Reinsurance

Foreign reinsurers may be permitted to post less collateral when doing business in New Jersey with legislation signed by Gov. Chris Christie that gives regulators the ability to cut previous full-collateral requirements.

A climate nuisance liability case to be heard by the Supreme Court may be the environmental case of the decade, according to William F. Stewart, a coverage attorney, who details the implications of Conn. vs. AEP.

Arch Reinsurance Ltd. has become the 12th foreign reinsurer to be approved in Florida to post reduced collateral.

Despite its devastation, Japan's earthquake will not have a global impact on insurance rates, but the cumulative effect of a series of catastrophes and changes in modeling will likely produce rate increases in some sectors, according to a report from Towers Watson.

The Tohoku earthquake in Japan was a seismological "black swan"—an event beyond the realm of regular expectations, according to catastrophe-risk modelers.

The reinsurance industry can financially withstand the losses from Japan’s Tohoku earthquake, but the compounding of losses from Australia and New Zealand is putting strain on reinsurers and having some price impact, according to a Guy Carpenter report.