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AM Best Warns Of Big Losses For Insurers Writing Event Cancellation Business

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Although event cancellation insurance represents a very small percentage of overall property/casualty premium, the losses for carriers that write this line of business amid the COVID-19 outbreak still could be significant, according to a new AM Best commentary.

Losses on this line of business could have a compounding effect as carriers navigate other lines of business exposed in the pandemic such as business interruption, directors and officers, and workers’ compensation, as well as dealing with losses on assets, says the commentary, “Event Cancellation Insurers May Rethink Their Strategies.”

One of the world’s largest events, the Tokyo Olympic Games, was postponed on Tuesday until 2021, the first such delay in the modern Games’ 124-year history. The fact they have been postponed, as opposed to canceled, could be a relief to insurers, according to some analysts.

Swiss Re has announced that it has a $250 million exposure to the Olympic Games in Tokyo, while Munich Re revealed it could have exposure amounting to hundreds of millions of euros. The postponement of the Games could have implications on insurers, depending on the individual contract terms, AM Best said.

AM Best notes that event insurance is a customized form of insurance, and every covered event is unique and policy wording can vary greatly. Limits can be as low as $500,000, and up as high as $10 million depending on the circumstances, and prices may vary as well.

The insured could be an event organizer, sponsor or venue, as well as other stakeholders such as caterers, entertainers and keynote speakers.

Communicable disease is not always a covered peril and the applicability of COVID-19 is uncertain. According to AM Best analysts, withdrawals by individuals from events owing to COVID-19 concerns are unlikely to be covered and prohibitions by local municipalities of gatherings of more than 150 persons or curfews that result in cancellations also would not be covered. For events cancelled following national emergency announcements or state proclamations, event insurance could apply and insurers then would be responsible.

AM Best warns that insurers should be prepared for possible broader interpretations of contract language by courts and said “given the global impact of event cancellations, these interpretations could dramatically impact the results of event insurance providers.”

Fitch Ratings earlier this month noted that event cancellation is one area of insurance that may have losses, even though the overall impact of the coronavirus on P/C insurance industry should be modest. According to Fitch, industry experts anticipate coverage of approximately $2 billion for the Olympics event, with the large risk spread among several insurance companies.

While planners of events could have purchased pandemic coverage before the current outbreak, those trying to get pandemic coverage going forward are unlikely to find it. “As things stand at the moment, you would struggle to get coronavirus cover for any event, until we know where we are with this virus,” Rebecca Mitchell, contingency underwriter at ArgoGlobal, told Reuters recently.

AM Best said last week that it is developing stress testing that it will conduct on its rated insurance companies’ balance sheets to gauge the impact of the COVID-19 virus fallout on their risk-adjusted capital levels, investment portfolios, reserve adequacy and other aspects of the risks borne by rated entities.

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Sanlam, Allianz Merger Expected In Nigeria

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Sanlam and Allianz have sparked speculation in Nigeria’s insurance industry following a wave of coordinated digital communication activities indicating an imminent completion of the expected merger of the operations in Africa’s largest economy.
The firms, which have already merged operations in 27 African countries, including Ghana and Rwanda, under the SanlamAllianz banner, are now widely believed to be ramping up their alliance in Nigeria as the next significant step in their partnership.
Recent posts on both companies’ digital platforms featuring their logos side-by-side and joint thematic messaging have drawn attention across financial and business circles. The coordinated activity mirrors pre-merger patterns observed in other African markets where their collaboration was subsequently formalised.
In 2022, Sanlam and Allianz announced the formation of a strategic joint venture covering 27 African markets. The move was intended to combine Sanlam’s local market depth with Allianz’s global scale and technical expertise, creating a formidable pan-African financial services entity with ambitions to lead in life and general insurance, asset management, and health insurance.
The partnership has taken concrete shape in countries like Ghana, where existing operations have been unified and rebranded under the SanlamAllianz name. The goal has been to offer more relevant, inclusive, and tech-forward financial solutions for individuals and businesses in these markets.
Nigeria is the continent’s most populous nation and its largest economy, yet despite recent progress, its insurance penetration remains under 1%. In 2023, the industry crossed the ₦1 trillion gross written premium mark for the first time, indicating untapped potential and growing consumer interest in financial protection.
Given these dynamics, analysts say Nigeria is a natural next step in the SanlamAllianz expansion journey. The presence of both logos in coordinated messaging has been read as a signal of intent. Both brands already operate in Nigeria, and a merger of local operations would represent a formidable alliance and substantial consolidation.
Market observers believe such a move could raise the bar in Nigeria’s insurance industry, fostering more robust competition, improved product design, and greater consumer trust in formal financial services. It would also align with both firms’ broader objective of promoting financial inclusion and building long-term resilience across African economies.
At a time when several global brands are reassessing their African strategies, Sanlam and Allianz’s continued commitment affirms their vote of confidence in Nigeria’s long-term prospects. This potential merger could not only reshape the insurance landscape but will also evidently become a significant catalyst and signal to the global investment community that Nigeria remains a viable and valuable market.

