The most comprehensive educational resources for finance

Alternative Risk Transfer (The ART Market)

This presentation provides an overview of the ART market (Alternative Risk Transfer), in which techniques other than traditional insurance and reinsurance are used to provide risk coverage or protection. Through the convergence of insurance and capital markets, techniques are used than enable capital market investors to directly get involved in providing insurance to protection buyers.

Lecture 14 – A Brief History of AIG with Maurice “Hank” Greenberg

This is a guest lecture by Maurice “Hank” Greenberg, former Chief Executive Officer at American International Group. Mr. Greenberg starts his lecture with reflections on his time in the U.S. Army during World War II and the Korean War as well as on his first job in the insurance business as a junior underwriter. Subsequently,

Save Your Finances When Renewing Insurance

When working out a household budget, everyone is looking for places where they could shave off a little excess outgoing. Most of the time, money saving measures seem to come off the luxuries in life as the necessities need to be taken care of first. For many families, running a car and everything that comes

Link between Natural Catastrophes and Global Reinsurance

Natural disasters resulting in significant losses have become more frequent in recent decades, with 2011 being the costliest year in history. This paper from BIS explores how risk is transferred within and beyond the global insurance sector and assess the financial linkages that arise in this process. While most of the risk is retained within

Insurance, the Archetypal Risk Management Institution

In the beginning of the lecture, Professor Shiller talks about risk pooling as the fundamental concept of insurance, followed by references to moral hazard and selection bias as prominent problems of the insurance industry. In order to provide an explicit example from the insurance industry, he elaborates on the story behind American International Group (AIG),

Covering family finances

No matter how well off you may feel now, it is still important to ensure your family will not suffer financially after you are gone. A bereavement is hard enough to deal with without worrying about how to cover the funeral costs or how you are going to meet the mortgage repayments every month. Taking

Case Study: Taisei Marine and Fire Insurance

The Taisei Marine and Fire Insurance (TMFI)company along with Nissan Fire & Marine and Chiyoda Fire & Marine Insurance was part of the Fortress Re pool. Fortress Re was responsible for inward reinsurance business. TMFI  had large property and casualty business in Japan. TMFI was Japan’s 15th in the list of top non-life insurers. TMFI’s

Solvency II: Restructuring the Insurance Sector (Part 4)

In part 4, the final part of the series on Solvency II, we will look at elements of Title II, III and IV of the Solvency II act. TITLE II: Specific Provisions for Insurance and Reinsurance This title covers specific provisions regarding life, and non-life insurance. It also covers provisions regarding community co-insurance; also covered

Solvency II: Restructuring the Insurance Sector (Part 3)

In part 3 of our series on Solvency II, we will try to understand Title I of the Solvency Act in some depth. Title I: General Rules On The Taking-Up And Pursuit Of Direct Insurance And Reinsurance Activities The key objectives of this title are: The taking-up and pursuit, within the community, of the self-employed

Solvency II: Restructuring the Insurance Sector (Part 2)

The Solvency Act is going to have major ramifications for the Insurance sector in the European Union in particular, and is being watched keenly by governments of other nations. In part 1, we had a brief look at the directives that this directive is looking at amending. The Solvency Directive is an impending measure to