Wage law threat
A new law that entitles workers to claim back-pay from former bosses could hit legal expenses insurers, according to the ABI. The law means that employees who were paid less than the minimum wage in a previous job can now force their former employer to make up the difference.
Home cover slows
Over the past quarter home insurance premiums rose by just 0.22% for buildings and 0.39% for contents cover, according to the latest AA British insurance premium index. It reported that over the past year, average premiums have increased by 1.77% for buildings and 2.09% for contents.
US clears Lloyd's
A US court has dismissed a $3m (£1.8m) claim against Lloyd's over the cost of clearing-up contaminated sites in Washington. Gas and electric utility servicing company Puget Sound Energy (PSE) had sued several Lloyd's underwriters in relation to excess third party liability cover that provided between 1939 and 1943 and from 1951 to 1965. The Lloyd's insurers had said the cover only applied to third party property, not the company's own land.
Premiums hit jobs
Insurers are being forced to cut staff in a bid to curb rising business costs, according to a survey by the CBI and Pricewaterhouse Coopers (PwC). The survey for the second quarter of 2003 found insurers were most pessimistic about statutory regulation, uncertainty over capacity and increasing competition.
Boyle on liability
R&SA UK chief executive Duncan Boyle has been appointed chairman of the ABI's liability committee. He replaces Geoff Riddell, who was promoted to chief executive of Zurich's UK general insurance business last year.
LPH Pitman is set to be rebranded, with management currently considering alternative names for the company.