Page 18 - The Insurance Times August 2024
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IUA welcomes three new Dave Matcham, Chief Executive of the outage on July 19 is $5.4 billion, mod-
IUA, said: The London company mar- eling and insurance services firm
companies as London in- ket continues to go from strength to Parametrix estimates.
surance market expands strength and our members are at the The portion of the loss covered under
Three new companies have recently forefront of industry responses to cyber insurance policies is likely to be
become members of the International emerging risks. Company insurers are, no more than 10% to 20%, or $540
for example, providing more and more
Underwriting Association (IUA), a trade million to $1.08 billion, due to many
organisation representing the London cyber coverage and are supporting companies large risk retentions, and
insurance market, highlighting the con- sustainability projects with protection to low policy limits relative to the po-
tinued expansion of the industry. for green projects across their tential outage loss, Parametrix said.
lifecycle.
International-Underwriting-Associa- The weighted average loss is $44 mil-
tion-2The IUA now represents 81 firms, We have seen new firms established lion per Fortune 500 company, but
more than double the number from a in London and a particular growth in ranges from $6 million (manufacturing
the managing general agency business
decade ago. According to recent data, companies) to $143 million (airlines).
the London insurance market earned model. Companies are also increasingly Parametrix estimates that the largest
£44.071 billion in premiums in 2022. keen to benefit from the services we direct financial loss will be suffered by
provide as an industry association.
This marks a 25% increase from 2021 More than 1,300 individuals now regu- Fortune 500 companies in the
(£35.654 billion) and a 100% rise over larly participate in the dozens of mar- healthcare sector ($1.938 billion), fol-
the last ten years (up from £22.455 ket groups that we run. lowed by banking ($1.149 billion). Com-
billion in 2014). panies in these sectors take 57% of the
With our members support we look
The latest members to join the IUA are forward to continuing our work to se- loss, but account for only 20% of Fortune
Advent Risk Management, Coverys cure an optimal trading environment 500 revenues, due to the uneven impact
Limited, and Munich Re Specialty. Apex for London insurance companies, fur- of the event on business sectors.
Insurance Company of Uzbekistan has ther added Matcham. Manufacturing, the largest sector by
also joined as an associate member. revenue, suffered what Parametric
This development coincides with the calls a loss of just $36 million in total
IUAs 25th anniversary. Founded in 1999 Fortune 500s Insured when compared to its annual revenue
through the merger of the London In- Losses for CrowdStrike of $3.4 trillion across 130 companies,
ternational Insurance and Reinsurance Could Reach $1 Billion: while the event cost the six Fortune
Market Association (LIRMA) and the 500 airlines approximately $860 mil-
Institute of London Underwriters (ILU), Parametrix lion, against revenue of $187.1 billion.
the IUA unified the representation of The total direct financial loss facing Parametrix said its estimates are based
both marine and non-marine sectors in the US Fortune 500 companies, exclud- on more than 54 billion data points of
the London insurance market. ing Microsoft, from the CrowdStrike the historical performance of cloud
The Insurance Times August 2024 17
