For carriers, back to ERM school: risk is the currency of insurance companies, with peril on one side of the coin and profit on the other. You'd think insurance companies would be experts at it. But ratings agencies are having to push insurers into applying enterprise risk management techniques to their entire portfolio, an education they seem to be in serious need of.
Summary * Several major insurers, such as Swiss Re, IPC Re and Beneficial, have had their risk management programs questioned and ratings placed under review in recent months. * Going forward, a major concern for insurance companies is managing the market cycle and pricing. ...

Global warming--to a $225 billion opportunity: carbon-trading markets offer a big new opportunity for the financial services sector but rising oceans could also mean billions of dollars in insured losses.
Whether you agree with AI Gore or not, there are risks and rewards aplenty connected to climate change, according to a new report. New carbon markets should provide big growth opportunities to the financial services sector in particular, according to a report by the New York-based Oliver...

U.S. property/casualty industry to report $59.2 billion in profits in 2007: but a decline in premiums, the first since 1943, and soft 2008 market forecast could mean tough times ahead for profits.
There was no question that the U.S. property/casualty industry was going to have another good year in 2007. The only question was how good. Now the numbers are in, and the industry's expected to show a profit of $59.2 billion, according to a new estimate by A.M. Best &...

Ayala Life's net profit tops P1 B, up 213%.
Ayala Life Assurance Inc. recently announced it achieved a net income of P1.04 billion in 2007. This disclosure is based on the firm's audited financial statements for 2007. The cited figure is a 213.5 percent increase from the 2006 net income of P331.8 million, resulting to a...

Briefs.
COLUMN: Briefs Evergreen meeting MARLBORO - Evergreen Solar Inc., a manufacturer of solar power products, will hold its annual meeting at 10 a.m. June 18 at the Courtyard by Marriott, 75 Felton St. The proxy statement and annual report to stockholders will be mailed no...

Business briefs.
COLUMN: BUSINESS BRIEFS TELEGRAM & GAZETTE Bloomberg Index Central Massachusetts +1.30 167.68 Volume: 79,763,978 Up: 17 Down: 7 Unchanged: 6 Gainer: Hanover Insurance Group Inc. $43.72 +$2.01 (Volume of...

A blind, dull pain: despite an unstable stock market and low interest rates, Bermuda companies are trying to make the most of their investment options. (Special Report: Bermuda).
Interest rates are at their lowest level in 40 years. Given the impact on earnings, a hard market, which is always welcome in the property and casualty sector, could not have come at a better time. On the life side, however, U.S. dollar rates below two percent make product...

A return to RTW: workers' comp providers--as well as employers and injured workers--would be better served were they to focus on sustainable return to work, not premium price increases. (Strategies).
It's abundantly clear that the workers' compensation industry has had a tough 2001, and that the final figures for 2002 will not be much better. Consider that the Workers Compensation Insurance Rating Bureau now estimates the ultimate combined ratio for accident year 2001 at 134 percent, while Fitch Ratings...

West Virginia state fund threatened with insolvency. (Up Front).
The 89 year-old West Virginia workers' compensation fund is approaching insolvency, according to government reports and private sector observers. Governor Bob Wise and legislative leaders have pledged to take corrective action in the current legislative session. In the absence of premium increases or alternative financial relief, the...

Malayan Insurance stable outlook rating affirmed.
A.M. Best Co. has affirmed the financial strength rating of B++ (Good) and the issuer credit rating of "bbb" of Malayan Insurance Company, Inc. (MICO) (Philippines). The outlook for both rating is stable. The ratings reflect Malayan's strengthened risk-adjusted capitalization, strong market presence with diversified...