The Insurance Commission (IC) on Tuesday conducted a mediation hearing on a local insurer’s grievance against Marsh UK but declined to provide details on how the proceedings went. Prudential Guarantee and Assurance, Inc. filed a formal complaint in October, following up on accusations that Marsh — which it had formerly tapped as a reinsurance broker — had broken Philippine laws. The IC also directed Prudential Guarantee and Marsh representatives not to disclose any information regarding the hearing. For the insurance needs of a leading airline, it claimed that Marsh had appointed Pioneer Insurance as its “fronting insurer” while they would assume all the insurance risks and liabilities. “Since the insurer in this case is only a front, what happens if the reinsurance company refuses to pay a claim?

Source: Manila Times December 19, 2017 18:11 UTC