Part 3: The case for expanding the Rhode Island Insurance Business Transfer to other lines of business Current global market conditions have increased pressure on business leaders to focus on efficient capital management with an eye towards long-term trends. Rhode Island’s amendments to Insurance Regulation 68 are the first step in providing greater flexibility to the U.S. … [Read more...] about Can U.S. Insurance Companies Afford Not to Restructure?
Latest News
Sixth Circuit Follow-Up: Court Interventions in Arbitration Proceedings
In the Fall 2016 edition of AIRROC Matters, we discussed a series of contentious arbitration disputes between Meadowbrook and National Union that led to a noteworthy Sixth Circuit decision concerning the involvement of courts in arbitration proceedings and the impact of ex parte communications. In August 2016, in Star v. National Union, 2016 WL 4394563, at *1 (6th Cir. 2016), … [Read more...] about Sixth Circuit Follow-Up: Court Interventions in Arbitration Proceedings
AIRROC Person of the Year 2016: Bill Flaherty
Our process of writing a profile of the Person of the Year began, as it always begins, with an interview of our star, Bill Flaherty, and questions that lend themselves to a description of his career. But the storyline of Bill’s career is epitomized by the fact that this interview may be only the second time in his career he has been interviewed. The first was when he entered … [Read more...] about AIRROC Person of the Year 2016: Bill Flaherty
AIRROC Awards Trish Getty Scholarship: 5th Annual Award Recipient Taylor Stack
AIRROC presented the Trish Getty Scholarship to a very deserving Temple University student this year. The 5th Annual award recipient is Taylor Stack, who is a Senior majoring in Risk Management and Insurance. In presenting the honor, Ed Gibney shared some remarks from the namesake of the scholarship, former Executive Director Trish Getty. Although she wasn’t able to be there in … [Read more...] about AIRROC Awards Trish Getty Scholarship: 5th Annual Award Recipient Taylor Stack
Learning about Leah: Head of Business Runoff Operations at Munich Reinsurance America, Inc.
Leah Spivey is the type of person who wanted to put her own stamp on her career, and that philosophy led her to the highest levels of the legacy sector of the reinsurance industry. Leah believes her personality—as a self-described “driver” as well as a “people person”— allows her to simultaneously produce results and build strong client relationships. Leah’s route to the top … [Read more...] about Learning about Leah: Head of Business Runoff Operations at Munich Reinsurance America, Inc.
Barb Murray Revealed: Multi-disciplined, Multi-skilled
When Barbara Murray sends you her “long form” resume, it depicts a career ranging from claims professional, to consultant, to claims executive, to consultant again with milestones and accomplishments to which we can’t begin to do justice in our Spotlight article. We can give you some flavor of what propels her enthusiasm for her work in the industry and in support of … [Read more...] about Barb Murray Revealed: Multi-disciplined, Multi-skilled
Lessons of ROM v. Continental: Who Decides Whether Claims are Timely and Under What Circumstances?
Assume you are a reinsurer and you receive a number of arbitration demands. At least one of the demands pertains to a claim (“OLD CLAIM”) where you denied reinsurance coverage nearly 10 years ago. You agree to consolidate the arbitrations. You also name your arbitrator as a precaution because the treaties require that an arbitrator be named quickly and you still have to … [Read more...] about Lessons of ROM v. Continental: Who Decides Whether Claims are Timely and Under What Circumstances?
