Christmas devastated by weather
The weather has resulted in devastation for thousands of families on both sides of the Atlantic over the holiday weekend. In the US there were heavy snow, flooding and tornados resulting in at least 11 deaths in Texas, 5 in Illinois and 7 in Missouri. A total of 19 died in the Southeast as severe weather swept across multiple states.
Meanwhile the north of England was hit by a wave of heavy rain which added to the impact of flooding caused by Storm Desmond earlier in the month. Thousands of homes across northern England were flooded, many more lost power and troops have been deployed to assist in the worst affected areas.
Insurance companies are preparing for high volumes of claims in the coming weeks.
Insurers take flight from risky drones
It’s one of the hottest new technologies and many people will have unwrapped a drone this Christmas. However, for insurers the surge in popularity of drones (or ‘unmanned aircraft’) presents a potential claims nightmare. Many insurance companies have moved swiftly to exclude drones from policies, fearful that inexperienced amateur pilots will lead to a glut of claims for damage to person and property.
Aviation law expert Frank Cannon told telegraph.co.uk: “With drones being so prolific, and in the hands of so many amateurs, potential fools and children, a lot of insurance companies will have decided to simply exclude them while they see the risk developing.”
Despite strict regulations in many jurisdictions, the potential for accidental damage is relatively high – as are the likely litigation costs but US insurers are not necessarily excluding cover. Don Griffin of the Property Casualty Insurers of America told The Morning Call: “Companies are trying to figure out how they can write this in a way that protects the consumer and does so in a reasonable way, but also a way in which they can turn a profit.”
In Canada, the transport minister highlighted a more serious risk from amateur use of drones: “Anyone who flies in controlled or restricted airspace or puts aircraft at risk could face steep fines and criminal charges.” Marc Garneau told the Toronto Star.
Tennessee licenses 100th captive insurer
Iroquois Captive Services is managing the 100th
licensed captive insurer in Tennessee. The Nashville-based firm has been licensed by the Tennessee Department of Commerce and Insurance which introduced a statute for the industry in 2011 and is expecting revenues to continue to grow in 2016. “Iroquois Captive Services is proud to have been a part of the 100th licensed captive insurance company in Tennessee,” Iroquois Captive Services Managing Director Andy Rhea told Clarkeville Online. “We are thankful for all of the hard work Commissioner McPeak, Captive Director Michael Corbett and his staff have put forth to make Tennessee one of the leading domiciles in the country.”