General Insurance Article - BI insurers set for significant rise in claims for COVID19


Following the news that the ABI has predicted that COVID-19 non-life related claims will exceed £1bn, Ben Carey-Evans, Insurance Analyst at GlobalData, comments on the news on the matter:

 “Data from GlobalData’s Solvency II Analytics Database shows that insurers’ total non-life claims are around the £30bn mark annually.

 The latest available figure shows that total gross incurred claims to all UK insurers were £27.9bn in 2018. Therefore, while the impact of COVID-19 is very significant, and represents a huge spike over a short period, it is manageable for the industry.

 “The figures also highlight the significant strain on business interruption insurers. It was only the eighth most popular small to medium enterprise (SME) insurance product in 2019, in terms of penetration, according to GlobalData’s 2019 UK Insurance Consumer Survey, yet it is expected to account for £900m of the £1.2bn in claims.

 “GlobalData’s survey shows that the five biggest players within business interruption insurance in the UK in 2019 were AXA, Zurich, Aviva, Barclays and LV=. AXA was the leading player, with a share of 7.5%. These insurers are likely to face a spike in claims, though no insurer holding a share of above 7.5% will help ensure no one player is hit too hard.”
  

Back to Index


Similar News to this Story

Lloyds provision for FCA investigation lower than expected
Q4 profit before tax £1.8bn vs £1.7bn consensus. Q4 Net interest margin 2.98%. Unwound £541mn of loan loss impairments. £450mn provision for impact of
Motorists wake up to their environmental impact
The majority of UK adults (85%) are either slightly or very concerned about global warming/climate change. Only one fifth (22%) of adults say they hav
Middle East tension may drive down insurance premium volumes
Attacks off Yemen coast already impacting marine insurance and shipping costs. Deterioration in the situation could spark further disruption in energy

Site Search

Exact   Any  

Latest Actuarial Jobs

Actuarial Login

Email
Password
 Jobseeker    Client
Reminder Logon

APA Sponsors

Actuarial Jobs & News Feeds

Jobs RSS News RSS

WikiActuary

Be the first to contribute to our definitive actuarial reference forum. Built by actuaries for actuaries.