GLG News by Finite Reinsurance Experts

This article should bring to light a common misconception in attempting to evaluate risk of financial loss which is that probability estimation techniques are often falsely relied upon as precise measures. One must remind oneself that in most cases probability of future financial loss cannot be...

The Department of Homeland Security is currently rolling out enforcement of Public Law 110-53, Title IX requiring all public and private businesses to  have continuity plan with independent third party certification. This law represents the potential to create a Sarbanes Oxley level of commitment...

Merrill Lynch and XL, Citigroup and Ambac "Commutations" illustrate problem of blindly applying P&C Insurance concept to CREDIT risk and the CAPITAL MARKETS.   Grappling with one issue at a time, in  separate policies, silos and islands DOES NOT solve the problem, when they are ALL...

Recent suggestions that the ABX index is a poor proxy for AAA subprime RMBS fail to recognise its value.

If a book of reinsurance business can be purchased for a price that rpresents the present value of estimated future cash flows of that book, it could be a preferred way to buy market share, given that the price of growing in the reinsurance business can include quoting new accounts at less-than-break-even...

If thorough due diligence work is performed, investors could benefit from consolidation due to the benefits of diversification.   A combination of companies  focusing on different  lines  would either free up capital  for other purposes or  lead to a financially stronger...

Now that Florida is retaining a much larger portion of their more predictable catastrophe losses, insurers and reinsurers should be able to buy the high layer coverage they want at affordable prices.  The risk load charged for this high layer coverage would be significantly less than the risk load...

 It has become one of the more popular insurance areas focused from an investment, legal and consumer perspective.  Hedge funds are looking at the market due to perceived returns on investment.

Managing expectations of shareholders, managers or finance directors is not easy, especially when a third party removes a significant part of your premium base at a stroke.  

After twenty years in the industry, the industry cycle looks to me just like it looked last time and the time before. Despite apparent changes to expertise, capital providers and products; in 2007 the reinsurance industry appears to be heading in pretty much the same direction as in previous cycles...