Gianni Bonaccolto

Strategies for mitigating natural catastrophe risks: BaFin https://flip.it/oT8zTm #riskmanagement #strategy #naturalrisk #esg #climatechange #climaterisk

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With climate change intensifying the frequency and severity of natural catastrophes, insurers and reinsurers are under increasing pressure to adapt and enhance their risk management strategies, prompting Germany’s financial regulator BaFin to outline crucial options for risk reduction.

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IFRS 17 impacts in Financial Statements - a good summary! If you work in the insurance & reinsurance market, you know that IFRS 17 was in force since 2023. EIOPA (European Insurance and Occupational Pensions Authority) published in April/24 an interesting document commenting the IFRS 17 implementation impacts. You can find here: https://lnkd.in/dJgF7kkA I am going to highlight here the Shareholders Equity impact: The move to the new IFRS had varied impacts, but it generally resulted in an increase of insurance liabilities and a consequent decrease in shareholders’ equity Also I want to highlight the impact for non-life insurance contracts, IFRS 17 insurance liabilities (excluding CSM, except for contracts under the PAA) are, on average, 9.5% higher than in Solvency II (you can see in the screenshot below). As it was a huge effort in the Insurance market to prepare these calculations & estimatives, I am happy to read that we have now IFRS 17 Financial Statements! If you are interested to understand more about these impacts, I totally recommend to read the PDF´s attached to the link below!

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Our UNIQA Re actuaries had a great time attending the European Congress of Actuaries 2024 in (funnily enough) their home city, Rome! It was a great opportunity for them to catch up with familiar faces and meet new ones, all while diving into the latest trends in the (re)insurance industry. They explored topics like AI, climate change, and cyber risk - all crucial areas shaping the future of the (re)insurance and actuarial field. Looking forward to applying these insights to our work! #UNIQARe #ECA2024 #actuarialassociationofeurope #reinsurance #Rome

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#ClimateCrisis: Insurers warn #ClimateChange means an unhealthy prognosis for cover Effects will increase illness and force the industry to adapt, executives The Geneva Association, Insurance Europe etc say "The effects of climate change in making extreme weather more severe and frequent is increasingly seen as a significant threat to the insurance sector, through widespread damage to property. But a less-followed risk is adding to unease at companies offering life and health insurance: scientists’ warnings, and research findings, that a warming climate is causing an increasing number of excess deaths, and forcing more people into ill-health. First, there is the impact on mortality from record-breaking temperatures: Europe’s 2022 heatwave caused more than 60,000 deaths, according to research published in the journal Nature Medicine. The human toll of wildfires, floods and other natural catastrophes exacerbated by climate change is gaining more attention, but experts also highlight the large numbers who will be left sicker by a warmer and more volatile natural world. “Wildfires don’t just kill people,” says Adrita Bhattacharya-Craven, director for health and demography at the Geneva Association, a global group representing insurance sector CEOs. “We are seeing cardiovascular diseases, we are seeing respiratory illnesses and, in some cases, mental health problems, when people lose everything.” (...)" Financial Times #ClimateAdaptation #Insurance https://lnkd.in/e3BRHSfH

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Why is #transitionplanning and the disclosure of #transitionplans important to achieve a #justtransition to a #resilient #netzero economy? What are the purposes of a transition plan, and who are users and key stakeholders? What does a credible transition plan for an insurer look like? Can transition plans serve as a useful instrument for insurance regulators and supervisors to address prudential issues related to transition risks? I look forward to speaking at the Association of British Insurers #ABI Climate Change Summit 2024 “Strengthening the Industry’s Climate Capabilities” on 9 July. I will be speaking at the plenary panel on credible transition plans. The ABI is the voice of the UK’s world-leading insurance and long-term savings industry. The UK is the largest insurance market in Europe and the third largest in the world. Learn more about the ABI Climate Change Summit here: https://lnkd.in/dhikHrWm It is also worthwhile to note that leading insurers based in the UK are founding participants of the United Nations-led and convened, multistakeholder Forum for Insurance Transition to Net Zero #FIT, including Aviva, Beazley, and The Fidelis Partnership. Furthermore, the Bank of England’s Prudential Regulation Authority #PRA is a founding member of the FIT’s Consultative Group of Insurance Regulators & Supervisors; and the University of Exeter a founding member of the FIT’s Consultative Group on Science, Research & Civil Society. Thank you to the ABI team for organising this important summit and plenary panel: Charlotte Clark, Rebecca Lea, Rebecca Deegan, Lauren Hankinson, Jana Griffiths United Nations Environment Programme Finance Initiative (UNEP FI) #SustainableInsurance #NetZeroInsurance #NaturePositiveInsurance

