Christmas stock and they couldn’t get rid of it and had a cash flow issue as a result. So, I think supply chain issues are definitely one of the reasons that business owners are looking to protect their receivables.”

Trade credit insurance – opening up opportunities for trade

Despite these challenges, it’s not all bad news for UK businesses, Murrow said, and there are opportunities to be had in any economic conditions. In her time in the UK, she has seen first-hand that UK businesses are very agile and entrepreneurial, and she feels confident that they will be well-placed to source and seize those opportunities. And with the backing of trade credit insurance, clients can trade with greater confidence despite the sensitive business environment.

“Because we’re looking out for them and underwriting their credit risks, they won’t be hampered by the fear that if they trade on credit terms, they might not get paid,” she said. “There’s a great opportunity for these businesses to leverage the power of credit insurance to trade during difficult economic times.

“Another big opportunity is the growth of B2B e-commerce. We saw this accelerate during the pandemic and it’s a trend that’s just going to continue. We believe in the trend so much that we have actually developed two new solutions around e-commerce. The first is an e-commerce solution for businesses that trade directly with their customers online. [The second] is our solution for buy now, pay later providers, which we’re quite excited about.”

Supporting clients through tough economic conditions

Murrow highlighted that it’s clear customers are looking to Allianz Trade to help them grow safely during and through the downturn and there are several ways her team go about lending that support. With businesses going through so many challenges, a critical aspect of this is continuing to provide robust levels of coverage. This allows insureds to keep their credit limits open and to continue to trade. It’s always a good time to buy credit insurance, she said, but now is a great time.

In addition, the business looks to support its brokers and clients by giving them a 3D view of the risk environment they’re trading in. In a deteriorating economic situation, there will be weak spots and growth spots, she said. When Allianz Trade assesses credit risk it does so through three lenses –geopolitical risks, sector risks and buyer risks. That view allows the customer to fully understand the credit risks of the businesses they’re trading with – and also pinpoints potential areas for growth and prioritisation.

“We’re able to show them where there’s a good country, a good sector and a good buyer, so they can direct their sales team to that opportunity and potentially increase sales with them,” she said. “I think showing our customers the bright spots in their customer database or even for prospecting is a very valuable thing for them right now.”

Murrow noted that Allianz Trade’s broker partners are essential to ensuring that clients can make the most of this growth-oriented tool and that the business’s broker distribution channel is critical to the sustainability of the trade credit insurance market. Brokers enable real connectivity with the market, she said, and offer an independent third-party view of what their clients need and want from their insurance providers.

“Also,” she said, “they do a really great job in working with different trade associations and different partners to really articulate why the product is valuable and why a customer might need it.”

International General Insurance Holdings (IGI) has announced that its founder and current CEO Wasef Jabsheh will step down, while current president Waleed Jabsheh will succeed him as the company’s chief executive.

The succession plan goes into effect on July 1.

Waleed Jabsheh will take on expanded responsibilities beyond the insurance and reinsurance business, to include all aspects of the holding company activities, according to a Press statement. He joined IGI in 2002 shortly after inception and has served as president since 2011.

Wasef Jabsheh will continue to be engaged in overseeing the strategic direction of IGI as executive chairman.

In the Press release, IGI’s board said that Waleed Jabsheh “exhibited exceptional leadership during a period of significant growth and transition” for IGI, and was instrumental in delivering “some of the best financial results in [the company’s history.”

“This is a natural transition for us and is part of the succession plan our board set in motion several years ago,” said Wasef Jabsheh.

“The company has been on an excellent trajectory of profitable growth and expansion, and Waleed and I will continue to work together to maintain our company’s commitment to excellence and to delivering long-term shareholder value.

“Waleed has played an important role in developing the IGI culture that has supported our long track record of success and this ensures a seamless transition to CEO. The board and I look forward to continuing to provide strong stewardship to the IGI group.”

“It is an honour and a great privilege to take on the role of CEO and follow in the footsteps of our founding CEO, Wasef,” said Waleed Jabsheh.

“It is Wasef’s vision, leadership and consistent commitment to our clients, shareholders and most importantly our people, that IGI has achieved its many successes over the past two decades.

“I am committed to carrying on this legacy and building upon it; we have deep talent across the IGI group with an embedded culture of performance.”

IGI is an international specialty risks commercial insurer and reinsurer underwriting a diverse portfolio of specialty lines. It is registered in Bermuda, with operations in Bermuda, London, Malta, Dubai, Amman, Oslo, Kuala Lumpur, and Casablanca.

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The Bank of England (BoE) has put out a letter urging the UK insurance sector to ensure their reserves are sufficient as claims inflation continues to threaten the market.

In a statement addressed to chief actuaries of general insurers and managing agents under Lloyd’s, the BoE said that claims inflation due to factors such as rising wage, medical, and raw material costs is expected to affect all general insurers.

“As we have communicated previously, we expect claims inflation to affect all general insurance firms, although the nature of the impact will vary depending on the firm’s business model and risk profile. There is a risk that persistently elevated claims inflation might result in a material deterioration of solvency coverage for some firms unless they take appropriate mitigating actions,” the BoE said in its letter.

The BoE also stressed that technical provisions must be calculated based on up-to-date, credible information, and realistic assumptions.

“Firms also need to ensure the risk of further claims inflation is appropriately allowed for in internal model (IM) solvency capital requirement (SCR) calculations and where the standard formula (SF) is used to calculate the firm’s SCR, that it remains appropriate,” the BoE said.

The bank also highlighted its assessments come 2024, saying that it will continue to be in line with the Prudential Regulation Authority’s approach to insurance supervision and will consider the external environment in which these insurers operate. This includes reviewing potential system-wide risks, one of which is threats of insolvency resulting from low reserves.

“We trust this letter will be useful as your firm prepares for its mid-year reserving exercise, along with capital and business planning for 2024 later in the year,” the BoE said.

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