Products: Aug. 23, 2011
CatVest Launches New ILS Product Targeted At Oil Companies
CatVest Petroleum Services LLC has launched a new insurance-linked securities product to help oil companies replicate capital markets' securitizations used by insurers to hedge catastrophe risks, CatVest has announced.
Historically, issuers of insurance-linked securities have packaged portions of their risk, transformed them into securities, and then sold these securities to investors who bore the risk.
The contracts have preset triggers, which if met, activate the protection and investors can lose their principal. Investors are willing to accept portions of this risk in return for attractive rates of interest in an asset class, the company said.
Given the financial crisis insurance-linked securities are seeing appetite from institutional investors seeking to access the asset class. However, traditional catastrophe bonds are not providing enough capacity leaving many investors frustrated and unable to access the market.
During this volatile environment, CatVest Petroleum Services LLC's approach facilitates investors and issuers alike for transferring new types of risk such as oil spill liability into the marketplace, the company said.
Chartis Enhances General Liability Solutions With Coverage For Building Services Contractors
Chartis has introduced a building services contractor coverage solution to address several target casualty exposures of building services contractors in a single endorsement, the company has announced. The new product was developed by Chartis' Commercial Casualty division.
As part of a full suite of primary casualty solutions for the real estate sector, this coverage endorsement expands general liability policies for businesses involved in building maintenance, cleaning, operations and other services, the company said.
The new product provides extended coverage that includes enhanced coverage for damage to tools, equipment and property in the care, custody and control of the insured; additional limit of insurance for lost keys and the adjustment or installation of new locks; and pollution coverage for pesticide and herbicide application conducted in accordance with local, state and federal regulations.
"Contractors that perform building maintenance and other services encounter a number of unique exposures," said Christopher McKeon, president of Commercial Casualty's Commercial Risk divisions. "In today's challenging environment, we are pleased to offer the extension of coverage that these businesses need to shore up their general liability program and operate with increased confidence."
NAIC Releases 2010 Insurance Department Resources Report - Volume Two
The National Association of Insurance Commissioners (NAIC) has released the 24th edition of its Insurance Department Resources Report (IDRR) ? Volume Two, to help state insurance departments assesstheir resources in comparison to other states, the NAIC has announced.
The IDRR details how state insurance departments effectively manage their available resources in order to meet the challenge of regulating an increasingly complex and competitive industry.
The first volume, published in May, included data on staffing, budgeting and examination information. The second volume includes admitted premium by state, by line of business; excess and surplus lines premium; and statistics including budget as a percent of revenues.
Developed primarily through a survey of the NAIC member states, the second volume of the IDRR is organized into two sections: Budget and Funding; and Examination and Oversight.
National Academy of Social Insurance Releases Annual Report
The number of workers covered by workers' compensation dropped by 4.4 percent in 2009, the biggest decrease in two decades, according to the latest report issued by the National Academy of Social Insurance.
Employer costs for benefits fell by 7.6 percent to $73.9 billion in 2009 (the most recent year with complete data), reflecting the overall decline in employment.
"As one might expect, when the Great Recession hit, employers paid less in workers' compensation costs because there were fewer workers to cover," said John F. Burton, Jr., chairman of the panel that oversees the report. "Although the drop in employer costs represents the biggest decrease in the last two decades, benefits increased slightly by 0.4 percent to $58.3 billion, reflecting in part benefits provided in 2009 to workers injured in prior years."
The new report, Workers' Compensation: Benefits, Coverage and Costs, 2009, is the fourteenth in the series, which provides the only comprehensive data on workers' compensation benefits for the nation, the states, the District of Columbia, and federal programs.
Total benefits paid to injured workers in 2009 increased in 23 states and the District of Columbia while declining in the remaining 27 states, compared to the previous year.
Payments for medical care declined for the first time in a decade by 1.1 percent to $28.9 billion, although they continue to make up roughly half of total workers' comp benefits. Employers paid a total of $73.9 billion nationwide for workers' comp with a cost of $1.30 per $100 of payroll, the lowest in the last thirty years.
CS STARS Unveils Faster, More Efficient Global Claims Solution
Faced with a complex regulatory environment and the need to deliver customer service more consistently, insurers, third-party administrators, and other self-administered organizations increasingly are seeking a more comprehensive property/casualty claims administration solution.
The new STARS Enterprise claims administration solution helps users to better manage their claims workflows and resources, the company said.
In addition, the new solution saves clients the time and cost associated with incomplete or inaccurate submissions by streamlining first and second injury reports and populating them automatically with claims data validated against a library of state rules prior to submission.
Claims functionality already available through STARS Enterprise includes real-time monitoring of key performance metrics; secure portals through which clients can view claims data and activities; comprehensive business intelligence reporting; claims benchmarking; and geospatial analysis.
"The new STARS Enterprise claims administration solution helps users to better manage their claims workflows and resources, enabling a more consistent and reliable claims adjudication process and an enhanced customer experience," said Bill Diaz, president of CS STARS.
The solution is integrated with other solutions on the STARS? Enterprise platform and is available standalone or combined with other modules such as risk management, claims audits, or compliance management. Available in 15 languages, STARS Enterprise can be configured to support language and currency at the organization, business unit, or user level.
Guidewire Software Expands PartnerConnect Program with New Affiliate Partner Level
Guidewire Software, a provider of core systems to property/casualty insurers, has announced the expansion of its global partner program, PartnerConnect, with the addition of a new Affiliate Partner level.
This level is designed for information technology and consulting services companies in the process of building depth in their Guidewire implementation experience. Coinciding with the introduction of the affiliate partner level, Guidewire also announced that Cognizant and HCL Technologies are its inaugural partners.
The affiliate partner level establishes a framework to assist members to acquire the necessary expertise and credentials to ensure successful customer experiences, and the program formalizes the process, and tracks and measures progress to enable the best possible implementation results.
This new tier provides members with the benefits of a methodology to strengthen their working relationship with Guidewire, deepen their knowledge of the company's products and help grow their Guidewire practice. As affiliate partners gain experience and expertise in implementing Guidewire solutions, they will have the opportunity to move to Strategic Partner status.
August 23, 2011
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