Clearing the Smoke: Legal Marijuana: An Insurable Risk
George Washington reportedly grew it. Bill Clinton and Barack Obama have admitted to smoking it (although only one admitted to inhaling). A 2015 Gallup poll revealed that 44% of American adults have tried it. Twenty-three states have legalized it for medical use, and four have done so for recreational use. “It,” of course, is marijuana, also known as cannabis, weed, or pot. … [Read more...] about Clearing the Smoke: Legal Marijuana: An Insurable Risk
How to Win Friends and Influence Run-off Companies: J. Marcus Doran & Peter A. Scarpato
Peter Scarpato and Marcus Doran have been named new Vice-Chairs as a result of their work and commitment to the organization. We asked them to tell us why they have put so much energy and time into their work for the organization or, in other words, what was in it for them? Since you have dedicated a lot of time to AIRROC over the last 10+ years, tell me what you get out of … [Read more...] about How to Win Friends and Influence Run-off Companies: J. Marcus Doran & Peter A. Scarpato
Legacy Attracts New Investors: Hadley Explains How “Runoff” Equals “Payoff” for Investors
The legacy sector offers expanding investment opportunities as more companies prepare to sell off non-core or non-performing portfolios while investors look for new outlets. Barbara Hadley reports. This could well herald a boom time for the legacy market; an increase in sellers, favourable regulatory climate and capital looking for somewhere to go. According to a Swiss Re … [Read more...] about Legacy Attracts New Investors: Hadley Explains How “Runoff” Equals “Payoff” for Investors
Blending Free Market Economy with a Sense of Reality: The Federal Insurance Office
Update Since the time when I penned this article that appeared in the Spring 2011 issue of AIRROC Matters, a lot has changed. At the end of 2014, the U.S. still topped the world market with a GDP of $17.3 Trillion, up $4.4 Trillion from year end 2009. China was second, with a GDP of $10.4 Trillion. The Federal Insurance Office published its Annual Report for the U.S. … [Read more...] about Blending Free Market Economy with a Sense of Reality: The Federal Insurance Office
The White Knight: Dick White — Proud and Principled
If you know Dick White from industry meetings or dealings with Integrity Insurance Company in Liquidation, you probably did not picture him wearing a biker jacket and cruising down Route 1 to Florida. Of course his jacket patch, rather than depicting an outlaw insignia, would probably include a reference to his favorite leadership book, the Bible. He says “Bible” is an … [Read more...] about The White Knight: Dick White — Proud and Principled
Let’s Make a Deal: Current Trends in Buying and Selling Runoff Business and Blocks
David Schieldrop, Managing Director and Global Co-Head of the Insurance Investment Banking Division of Barclays, Sylvain Villeroy de Galhau, EVP of AXA Liabilities Managers, and David Alberts, Partner at Mayer Brown, shared their insights on the current marketplace for buying and selling runoff business. The consensus of the panel was that market conditions – including downward … [Read more...] about Let’s Make a Deal: Current Trends in Buying and Selling Runoff Business and Blocks
Why Are We Here?
Perhaps Don Regan, the one-time Chief of Staff to President Reagan, best described what we do: “Some of us are like a shovel brigade that follow a parade down Main Street cleaning up.” Not that run-off is less than an honorable profession. We aren’t the glamour kids, though. We are the ghosts of mistakes past, of the failures that had many fathers when they were shiny new … [Read more...] about Why Are We Here?
Bygone Companies: Bannister’s Ballywick
It is an unusual name, Julius. Christened, by my idealistic parents in the later 1950’s, named after the Czech anti-Nazi journalist Julius Fučík, and now with my work offices about a mile from where the Roman Emperor, Julius Caesar, invaded Britain in 55 / 54 B.C.; that serves as an introduction. I write, looking over my shoulder: “Beware the Ides of March,” the soothsayer’s … [Read more...] about Bygone Companies: Bannister’s Ballywick
RX for Runoff: Four Experts Expound
Fred Pomerantz, Goldberg Segalla, and Connie O’Mara, O’Mara Consulting, had an opportunity to pose questions on the topic of rating run-off reinsurers to key players in the business: Gerry Glombicki, a Director of Fitch Rating Agency; Brian Johnston, a Senior Vice President and Chief Operating Officer of SOBC Corporation; Andrew Rothseid, President and CEO of RunOff Re.Solve … [Read more...] about RX for Runoff: Four Experts Expound
Bill Littel: Allstate’s All Round Achiever
Global traveler Bill Littel feels that one has to take risks or lose the opportunity to move forward. Bill just returned from a vacation in Australia and is planning one to South America next winter. His travel advice to Americans is to not dress like an American, i.e. baseball cap, jeans and sneakers. Some of his favorite memories of savoring the tastes of local foods while … [Read more...] about Bill Littel: Allstate’s All Round Achiever
Where Do Values Spring From?
In October 2014, AIRROC announced the third recipient of the Trish Getty Scholarship to a St. John’s University student. The annual award was established to honor the organization’s founding Executive Director. The 2014 honoree, Abigayle Claflin, and her grandfather recently met Trish for lunch… Abigayle Claflin, our 2014 recipient of the Trish Getty Scholarship Fund at St. … [Read more...] about Where Do Values Spring From?
Evolution: All Aboard the Board
As reported in the last issue, the AIRROC Board welcomes two new members, J. Marcus Doran and Peter Scarpato, and bids farewell to Keith Kaplan and Glenn Frankel. We are confident that Keith and Glenn will continue their support and active involvement in AIRROC. Peter and Marcus bring lengthy experience with the organization to their new roles. Examining both sides of the … [Read more...] about Evolution: All Aboard the Board
Hydraulic Fracturing: A Retrospective of Key Legal Disputes in 2014 and Predictions for the Future
In 2014, hydraulic fracturing (“fracking”) remained a hot national topic. Often making headlines, fracking also made its mark in litigation where key battles wound their way through the courts. Reviewing just some legal developments confirms the industry faces unique, sometimes prejudicial, challenges despite continued growth. For example, the Eighth Circuit’s decision in … [Read more...] about Hydraulic Fracturing: A Retrospective of Key Legal Disputes in 2014 and Predictions for the Future
