View this article online: https://www.insurancejournal.com/news/international/2020/04/21/565589.htm
UK Insurance industry leaders have combined to form a steering group, which will work with terrorism reinsurer Pool Re, with the primary objective to ensure that, working alongside the industry to support customers and communities in the current crisis, the industry can strengthen its response to future pandemics.
The first group meeting was held last Friday, April 17, 2020, to agree its objectives.
Chaired by Stephen Catlin (chairman and CEO, Convex) other members of the group include, Maurice Tulloch (CEO of Aviva), Stephen Hester (CEO RSA), Julian Enoizi (CEO Pool Re), Nick Frankland (UK CEO Reinsurance Solutions, Aon), James Nash (CEO, International, Guy Carpenter) and James Kent (CEO Willis Re). Other participants will be invited to join in due course.
The steering group’s main objective is to propose an industry response to both the government and the country. Pool Re, which was launched in 1993 to provide a disaster risk-financing mechanism, will work closely with the steering group to provide structural recommendations.
“The insurance industry is well placed to support the government, individuals and businesses through its sophisticated claims paying ability and distribution channels,” said a statement from the steering group. “Moreover, the industry can, through its links with academia, provide expertise on how to mitigate risk.”
“The insurance industry needs to be on the front foot in the current situation, paying claims quickly and continuing to provide people and businesses with the protection they require,” said Catlin. “Most importantly we need to find an industry solution for future pandemics and this group has many years of combined industry experience.”
Pool Re is the insurance industry’s mutual for insuring terrorism risk in Great Britain. Membership in Pool Re provides a guarantee that insurers can cover losses resulting from acts of terrorism, regardless of the scale of the claims. Underpinned by the UK government, Pool Re provides unlimited backing through a loan facility if Pool Re has insufficient funds to pay a legitimate claim.
Pool Re pays a premium to government and in addition, were it ever to use this support, it would repay the money over time from future premium receipts.
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