Agencies that rate and rank nations, corporations and colleges wield enormous power, influencing investment flows and prompting leaders to pursue policies that might improve their standing. But the source of that clout is puzzling, Cornell University economist Kaushik Basu writes …
Underway for some time now, the disruption of the insurance industry has moved into a new phase, following the announcement by A.M. Best that it may soon begin scoring insurers’ innovation efforts. Journalist Russ Banham spoke with ratings agencies, thought …
American International Group won’t be reporting its Q4 2016 financials until Feb. 14, but a disclosure about a “material adverse reserve adjustment” from the insurer for its U.S. commercial business drew warnings from both A.M. Best and Fitch Ratings. A.M. …
Zurich-based Twelve Capital is only five years old, but it, along with similar companies, has already fundamentally altered the reinsurance industry. It’s taken a remarkably short period of time for “alternative capital” to morph into “insurance linked securities (ILS),” and …
As Florida seeks to revive its private home insurance market after almost a decade without a hurricane, homeowners are pouring $6 billion a year in premiums into a new generation of small, in-state insurance companies with an unproven record of …
According to David Thomas, CEO of Market Services & Solutions at Willis, Mutual insurers face increasing pricing pressure so must differentiate themselves to remain competitive. Speaking in a video blog on WillisWire, Thomas said: “Mutuals generally take a long-term view …
Standard & Poor’s asked a federal judge on Monday to dismiss a U.S. Justice Department civil suit against the rating agency, arguing the government’s case is based on vague statements that cannot be used to prove fraud. In a $5 …
ISO has launched its Enhanced Wind Rating Program, a commercial property rating program designed specifically to address the wind peril. ISO is a member of the Verisk Insurance Solutions group at Verisk Analytics. The Enhanced Wind Rating Program provides a …
Standard & Poor’s, whose unprecedented downgrade of U.S. debt triggered a worldwide stocks sell-off, is pushing back against a U.S. government proposal that would require credit raters to disclose “significant errors” in how they calculate their ratings. S&P, which was …
The man who holds in his hands the fate of U.S. credit, and with it potentially the global economy, favors small tie knots, sports a bushy mustache and smokes his fair share of cigarettes. Beyond that, he is a mystery, …