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𝗧𝗿𝗮𝗻𝘀𝗳𝗼𝗿𝗺 𝗬𝗼𝘂𝗿 𝗥𝗶𝘀𝗸 𝗠𝗮𝗻𝗮𝗴𝗲𝗺𝗲𝗻𝘁 𝘄𝗶𝘁𝗵 𝗢𝘂𝗿 𝗔𝗜-𝗣𝗼𝘄𝗲𝗿𝗲𝗱 𝗩𝗶𝘀𝘂𝗮𝗹 𝗥𝗶𝘀𝗸 𝗔𝘀𝘀𝗲𝘀𝘀𝗺𝗲𝗻𝘁 𝗧𝗼𝗼𝗹 Embrace the future of risk management with our Visual Risk Assessment Tool (VRA). By integrating advanced AI technology known as SOCR𝗔𝗜TES, we're empowering businesses to navigate the complexities of modern risks more effectively than ever before. 𝗪𝗵𝘆 𝗖𝗵𝗼𝗼𝘀𝗲 𝗢𝘂𝗿 𝗔𝗜-𝗣𝗼𝘄𝗲𝗿𝗲𝗱 𝗩𝗶𝘀𝘂𝗮𝗹 𝗥𝗶𝘀𝗸 𝗔𝘀𝘀𝗲𝘀𝘀𝗺𝗲𝗻𝘁 𝗧𝗼𝗼𝗹? 🔍 𝗘𝗻𝗵𝗮𝗻𝗰𝗲𝗱 𝗣𝗿𝗲𝗰𝗶𝘀𝗶𝗼𝗻: SOCR𝗔𝗜TES analyses vast amounts of data to identify potential risks with unparalleled accuracy. Whether it's financial, safety, operational or cyber risks, the VRA ensures nothing is overlooked. 🎀 𝗩𝗶𝘀𝘂𝗮𝗹 𝗥𝗶𝘀𝗸 𝗔𝘀𝘀𝗲𝘀𝘀𝗺𝗲𝗻𝘁𝘀: Transform complex data into easy-to-understand visual representations of your risks. The VRA tool interactively showcases each step of ISO 31000 through an intuitive bowtie offering unparalleled ease of use. ⏱️ 𝗥𝗲𝗮𝗹-𝗧𝗶𝗺𝗲 𝗔𝗻𝗮𝗹𝘆𝘀𝗶𝘀: Stay ahead of potential threats and hazards with real-time risk assessment updates. Our tool continuously monitors your environment, providing you with the latest insights and allowing you to respond proactively. 💡 𝗦𝗺𝗮𝗿𝘁 𝗥𝗲𝗰𝗼𝗺𝗺𝗲𝗻𝗱𝗮𝘁𝗶𝗼𝗻𝘀: Beyond identifying risks, SOCR𝗔𝗜TES provides actionable recommendations to mitigate them. Leverage data-driven strategies tailored to your organisation's unique needs. 🔒 𝗥𝗼𝗯𝘂𝘀𝘁 𝗦𝗲𝗰𝘂𝗿𝗶𝘁𝘆: Ensure the confidentiality and integrity of your risk assessment data. The VRA employs state-of-the-art security measures to protect your information. Ready to revolutionise your risk assessment process with our next-gen RiskWare R3 platform? Contact us to learn more about how our AI-powered VRA solution can safeguard your organisation's future: https://lnkd.in/gMymtR8H 🚀 GET READY! The future is now. #RiskWare #SOCRAITES #WeLoveBowties #SOCRAITES #RiskManagement #ArtificialIntelligence #BusinessSafety #CyberSecurity #FinancialStability #InnovativeSolutions #DataDrivenDecisions #AI #VisualRiskAssessment

