In This Issue: Asia-Pacific Insurance: A Comparative Analysis Of Industry Risk 2006-2007: In its annual review of the economic and industry risk profiles of 14 Asia-Pacific region insurance markets, Standard & Poor's concluded that the risk profiles of life and non-life sectors in some countries improved in 2006. There have been ongoing improvements in several key economic and industry factors underpinning the financial strengths of the region's insurance players.Asia-Pacific Life And Non-Life Insurance Outlook: Recent Strong Profits Equal Stability In Credit Quality Outlooks: Credit quality recently has been helped by strong profits that have boosted balance-sheet strength; however, some markets exhibiting strong growth fundamentals are showing some capital strain. To help maintain stable viable markets, regulators have been increasing capital and also implementing risk-based capital adequacy measures. China Passes India In Insurance Reform: Although India has a more developed financial market, and therefore better capitalized non-life insurers than China, overall the financial strength of India's insurance industry is weakened by its financially weak state-owned life insurance companies. The Best And Worst Of Times: ERM Across The Asia-Pacific Insurance Sector: An evaluation of enterprise risk management (ERM) practices across Asia-Pacific countries shows a story akin to A Tale of Two Cities, with a divergence of ERM practices and preparedness from weak to strong across the region. It is a time of new and emerging risks, ferocious cyclone and tsunami activity, volatile weather patterns, bird-flu pandemic, and investment market volatility, yet insurance companies have never been more prepared. | 
