This week, QBE raised allowance on claims for 2017 and Genworth Financial faces insurmountable challenges with the CFIUS
QBE raised allowance for 2017
Following a period of extreme global catastrophe experience, QBE has increased its 2017 large individual risk and catastrophe claims allowance. Given catastrophe losses to date, 2017 will likely prove to be the costliest year in the history of the global insurance industry. The Group’s 2017 combined operating ration target range now moves from 100.0% to 102.0%.
The link to the announcement is available here.
Genworth Financial CFIUS challenge may be insurmountable
Genworth Financial and China Oceanwide once again announced that they are withdrawing and refiling their request for transaction approval with the Committee of Foreign Investment in the United States (CFIUS). Concern about the deal stems from policyholder privacy protection, but Genworth is also caught in a geopolitical net in which it has no control. The deal also faces uncertainty from Delaware regulators who have yet to schedule a public hearing on the matter almost one year from the date the deal was originally announced.
The CFIUS has until approximately 16 December 2017 to review the latest submission which would require another deal extension beyond the current termination date of 30 November 2017.