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Italian #insurers managed to maintain a strong level of profitability in 2023 despite record natural catastrophe claims and high outflows in life insurance. Learn more in Fitch's recent Italian Insurance Dashboard update: https://ow.ly/qpnj50Rk1s2 #LifeInsurance #NonLifeInsurance

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Recent natural catastrophe events in Europe have shown how significantly loss estimates can deviate from initial predictions. For instance, Italy's severe convective storms and hail losses in July 2023 saw estimates skyrocket from $2.2 billion to a staggering $6 billion. This phenomenon, known as loss creep, highlights the urgent need for more precise and up-to-date valuations within the industry. At KatRisk, we recognize this challenge and have developed advanced probabilistic models specifically for the European market. By refining our models and incorporating the latest data, we aim to provide more accurate exposure assessments, helping insurers and reinsurers better manage risks and reduce the gap between initial estimates and actual losses. Our dedication to ongoing improvement ensures that we can effectively support the industry's sustainability. Read the full article to learn more about the industry's call to action and how advanced modeling can make a difference. https://lnkd.in/ghji4sGW #Insurance #Reinsurance #NaturalCatastrophes #LossCreep #DataTransparency #KatRisk #AdvancedModelling

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🗞 “This [central Europe #flood] event has much in common with the central European floods of 2013, and not just because it fell on the same days in the year. May #2024 was among the wettest months recorded in southern Germany. Even the #insured losses from 2013 and the current events are in the same range when trending the 2013 losses to today." “From a flood #modeling perspective, the 2013 and 2024 events again highlight how important it is to appropriately capture key elements such as antecedent conditions, Vb-type events, cross-country correlations, flood defenses, and combined fluvial and pluvial flooding.” Daniel Bernet talks to Reinsurance News about the newly released Moody's RMS insured loss estimate for the recent central European floods. Read more in Reinsurance News here: https://lnkd.in/eptmrSNr 👉 For the full media announcement, click here: https://lnkd.in/ei3XANjS #riskmanagement #germany #floods #insurance #reinsurance #news

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#AFIR_ERM Webinar Today Join us #today in our webinar on: Risk management with local least squares Monte Carlo. The least squares Monte Carlo method has become a standard approach in the insurance and financial industries for evaluating a company’s exposure to market risk. However, the non-linear regression of simulated responses on risk factors poses a challenge in this procedure. This article presents a novel approach to address this issue by employing an a-priori segmentation of responses. Using a K-means algorithm, we identify clusters of responses that are then locally regressed on their corresponding risk factors. The global regression function is obtained by combining the local models with logistic regression. We demonstrate the effectiveness of the proposed local least squares Monte Carlo method through two case studies. The first case study investigates butterfly and bull trap options within a Heston stochastic volatility model, while the second case study examines the exposure to risks in a participating life insurance scenario. 📆 Date: 25 June 2024 🕗 Time: 08:00 am EDT | 14:00 pm CET Speaker: Donatien Hainaut Session Moderator: Łukasz Delong Register here: https://bit.ly/3x7xwhn Read the paper here: https://bit.ly/45dsAnF

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An industry-wide failure to adequately track exposures, risk values and the impact of inflation has led re/insurers to massively increase their loss tallies from Italian thunderstorms in 2023. Swiss Re is calling for coordinated action: https://ow.ly/qsXg30sE1TC

