On the QT: Things fall apart

Things fall apart, the centre cannot hold.

William Butler had it right. 2011 will see things beginning to fall apart - but in our sector we will call this ‘reorganisation’, ‘refinance’, ‘rebrand’ or ‘repositioning’.

You will not hear ‘reverse’, ‘regress’, ‘repeat’, ‘regroup’; let alone ‘reflect’.

The centre cannot hold.

Can Hanksie go on forever? Can the consolidators avoid being consolidated? Surely MGAs must stumble? AXA’s fourth GI chief executive in 10 years cannot be superwoman, can she?

Things fall apart. The FT, in the week before the New Year, reported a threatened 50% increase in motor rates and two days later a 10% reduction in reinsurance rates. Reinsurance rates; when they are at a discount the capital chasing those sexy returns is about to get burnt. We are heading down the slippery slope: it’s the calm before the storm; darkness at noon.

Sid thanks his Wiki-leaker sources in 2010 and looks forward to hearing more on the QT in 2011.

Sid expects all of our insurer chief executives to keep their jobs in 2011 but if you know different let Sid know, as always very hush hush.

And a shilling says an internal promotion at Allianz Commercial in the summer, plus a defection to AXA, and then a huge drink with old man Hanks before he goes.

Happy new year.

Email me: sid@insurancetimes.co.uk.