All articles by Ronan Mccaughey
Ronan Mccaughey
New loss ratio rules challenge US health insurers
Health insurers in the US are likely to reduce their premiums to conform to the new requirements of the medical loss ratio (MLR) rules enacted as part of the Affordable Care Act, according to a study The MLR rules, which became effective on 1 January 2011, aim to control private insurance costs for consumers and government by requiring a minimum percentage of premium dollars to be spent on medical care and health care quality improvement, as opposed to administrative costs and corporate profits
Providers urged to create more long term care products
A total of 71% of financial advisers in the UK believe that providers should create new prefunded long term care products, according to a new study The research from Defaqto, a financial research and software company, comes after the UKs Commission on Funding of Care and Support published its report Fairer Funding for All in July 2011, which proposed a lifetime cap on care costs The preferred figure is £35,000, which is the amount someone in long-term care would be responsible for, after which, the government would fund care.
Bullish outlook for equities in 2012
Global equities have had their strongest quarter in over 10 years on the back of strong economic data and hopes that the European debt crisis was past its worst point. Following the sharp rally seen in recent months SIG reduced its equity exposure at the end of March 2012 for fear profit takers will take the edge off the market
Indonesia’s BNI targets more income from bancassurance
Bank Negara Indonesia (BNI) is reportedly expecting to receive a larger amount of fee-based income in 2012 from its bancassurance business after securing deals with several insurance companies. The Jakarta Post reported that BNI has signed agreements with its subsidiary PT BNI Life Insurance, PT Asuransi Jiwa Sequis Life, PT Asuransi Cigna and PT AIA Financial.
Singapore’s life cover challenge
The insurance industry must take up the challenge to narrow the shortfall in protection coverage for Singaporeans, according to Ravi Menon, managing director of the Monetary Authority of Singapore (MAS) Menon highlighted a 2009 study by the Nanyang Technological University that found that the existing life cover of the average Singaporean is only about a third of what his dependants will need in the event of his early death.
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L&G highlights the monetary value of mothers
Legal & General has estimated that the average value of a typical mother contributing to domestic work around the home is just over £32,000 Legal & General released the data because according to the companys research the monetary value of a mother is sometimes overlooked when families try and work out their life insurance needs.
UK life insurers sheltered from Eurozone crisis
Strong 2011 results from UK life insurers have confirmed that most of the sector is sheltered from the sovereign debt crisis in the eurozone, according to Fitch Ratings The rating agency says that in contrast to several European insurance groups, most major UK life insurers have negligible direct exposure to the sovereign debt of Greece, Italy, Ireland, Portugal and Spain (GIIPS) and typically less than 5% of shareholders equity
Gary Shaughnessy appointed CEO of Zurich Life
Global insurer Zurich has appointed Gary Shaughnessy as CEO of its UK life business with effect from June 2012. Shaughnessy joins from Fidelity Worldwide Investment where he has been managing director for its UK defined contribution and retail business, since 2008
IRI: Annuities marketplace is robust
The insured retirement industry is in a financially strong position and poised for continued growth, according to the US-based Insured Retirement Institute (IRI) IRI’s market analysis, which is based on new sales reports, research findings and emerging demographic trends, follows an announcement from The Hartford regarding its decision to change its strategic direction to focus on its core property and casualty, group benefits and mutual funds businesses and exit from the individual annuities market. IRI President and CEO Cathy Weatherford said: Across the board, all indicators point to a strong insured retirement industry including recent reports from leading ratings firms that have underscored the stability of the life insurance sector–citing their strong capital and liquidity.”
IRI promotes National Retirement Planning Week
The Insured Retirement Institute (IRI) has announced that National Retirement Planning Week 2012 will take place from April 9 to 13. National Retirement Planning Week is led by the National Retirement Planning Coalition a group of prominent financial industry, education and advocacy organizations that have joined together to increase awareness of the need for comprehensive retirement planning. Among the events for National Retirement Planning Week, the National Retirement Planning Coalition will host a webinar for advisers featuring BlackRock Director of Investment and Retirement Education Chad Terry, who will discuss how social security can fit into a winning retirement strategy