Moody’s News

Tesla, Other Car Makers Have Edge Over Incumbent Auto Insurers: Moody’s

Tesla and other car makers represent a growing threat to incumbent auto insurers, even though they have little direct impact on the insurance market today, Moody’s Investors Services said. In a report titled, “Tesla’s insurance venture puts incumbents under added …

Moody’s Closes on Acquisition of Risk Modeler RMS for $2 Billion

Moody’s Corp. reported that it has completed its acquisition of RMS, the climate and natural disaster risk modeling and analytics firm. In the transaction, originally announced on August 5, 2021. Moody’s paid approximately $2.0 billion (1.425 billion pounds) to acquire …

Global Reinsurance Rates, Demand to Continue Rising in 2022

Global reinsurance rates are likely to continue rising next year after several years of increases, though the pace of increase may slow, ratings analysts said on Tuesday. Reinsurance rates have been rising in the past few years after natural disasters …

Ratings Firm Moody’s to Acquire Catastrophe Modeler, Analytics Firm RMS for $2 Billion

Moody’s Corp. has agreed to acquire RMS, a global provider of climate and natural disaster risk modeling and analytics, for approximately $2.0 billion (1.425 billion pounds) from Britain’s Daily Mail and General Trust. Moody’s said the acquisition will increase Moody’s …

U.S. Heatwave ‘Virtually Impossible’ Without Climate Change, Scientists Say

An international group of 27 climate scientists have concluded that the recent heat wave in the Pacific Northwest was “virtually impossible without human-caused climate change.” National Weather Service reports show that in late June Seattle, Wash., reached all-time high temperature …

2020’s P/C Insurance Industry Results and What They Mean for 2021

The most recent tallies of financial results by rating agency analysts reveal that the property/casualty insurance industry weathered the storms of catastrophe losses and COVID, with one segment actually reporting better combined ratios and higher income than in 2019. A …

AM Best, Moody’s Rate Personal Lines Insurance Market Outlook as Stable

AM Best kept its stable market segment outlook on the U.S. personal lines insurance segment for 2021, citing the segment’s strong risk-adjusted capitalization and profitable underwriting performance in private passenger automobile, as well as underwriting actions benefiting the homeowners segment. …

Insurer Impact from Sally Expected to be Moderate; Losses Estimated at $1B to $3B

Insured losses from Hurricane Sally could reach as much as $3 billion, according to catastrophe modelers, but ratings agency Moody’s expects a moderate impact on property & casualty insurers and reinsurers. “Because Sally appears to be primarily a flood event, …

Pricing Is Only Bright Spot in ‘Anemic’ Earnings Picture for Reinsurers: Moody’s

Even though investment returns rebounded from first-quarter levels during the second quarter of 2020, claims from COVID-19 created an “anemic earnings” picture for global reinsurers, Moody’s Investor Services says. In a new report on half-year earnings for the sector published …

Coronavirus Claims of Estimated €80B Are ‘Manageable’ for Europe’s Insurers: Moody’s

The coronavirus outbreak has had an adverse, but manageable, impact on the European insurance sector, leading to a drop in company earnings rather than capital erosion, says Moody’s Investors Service in a report. Central bank intervention has reversed much of …