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#Mutual and #cooperative insurers across the globe are increasingly embedding #sustainability in their core #riskmanagement, #insurance and #investment strategies and operations. Accordingly, many mutual and cooperative insurers have committed to implement the United Nations Principles for Sustainable Insurance #PSI, the global sustainability framework for the insurance industry, and the largest collaborative initiative between the UN and the insurance industry. At the same time, #Europe has been leading in terms of legislation to advance sustainability in order to deliver positive economic, social and environmental impacts; encouraging innovative and transparent approaches while identifying and constructing standards to eliminate negative impacts such as greenwashing. This is why I’m looking forward to speaking at the 2024 Congress of the Association of Mutual Insurers & Insurance Cooperatives in Europe #AMICE, “The Art of Mutuality”, which will be held on 3-4 June 2024 in Bilbao, Spain. AMICE is the voice of the mutual and cooperative insurance sector in Europe, and the sector represents approximately one-third of all insurance business in Europe. I’ll be chairing the session, “Sustainability, Collaboration and Innovation: Unlocking Potential” involving Eeva Salmenpohja, Senior Vice President at #LocalTapiola Group (Finland), Jean-Pierre Grimaud, CEO of Ofi Invest (France), and Philipp Bäcker, Head of Sustainability at R+V Versicherung (Germany). Furthermore, I'll be delivering a plenary presentation on "The Role of Insurance in the Transition to a #NetZero Emissions Economy". Among others, I'll explain what the new United Nations-led and convened #multistakeholder “Forum for Insurance Transition to Net Zero” #FIT is all about and what its main aims and priorities are; and why #mutual and #cooperative insurers are key actors in supporting the net-zero transition. The 2024 #AMICECongress will be hosted by Seguros Lagun Aro, which is part of MONDRAGON Corporation, one of the most important cooperative groups in the world, operating in four sectors of activity: industry, distribution, knowledge and finance. Sincere thanks to AMICE Mutuals and its Secretary-General, Sarah Goddard, for the kind invitation. Learn more about the AMICE Congress here: https://amicecongress.eu/ United Nations Environment Programme Finance Initiative (UNEP FI) #SustainableInsurance #NetZeroInsurance #NaturePositiveInsurance

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#IAALS Webinar today join us! Join us today in our webinar on: Risk Sharing In Equity -Linked Insurance Products: Stackelberg Equilibrium Between an Insurer and a Reinsurer This webinar we study the optimal investment-reinsurance problem in the context of equity-linked insurance products. Such products often have a capital guarantee, which can motivate insurers to purchase reinsurance. Since a reinsurance contract implies an interaction between the insurer and the reinsurer, we model the optimization problem as a Stackelberg game. The reinsurer is the leader in the game and maximizes its expected utility by selecting its optimal investment strategy and a safety loading in the reinsurance contract it offers to the insurer. The reinsurer can assess how the insurer will rationally react on each action of the reinsurer. The insurance company is the follower and maximizes its expected utility by choosing its investment strategy and the amount of reinsurance the company purchases at the price offered by the reinsurer. In this game, we derive the Stackelberg equilibrium for general utility functions. For power utility functions, we calculate the equilibrium explicitly and find that the reinsurer selects the largest reinsurance premium such that the insurer may still buy the maximal amount of reinsurance. Since in the equilibrium the insurer is indifferent in the amount of reinsurance, in practice, the reinsurer should consider charging a smaller reinsurance premium than the equilibrium one. Therefore, we propose several criteria for choosing such a discount rate and investigate its wealth-equivalent impact on the expected utility of each party. Speaker: Yevhen Havrylenko Moderator: Pedro Pacheco Villagrán Register here: https://bit.ly/3Jc1Rhq Read the paper: https://lnkd.in/d65hxD2p

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📺 Watch the spring update on global capital markets with Gregor MA Hirt, CIO Multi Asset at Allianz Global Investors. Learn more about Gregor’s view on market developments during the recent period, the capital market outlook for the coming months, and how this impacts portfolio positioning in a Multi Asset context. #navigatingrates

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Knowledge transfer and education play pivotal roles in fostering a more secure and resilient #cyber insurance ecosystem in Europe. As cyber threats evolve and become more sophisticated, it's imperative that both insurers and reinsurers prioritise the dissemination of technical risk mitigation expertise to policyholders. By offering educational resources and proactive guidance, insurers can empower businesses to better understand cyber risks and implement effective measures to mitigate them. Read the full article in Global Reinsurance https://lnkd.in/eUkZ-rYv #InsuranceNews #Insurance #MGA #DeepFake

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