Almost 10 million enroll for healthcare through federal, state exchanges
Figures released by the Centers for Medicare and Medicaid Services Tuesday show that 9.9 million enrolees have selected and paid for their healthcare plans through state and federal exchanges. The figure falls short of the 13 million that had been predicted by the Congressional Budget Office in 2014, however it is in line with the more recent 9.1 to 9.9 million estimate from the Obama administration. The Wall Street Journal reports that 84 per cent (8.3 million) of those who have enrolled were receiving a subsidy of around $270 average tax credit to offset premium costs.
Global reinsurer capital stable says Aon Benfield report
Aon Benfield estimates that global reinsurer capital totaled U$565 billion at June 30, 2015. The headline reduction of 2 per cent relative to the end of 2014 was driven by strengthening of the US Dollar over the intervening period. On an underlying basis, the capital available to support reinsurance underwriting was flat, with retained earnings offsetting unrealized losses on bond portfolios. Alternative capital continues to grow, but at a slower pace than before; the total rose by 6 per cent to U$68 billion. The firm's latest study found that shareholders’ funds reported by the ABA companies fell by 4 per cent to U$332 billion at June 30, 2015, but the total was up slightly at constant exchange rates, driven by solid earnings.
Japanese insurer continues global expansion
The Japanese insurance company Mitsui Sumitomo, which yesterday announced it is buying British insurer Amlin, has said it wants to increase its stake in Indian insurer Cholamandalam MS General Insurance Company. Mitsui holds 26 per cent of the joint venture with Indian firm Murugappa Group but wants to take full advantage of the recently-raised cap on foreign direct investment to give it a 49 per cent stake. The Indian insurance sector is in a period of growth and many foreign companies are increasing their stakes to the maximum. Often the domestically-held 51 per cent is diluted by multiple investors which then gives the foreign firm operational control.
Canadian firm agrees acquisition
Archway Insurance of Oxford, Nova Scotia has acquired the insurance business of swanfinancial effective October 1, 2015. The Chronicle Herald reports that no financial details have been revealed. Michael Stack, Archway’s president commented on the firm’s commitment to its locations: “As other insurance companies consolidate operations in large urban centres, we recognize the value in continuing to operate brokerages in more traditional settings as well.”
