Full Capacity: You can’t insure your way out of a heatwave

May 2 2026 by

Welcome to Full Capacity, a weekly briefing on all the most important developments of the past week with a personal take on the news from our editor-in-chief, Mithun Varkey, delivered to your inbox every Saturday.   

IAN exclusive. Kelvin Woo, QBE’s head of corporate underwriting for Hong Kong and Macau, is set to leave the insurer and join Sompo in a distribution‑focused role, industry sources say.

Meanwhile, QBE said its head of strategic partnerships Christelle Poh will assume the role of head of distribution for QBE Hong Kong and Macau to bolster client support.

New branch. Kuwait Reinsurance Company has launched operations at its branch in India’s Gift City, a special economic zone that offers foreign financial companies special tax incentives, from April 1, offering life and non-life treaty and facultative reinsurance.

Claims data. Japanese insurers paid US$464.4 million in nat cat claims for the year to March 31, 2026, General Insurance Association of Japan data shows, with August’s torrential rains in Kyushu accounting for US$424 million, or 91% of losses, across more than 41,500 claims. Separately, the magnitude 7.6 earthquake off Aomori prefecture in December resulted in US$40.4 million in claims.

Listing plans. Indian insurer Acko is targeting a second-half IPO at up to a US$2.5 billion valuation, seeking to raise around US$300–500 million through a mix of primary and secondary shares, according to media reports. The general insurer is backed by Munich Re Ventures along with General Atlantic, Multiples PE, Accel, Elevation Capital and Canada Pension Plan Investment Board.

Pricing pressure. Asia’s D&O market faces growing concerns over rate adequacy amid prolonged softening, intense competition, and rising risks, with high double-digit rate declines across key markets such as Singapore, Hong Kong, and China driven by abundant capacity, brokers and underwriters say.

The trend is expected to persist in the near term, with pricing pressure varying by territory and risk profile but remaining firmly downward across much of the region.

Uncertain forecasts

Earlier this week, CFC announced the launch of Lane Assist, “a world‑first pilot of agentic underwriting in specialty insurance that takes a submission from email through to quote recommendation in seconds”. 

It may look like a modest pilot, but the specialty insurer is testing what could become a defining shift in how underwriting is actually done. 

Agentic AI challenges that assumption of underwriting being an indivisible craft – part science, part judgement, part relationship management.  

By taking a submission from inbox to quote recommendation in seconds, Lane Assist effectively automates one of the most time-consuming – and least differentiated – parts of the job. And once that boundary is crossed, not sure where that will stop. 

CFC said that “this is not a lab experiment – it’s working with real submissions, in live workflows. By starting small, we can validate outcomes, learn quickly and ensure the technology fully supports our underwriters rather than overriding their judgement”. 

The immediate narrative is reassuring. This is augmentation, not replacement.  

Underwriters remain firmly in control, reviewing and approving every quote. The technology handles only low-complexity risks.  

Nothing fundamental changes. Except it does. Because once “low-complexity” underwriting becomes commoditised, the economics of underwriting start to shift.  

Carriers that fail to automate will not just be slower, they will be uncompetitive in high-volume segments. 

Once near-instant turnaround becomes normal in one segment, the pressure on carriers to standardise and accelerate will only intensify. 

Once agentic underwriting proves it can deliver speed without sacrificing quality, it will not remain confined to “low-complexity” risks for long. The definition of what can be automated will expand, quietly but persistently. 

CFC said that as part of the pilot, it is also exploring how an augmented underwriting model could reshape day‑to‑day practice, including how time saved on routine submissions can be reinvested in broker relationships and complex risk assessment. 

They are not alone, there are multiple carriers working on large language models, so in the coming days, we will likely see more ambitious and bolder AI rollouts, and that is apart from algorithmically powered digital follow platforms like Ki. 

For brokers, the change will be welcome. Faster quotes on straightforward risks reduce friction and improve client service.  

For underwriters, they will not be replaced, certainly not wholesale, but the structure of underwriting teams and career paths will likely not look anything like they do today. 

People moves

Willis appointed Scott Kirkwood as Pacific head of natural resources 

bolttech named Kohei Watanabe Japan GM, succeeding Akiko Anzai, who moves into head of business development role. 

Aon has promoted Michael Twyman to general manager of its specialty business in New Zealand. 

Do check out our weekly people move round-up to stay up to speed on the most important appointments in the region.    

MORE FROM: Round ups
Partner Content
Join the mailing list Designed to help you stay ahead, our daily newsletter provides a round-up of the latest news and insights, delivered straight to your inbox.
Print Edition
Subscribe to receive our quarterly print magazine.