Risk of insurers failing increases following earthquake aftershocks

Risk of insurers failing increases following earthquake aftershocks

iStock.com/filo Insurers are taking a simulation model to Ottawa to show the escalated contagion risk of a major earthquake — and its expected aftershocks — bankrupting Canadian insurers. Insurers have already explored the “contagion risk” of multiple insurers failing as a result of a single-event major earthquake in Canada. However, recent risk modelling conducted by the Property and Casualty Insurance Compensation Corporation (PACICC) shows th…