The Best Policy

In the first half of our interview, Hudson Structured Capital Management's Founder and Managing Partner Michael Millette shares his thoughts on investor interest in the (re)insurance markets, both in terms of the newcos being formed and the equity raises from existing companies, as well as the potential for new sidecars to be formed.

In the second half, we begin by looking at the casualty legacy space and what the future holds for that market.

Michael considers the current state of the catastrophe-focussed ILS market, and whether that specialist sector could have a possible role to play in the industry's attempts to mitigate financial losses from future pandemics.

Issues surrounding possible trapped capital due to Covid-19 are discussed, while there is also a review of the recent Florida renewals at 1 June.

Listen to the second part of our podcast interview with HSCM Founder and Managing Partner Michael Millette as we take a broader look at some of the opportunities on the horizon.

This week on The Best Policy, we are joined by Michael Millette - Founder and Managing Partner of Hudson Structured Capital Management (HSCM).

In a compelling two-part interview, we discuss what is driving the current interest from investors in the (re)insurance markets, the potential for new sidecars to be formed and how carriers looking to establish them will need to create mechanisms to untrap capital quickly.

We begin by looking at the recent equity raises for existing platforms and consider the Class of 2020 new sidecars. Michael also explains that on a broad basis the current environment is arguably the best opportunity to invest in the (re)insurance market since 9/11.

Ultimately, we explore existing opportunities in the insurtech space and how the sector will be evolving, as well as the reasons for HSCM's two significant London Market investments - R&Q's $100 equity raise and AIG's new Syndicate 2019 at Lloyd's.

Listen to the first episode as Michael Millette offers his perspective on the general appeal of the (re)insurance industry to investors at present.

Part II will be published later this week.

In the first two parts on The Best Policy interview with MMC CEO Dan Glaser, we discuss a wide range of pressing industry issues emerging from the Covid-19 crisis, including proposed solutions for future pandemic reinsurance, potential capacity crunch and policy disputes in both the US and Europe.

In our final installment, we look at the dilemma facing Lloyd's and whether it should re-open its trading floor. We also examine why MMC has taken a different approach in managing costs.

Our guest adds why he remains confident that Marsh and Guy Carpenter will grow organically in 2020, whether workplace practices will ever return to the pre-pandemic "norm" and what the experience has taught the industry about the way it operates.

Finally, we consider who is best placed to evolve with the market’s needs in the future: underwriters or intermediaries?

Listen to the third and final episode of our exclusive interview with Dan Glaser as we cover these topical matters in an insightful discussion.

In Part I, MMC President and CEO Dan Glaser praised FCA's initiative to fast track the Covid-19 BI disputes and shared his views on the emerging litigation and why private pandemic solutions have failed.

In the second part, our guest explains what he expects the impact of industry underwriting loss to be on capacity, appetite and pricing.

We discuss the concerns related to various legislative initiatives in the US and what the best solution for tackling pandemic risk in the future is in the States.

Finally, we look at the UK where a number of the largest commercial insurers has called on the government to take funds from the terrorism reinsurance reserves of Pool Re.

Listen to the second episode of our exclusive interview with Dan Glaser as we cover these topical matters in an insightful discussion.

The third part will be published on Friday 5th June.

This week on The Best Policy, we speak to Dan Glaser - the President and CEO of Marsh & McLennan Companies.

In the first episode of a special three-part interview, we look at the industry's reputation following the criticism of some insurers and a number of legal actions relating to BI exposures. 

We explore how intermediaries balance the interests of clients pursuing coverage under BI policies and the need to preserve the viability of their insurer partners. We also discuss whether there is a danger that intermediaries will also become embroiled into the Covid-19 legal actions.

Ultimately, the MMC CEO explains why private market pandemic solutions have struggled and whether he welcomes the UK regulator FCA's move to fast track BI disputes to the courts...

Listen to the first episode as Dan Glaser answers these questions in an interesting and thought-provoking discussion. The second and third parts will be published later this week.

In the second half of our interview on The Best Policy, KBW’s William Hawkins and Meyer Shields focus on what the impact of Covid-19 dislocation may mean for the year ahead.

The duo considers the delay or cancellation of dividends as a significant development among some Europeans. They also discuss how investors responded to the Q1 results and how significant are the investment losses suffered.

Will affected carriers be able to recapitalise or could we see some distressed scenarios develop later this year? Will investors be selective as to which carriers get the support? These and other topical questions are answered by the leading KBW analysts in the second half of our interview.

Don’t miss out on yet another insightful and thought-provoking episode…

This week on The Best Policy, we are joined by Keefe, Bruyette & Woods' Co-Head of European Research (Insurance) William Hawkins and Managing Director Meyer Shields who covers US and Bermuda P&C.

In the first half of our interview, William and Meyer share their thoughts on the high level themes from the Q1 results season and what the noticeable differences between European and US reporters are.

Our guests evaluate the quality of management disclosures around Covid-19, as there appeared to be a diverse range of approaches by companies during the earnings season.

As one of the great Unknowns regarding Covid-19 is BI losses springing from property coverage, Meyer explains his view in regards to the US legislative initiatives to effectively retro-fit cover that appear to have stalled.

Listen to the first episode of our two-part interview as William Hawkins and Meyer Shields answer these and other topical questions in an insightful discussion that makes for essential listening.

In Part I, we focused on the UK Covid-19 landscape, from the perspective of the industry's potential liabilities. Jonathan praised the UK regulator for its “bold” and “sensible” approach and predicted the outcome will lead to less BI-related litigation. 

The second part of our interview proves an equally fascinating journey, as we look at the US where insurers face activist regulators and politicians, a plaintiff bar and potentially agreed policy holders in the world's most litigious society.

The co-head of the insurance practice at Bryan Cave Leighton Paisner explains what he expects to see in other jurisdictions, how troubled the insurers should be about the moves in the states to retrofit coverage, what the long-term consequences of the disputes could be and whether there will be positive outcomes.

Listen to our fifteen minutes Best Policy interview part II with one of the London market's preeminent (re)insurance lawyers and experienced litigator...

This week on The Best Policy podcast, we speak to the co-head of the multi-disciplinary insurance sector at Bryan Cave Leighton Paisner - Jonathan Sacher, one of the London market's preeminent insurance and reinsurance lawyers.

In the first half of our interview, Jonathan shares his thoughts on last week's Financial Conduct Authority (FCA) announcement as Covid-19 lawsuits continue to mount.

In an unsual move, the UK regulator has declared that it was to effectively sweep up all disputed business interruption (BI) coverage wordings and bring them before a court. But BI property claims are only one area of industry exposure. Would there be significant disputes from other classes and would this include reinsurance and retro?

In Part I, the co-head of the legal practice answers these and other topical questions in an insightful discussion that makes for essential listening.

In the second half of our two-part interview, Hyperion CEO David Howden shares his views on the impact of the pandemic on the Lloyd’s market and its future. In typical glass-half-full mode, he sees it as the chance to maximize efficiency and deliver the most cost effective product to the clients.

The chief executive also covers Hyperion's M&A and growth strategy post-pandemic, pointing that the changing dynamics will undoubtedly bring bigger opportunities in reinsurance...

A lighthearted and insightful discussion, the second half of The Best Policy interview with Hyperion CEO makes for fascinating and essential listening.