Insurance Theory and Practice by Thoyts Rob;

Author:Thoyts, Rob;
Language: eng
Format: epub
Tags: Economics, Finance, Business & Industry
Publisher: Taylor & Francis Group
Published: 2010-06-21T00:00:00+00:00

Markets Act 2000. The proposed transfer of liability was considered by the court and approval given in June 2009. The need to satisfy the court that policyholders’ interests were properly considered was a major factor in the large amounts of additional reinsurance cover purchased. The relatively low premiums indicate that National Indemnity consider the possibility that Equitas Reinsurance Ltd may fail in the future to be very low. It is also worth considering just how valuable a right to recover from the Names actually was, given the length of time that had passed. According to Equitas, as of 2009, 6,806 pre-1993 Lloyd’s Names had died and they were unable to trace a further 5,182. This transfer finally brings the crisis at Lloyd’s to an end from the perspective of the Names. The run off though continues, possibly for many years to come. The risk, however, lies primarily with National Indemnity. Given the additional $8.3 billion of reinsurance, the Equitas liabilities would have to increase massively before the solvency of Equitas Reinsurance Ltd would be endangered and it is highly improbable that this could occur in the short or even medium term.

Download

Copyright Disclaimer:
This site does not store any files on its server. We only index and link to content provided by other sites. Please contact the content providers to delete copyright contents if any and email us, we'll remove relevant links or contents immediately.