6 of 10 most at risk ports are in the US
It was just over a year ago that insurers were rocked by the Tianjin Port disaster which cost the industry around $3 billion according to
Swiss Re.
To mark the anniversary, RMS Analysis has compiled a list of the ten ports most at risk from a high insurance loss resulting from a catastrophe; 6 of them are in the US.
Nagoya in Japan and Guangzhou in China are most at risk with estimated marine cargo loss from earthquake, wind and storm surge perils of $2.3 billion and $2 billion respectively.
However, regionally the US carries the greatest risk from these ports: Plaquemines, LA ($1.5 billion); New Orleans, LA and Pascagoula, MS (both $1 billion); Beaumont, TX ($0.9 billion); Baton Rouge, LA ($0.8 billion); and Houston, TX ($0.8 billion).
Ports at Bremerhaven, Germany ($1 billion) and Le Havre, France ($0.7 billion) complete the top ten.
“Surprisingly, a port’s size and its catastrophe loss potential are not strongly correlated. For example, while China may be king for volume of container traffic, our study found that many smaller U.S. ports rank more highly for risk — largely due to hurricanes. Our analysis proves what we’ve long suspected — that outdated techniques and incomplete data have obscured many high-risk locations,” said RMS product management director Chris Folkman.
Biggest change to UK insurance industry in 100 years (and it’s not Brexit)
Friday saw a milestone in the insurance industry across the pond as the UK implemented new insurance legislation.
From now every commercial lines insurance policy placed, renewed or amended will be subject to changes that have been described by the British Insurance Brokers’ Association (BIBA) as “the biggest change to insurance law in more than 100 years.”
The Act includes many positive developments that BIBA lobbied for, such as outlawing the ‘basis of the contract’ clauses which previously turned information provided by customers into warranties so that any change (even trivial or immaterial) could have led to termination of the contract.
BIBA also succeeded in lobbying for ‘terms not relevant to the actual loss’ to be outlawed meaning, for example, that if a policyholder has to comply with a warranty to turn on a burglar alarm but a claim is caused by a flood, then the insurer will accept the claim.
The Insurance Act 2015 has been welcomed by BIBA which says it will bring benefits to brokers and the wider industry.
Facebook reacts to insurance agent’s “unprofessional” hairstyle
An insurance agent in Trinidad & Tobago has won the support of Facebook users after going public with his employer’s dissatisfaction with his hairstyle.
Maurice Ramirez posted a letter on social media from the HR manager at Colfire Insurance which warns him that his hairstyle breaches the firm’s uniform and dress code. He also posted a
picture of himself.
The Trinidad Express reports that Ramirez had been warned on two previous occasions and that the letter was a final warning that could result in the termination of his contract. You can see
Facebook users condemned the insurer’s stance and branded the policy “discriminatory” but Colfire chairman Robert Mayers told the Trinidad Express: “Colfire denies the damaging allegations that have resulted from the publication of an internal document.”
