low interest rates News

Insurers’ Yield on Investments Lowest Since 1965

Warren Buffett had just taken control of Berkshire Hathaway Inc., a textile maker he would build into one of the world’s largest insurers, the last time U.S. property/casualty carriers endured such low interest rates. That was almost five decades ago. …

S&P Panel Urges Insurers to Seek Better Returns Globally

“Continuing low interest rates and soft economic growth are contributing to a tough investment climate for insurance companies, but they’re still finding opportunities for a decent return if they’re willing to broaden their search,” according to industry executives at Standard …

German Insurers Say Schaeuble Amendment Will Scare off Investors

German Finance Minister Wolfgang Schaeuble has deflected complaints from insurers worried that his revamp of how they meet obligations to policy holders will scare off investors, a ministry document released today shows. Schaeuble’s ministry is preparing a bill to secure …

Swiss Re Revives Ultra-Long Bond for Canada as Budget Looms

Swiss Re AG, the world’s second- largest reinsurer, wants to see a 50-year government bond in Canada as the company seeks investments that offset long-term liabilities while low interest rates depress returns. The reinsurer is urging the government to follow …

Part II – Reinsurance: Emerging Markets and Risks – the Road Ahead

As detailed in Part I, the reinsurance industry faces the task of partially reinventing itself to expand in those sectors where it can achieve growth. Property catastrophe coverage isn’t off the table, but it’s now an overcrowded field. Ever more …

Low Interest Rates Biggest Risk for Europe Insurers, Eiopa Says

Low interest rates are the biggest risk for European insurers and pension funds, weighing on sales of retirement products, the region’s top industry supervisor said. Interest rates are “putting pressure mostly on life insurers’ and occupational pension funds’ ability to …

German Finance Chief Schaeuble Vows to Help Insurers Vying with Low Interest Rates

German Finance Minister Wolfgang Schaeuble issued an unusual warning to the European Central Bank on Thursday, saying rate decisions must not offer “false stimulus” and that monetary policy alone would not solve the euro zone crisis. The ECB cut interest …

Profits Steady, GWP Up, But Investments Still Low: Lloyd’s CFO Luke Savage

Lloyd’s first six months results, released yesterday, were generally good. Profits were down slightly at £1.38 billion [[$2.222 billion] from £1.53 billion [$2.463 billion] for the first half of 2012, while gross written premiums rose 4.9 percent [3.3 percent when …

Aon Benfield Study Finds Continuing Growth in Asia Pacific Region

Aon Benfield’s annual Evolving Criteria report, which reviews the latest developments in rating agency protocol and impact for the insurance industry in the Asia Pacific region, concludes: “The Asia Pacific insurance markets have slowly recovered from the significant losses they …

S&P Report Says Global Multiline Insurers in Good Shape

A report from Standard & Poor’s Ratings Services says that overall, “it considers global multiline insurers (GMIs) to still display better credit quality than other insurance groups or companies.” The report – “Global Multiline Insurers’ Robust Market Positions And Improving …