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High-stakes Gambler Gambling Establishments: Inside the World of Elite Gaming

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In the glittering cosmos of online casinos https://big-bass-amazon-xtreme.com, there lies an elite subset that amasses unique interest: the high roller online casinos. These unique establishments are the playgrounds of the most affluent casino players, where risks are high, and the benefits are even greater. Understanding these high-stakes settings needs greater than simply a brief glance; it is an exploration into the heart of opulence and the spirit of risk-taking.

High rollers, also referred to as “whales,” are individuals that bet huge quantities of money. They flock to these unique gambling enterprises for the attraction of high-limit tables, extravagant environments, and individualized services that cater to their every whim. Allow’s dig deeper right into what makes a high roller gambling enterprise attract attention from the remainder and why it remains to captivate the creativities of numerous.

Characteristics of High-stakes Gambler Casino Sites

High-stakes gambler casinos identify themselves with numerous defining attributes. These establishments are not merely gambling establishments with higher table restrictions; they supply a complete sensory experience made to suit the demands of their upscale clientele. Every detail, from the atmosphere to the solutions, is meticulously crafted to maintain a mood of exclusivity.

First of all, the games themselves are customized for high risks. These casinos supply greater betting restrictions than common casino sites, allowing players to wager substantial sums of cash per hand or spin. This environment deals with individuals that find excitement and exhilaration in substantial monetary threats.

Secondly, the atmosphere in money player online casinos commonly includes elegant facilities and holiday accommodations. From luxurious suites to premium dining choices, money players are dealt with to the finest comforts, guaranteeing their remain is as lavish as their gambling. Below are some vital features:

  • High-limit video gaming tables and exclusive rooms
  • Luxurious lodgings and personalized solutions
  • Costs amusement choices
  • Access to special events and experiences
  • Charitable commitment programs and incentives

All these elements work in tandem to produce a setting where high rollers feel valued and dealt with, ensuring their patronage and loyalty.

The Psychology of Money Players

To comprehend the appeal of money player casino sites, one have to explore the psychology of high-stakes gamblers themselves. These people are frequently driven by a mix of factors, including the adventure of danger, the desire for social condition, and the pleasure of deluxe.

The excitement of running the risk of large sums is inherently appealing to money players. The adrenaline thrill that accompanies wagering substantial amounts is a powerful motivator. This experience is amplified in money player casino sites, where the risks are consistently raised.

Moreover, there is a social facet to high-stakes betting. High rollers usually delight in the standing related to being able to wager such large sums. Being identified as a money player provides a particular reputation, both within the online casino and in their social circles beyond it.

Impacts on the Gambling Establishment Economy

Money players have a substantial influence on the economic climate of the online casinos they regular. The revenue generated from these gamblers can add considerably to a gambling enterprise’s bottom line. In addition, the visibility of high-stakes gamblers can improve the casino’s credibility, attracting even more site visitors and media attention.

  • Significant income from high-stakes video games and wagers
  • Enhanced exposure and prestige
  • Destination of other high-net-worth people
  • Increase to local economic situations via employment and tourism

These elements contribute to the general vitality of the casino industry, making money player gambling establishments a vital component of the betting globe.

Final thought: The Alluring World of Money Player Casinos

High roller casinos use an one-of-a-kind glimpse into a world where high-end, risk, and benefit are linked in a dazzling dancing. These facilities cater to a details clientele, offering individualized solutions and special experiences that are unparalleled in normal casinos.

The attraction of money player gambling establishments lies not only in the capacity for considerable financial incentives yet also in the stature and status that go along with being a high-stakes gambler. As long as there are individuals willing to welcome the adventure of threat, high-stakes gambler online casinos will certainly continue to prosper, providing a sanctuary for those who seek the ultimate gaming experience.

The Future of High Roller https://play-aztec-gems.com Gambling Enterprises

As the globe advances technologically and culturally, so also will certainly the landscape of high roller casino sites. Innovations in innovation may present brand-new gaming experiences, while changes in riches distribution might influence the demographics of high-stakes gamblers. However, the core components of high-end, exclusivity, and high stakes are likely to continue to be at the heart of these elite gaming facilities.

Ultimately, money player online casinos represent the peak of the gambling market, recording the spirit of luxury and adventure that defines this one-of-a-kind type of amusement. Their ongoing advancement ensures their area worldwide of elite gambling for years to come.

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Litecoin Casino: A Comprehensive Overview to Crypto Betting

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In recent years, the realm of on-line betting has observed a significant change with the arrival of cryptocurrency gambling enterprises. Among the digital currencies making waves, Litecoin has emerged as a popular option as a result of its deal speed and cost. This post discovers the details of Litecoin gambling enterprises, giving an interesting (more…)

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