Issue 2005-12: March 22, 2005

This newsletter is for members of the Canadian Insurance Industry, and those who serve it. The newsletter is published weekly, and notes information mostly about the use of the Internet and related technologies in the industry. Some is international, where we feel it is relevant to Canada.




Consumer Information

Are you @Risk? Part II: Understanding your information technology exposures: Insurers Financial Group.
Part I looked at how technology is becoming a more integral part of business activities. The degree to which a business utilizes technology coupled with the sensitivity of information transmitted or stored will determine the likelihood of an IT loss.

Distribution

Advocis welcomes GAMA International into Association.
March 8, 2005, TO – Advocis, The Financial Advisors Association of Canada, today announced that the national Advocis board of directors and the board of directors of GAMA International Canada have approved the incorporation of GAMA as a Conference of Advocis. "Advocis is pleased to incorporate GAMA members into the Advocis family and looks forward to providing additional value to both membership groups," noted Steve Howard, Advocis.

Harvard Western Ventures Inc. Announces Completion of Joint Venture.
Regina, Saskatchewan – March 16, 2005. Harvard Western Ventures Inc. a company jointly owned by Western Financial Group Inc and Harvard Developments Inc., announced the formation of a major new insurance broker in Regina, Cooks ISI Insurance. The new company brings two well-known brands together, ISI Agencies (part of Western Financial Group) and Cooks McCallum Hill Insurance (part of Harvard Developments Inc.), to form a partnership initiative to invest in a network of strong insurance brokers in other major western Canadian cities.

Kasina Study Offers Road map for Asset Managers Seeking to Increase Participation Rates in DC Plans.
NEW YORK, March 2, 2005 – In its new study "Driving Enrollment and Contribution in DC Plans," financial services industry consulting firm kasina provides a road map for asset management firms seeking to increase plan enrollment and contribution rates, and to strengthen relationships with plan sponsors. Defined Contribution (DC) plan providers face a major challenge. Unfortunately, most employees have no knowledge of or contact with the firm running their retirement plan.

New board gives Kinnect customers even greater role.
Senior staff from brokers and managing agents are taking responsibility for the development of Kinnect by joining a new board to drive its adoption, guide its development and manage its performance. Eight leading figures from the London market now sit on the Kinnect board as non-executive directors of the business.

eBusiness and Technology

Newlink announces new version of Vista™ - Affordable Data Warehouse Reference Models.
NewLink Group is proposing a cost sensitive offering to provide the Vista™ Data Warehouse reference models to Insurance and Wealth Management organizations. The Vista™ Data Warehouse reference models provide a quick-start on any data warehouse architecture or data warehouse development projects.

Wireless Internet Access Climbs Nearly 30% In 2004: Ipsos-Insight.
March 17, 2005 New York, NY – True to 2003 wireless projections from The Face of the Web study, the number of wireless Internet users in 2004 grew by 29%. The latest findings � based on interviews in 12 key global markets with 6,544 adults, including 3,304 active Internet users � show that an estimated 171 million people, or 44% of Internet users in the measured markets, have accessed the Internet wirelessly.

Greater Use of Knowledge Management Tools Meets Need for Improved Business Processes, IDC Says.
FRAMINGHAM, Mass., February 22, 2005 – According to IDC, enterprises are increasing spending on knowledge management (KM) technologies, including collaboration software, content management and access software, and enterprise portal software, based on the ability of these technologies to deliver concrete benefits when implemented as part of a business solution.

Business of Insurance

From Canadian Insurance ENEWS: Ontario Mutuals Report 2004 Results
March 17, 2005 -- The Ontario Mutual Insurance Association has reported improved results for its 46 member companies. New Premiums Written grew by 7.2% to 361 million. This compares with the almost 15% growth the previous year.

HREIT and CDCL announce the acquisition of Co-operators Real Estate Services Inc.
WINNIPEG, March 17, 2005 - Huntingdon Real Estate Investment Trust announced today that it has agreed to acquire all outstanding shares of Co-operators Real Estate Services Inc. from the Co-operators Development Corporation Limited. The acquired company will continue to operate as an independent property management company.

Claims

Aon Re Global and Impact Forecasting LLC Release 2004 Annual Global Climate and Catastrophe Report.
CHICAGO – March 10, 2005 -- Unusually violent weather throughout the U.S. and the Pacific Rim made 2004 one of the most active years for natural phenomena in recent memory, according to a recently-released Aon report. Aon's 2004 Global Climate and Catastrophe Report, produced by Aon Re Global and Impact Forecasting, LLC, subsidiaries of Aon Corporation, depicts a year of freakish weather patterns, ending with the worst natural disaster in modern times: the December 26th tsunami.

USA New Work Rule for Truckers Isn't Improving Safety: IIHS.
March 10, 2005, Arlington, VA � A new Insurance Institute for Highway Safety survey indicates that drivers of interstate trucks spend more time behind the wheel under a federal work rule that went into effect in 2004. This new rule lengthens the mandatory rest period by two hours but lets drivers stay on the road an extra hour every day.

CSIO Insurance Portal Status Update

Week ending Mar. 18, 2005:
The number of brokers integrated to the portal increased by 2 last week to 158.

Our People

ICBC awards $10,000 in scholarships for Rehabilitation.
Since 1983, ICBC has helped improve the quality of care available in the province by awarding scholarships to students attending UBC's School of Rehabilitation Sciences. This year, ICBC has awarded $10,000 to four students studying occupational and physical therapy.

Policy and Product Management

Eastbridge study looks at the operational best practices of worksite carriers.
AVON, CONNECTICUT, USA (March 15, 2005)�Today, worksite insurers must deliver the operational and administrative performance their producers and other customers expect. Yet, at the same time, they need to reduce costs to keep their prices competitive � not an easy task

ISO Expands A-PLUS Auto Database to Cross-check Vehicles Stolen and Shipped from Mexico.
JERSEY CITY, N.J., March 15 � An ISO loss-history database may now be used to track down cars stolen in Mexico and shipped to the U.S. ISO's Automobile-Property Loss Underwriting Service (A-PLUSTM) database has been enhanced to cross-check for automobiles reported stolen in Mexico and transported to the U.S.

Reference and Statistics

Financial Data - Property and Casualty Insurance Companies: OSFI.
15 March 2005, Ottawa -- The Office of the Superintendent of Financial Services has now posted financial data reported at the end of the fourth quarter for the entire calendar year, for federally registered P&C Companies. The data is shown as reported, without comment or analysis.

from Doug:

Implementing our new newsletter subscription and distribution system has been an interesting exercise. Like most change, the effort has been more than anticipated. We also expected some delivery problems due to the new format and a new source, although our return email address remains the same. We experienced about a 12% bounce rate the first two or three weeks, but it looks like that is now starting to drop.
On the positive side, the rate of new subscribers seems higher than before we implemented the new subscription system, and we have had positive feedback on the new newsletter format. Like so many projects, one step backwards, but then two ahead.


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