Tag Archives: COVID-19

Global life insurers impose restrictions, worried about long-term pandemic risks

By Suzanne Barlyn, Carolyn Cohn and Noor Zainab Hussain

(Reuters) – Global life insurers are taking steps to curb payouts stemming from the coronavirus pandemic, including long-term health consequences that are not fully understood, industry sources told Reuters.

Life insurers, including Prudential Financial Inc, and Aviva PLC, are now imposing waiting periods before COVID-19 patients, including those who have recovered, can apply for coverage, executives and spokespeople said. Some are also limiting coverage for certain age groups.

These changes come as some reinsurers demand new safeguards from life insurers they backstop, and as the industry struggles to ascertain the extent of problems caused by the novel coronavirus.

COVID-19 has killed over 2.1 million people globally and infected nearly 100 million, according to a Reuters tally.

Some victims suffer long-term consequences including severe respiratory problems, organ damage, circulatory impairment and chronic fatigue. Three weeks after recovery, 10% of COVID-19 patients are still unwell and up to 5% feel sick for months, according to scientists at King’s College London.

The pandemic has also caused a mental-health crisis for those who could not say goodbye to loved ones or have been isolated for months, while exacerbating substance-abuse issues for others.

It is too early to know how many people will file claims for death, long-term illness or disability as a result, but insurers worry the consequences could last for decades.

“We have attempted as a company to strategize about modeling this and have made some headway but are far from the crystal ball that is able to predict this,” said Dr. Paulo Bandeira Pinho, chief medical director of Optimum Re Insurance Co.

Optimum has met with life-insurer customers, including Prudential Financial, to map out long-term risks and possible financial impacts.

Prudential now imposes a minimum 30-day waiting period for recovered COVID-19 patients.

“Ultimately, many of the long-term implications of the pandemic are still unknown,” said Prudential’s Vice President of Operations Keith Bexell. “As the long-tail effects become better understood, our approach to underwriting may adjust as necessary.”

Since April, British life insurer LV= has postponed applications from anyone who was diagnosed with COVID-19, experienced symptoms or lived with someone who got sick, according to an underwriting policy on its website.

Aviva PLC also imposes a “short” delay for those who had COVID-19 or similar symptoms during the past 30 days, a spokesperson said.

VACCINE HOPES

Life insurers are in the business of hedging risks decades in advance. Since the start of the pandemic, the industry has said it would probably not cause major financial damage, partly because they were not seeing a swell of claims.

Global data are not available for 2020. In the United States, 8% of reported group life insurance claims from April to August attributed the cause of death to COVID-19, according to the U.S. Society of Actuaries.

Companies told Reuters the impact so far has been minimal – with LV= seeing COVID-19 affect just 2% of applications and Aviva still covering more than 9 in 10 customers – but they are taking precautionary steps anyway because of long-term risks.

Apart from those who had the disease, Optimum Re’s Pinho worries about a “wave of widows and widowers, children and parents” with shortened lifespans.

Plus, the pandemic reduced preventative health screenings, causing another set of risks, said Chris Behling, SwissRe’s head of life and health underwriting for the Americas.

However, it is not all doom and gloom. Insurers expect vaccines to dramatically improve assumptions.

Some also pointed to better mortality statistics in countries that imposed tight restrictions on travel and socializing, as well as a study from Britain’s Institute and Faculty of Actuaries that suggested surviving populations may have a higher life expectancy.

And, if insurers become too stingy with coverage, they may lose valuable customers.

For instance, LV= is excluding mental-health issues from some policies that cover critical illness and income protection for up to 12 months, said Justin Harper, the company’s head of marketing.

“It’s probably the appropriate decision to make, given we’re trying to balance the access but also the risk management,” Harper said.

(Reporting by Suzanne Barlyn in Washington Crossing, Pennsylvania, Carolyn Cohn in London and Noor Zainab Hussain in Bengaluru; Additional reporting by Tom Sims in Frankfurt; Editing by Lauren Tara LaCapra and Diane Craft)

Moderna plans trial of altered COVID-19 vaccine booster to address South Africa variant

(Reuters) – Moderna said on Monday it plans to start clinical trials of an altered booster version of its COVID-19 vaccine aimed at the South African variant after tests showed its authorized vaccine may produce a diminished antibody response.

It will also test an additional booster shot of its authorized vaccine in trials to see if it boosts antibody reaction against the South Africa variant. The current regimen is for two shots four weeks apart.

The company said in a press release that it was being cautious and that the two-dose regimen of the vaccine was still expected to be protective against the South African and other variants detected to date.

The company said the vaccine did not see any impact from the U.K. variant – which has been shown to be more transmissible – in the tests.

The company said it plans to publish data from its tests against the South African and U.K. variants on the website bioRxiv.

(Reporting by Manas Mishra in Bengaluru and Caroline Humer in New York; Editing by Maju Samuel and Saumyadeb Chakrabarty)

Japan and IOC deny that Olympics will be cancelled

By Jack Tarrant and Sakura Murakami

TOKYO (Reuters) – Japan and the IOC stood firm on Friday on their commitment to host the Tokyo Olympics this year and denied a report of a possible cancellation, although the pledge looks unlikely to ease public concern about holding the event during a pandemic.

Though much of Japan is under a state of emergency due to a third wave of COVID-19 infections, Tokyo Olympic organizers have vowed to press ahead with the re-scheduled Games, which are due to open on July 23 after being postponed for a year because of the coronavirus.

A government spokesman said there was “no truth” to a report in Britain’s Times newspaper that the government had privately concluded the Games would have to be cancelled.

The Times, citing an unidentified senior member of Japan’s ruling coalition, said the government’s focus was now on securing the Games for Tokyo in the next available year, 2032.

“We clearly deny the report,” Deputy Chief Cabinet Secretary Manabu Sakai told a news conference.

Later, Japan Olympic Committee head Yasuhiro Yamashita told Reuters the report was “a fabrication”, and added in an interview: “It’s wrong and it’s ridiculous even having to comment on this.”

The governor of Tokyo, Yuriko Koike, said there had been no talk of cancelling or delaying the Olympics and a protest should be lodged over the Times report.

The Games organizing committee also denied the report, saying in a statement its partners including the government and the International Olympic Committee (IOC) were “fully focused” on hosting the games as scheduled.

“It is very disappointing to see that the Times is developing such a tabloid-like story with an untrustworthy source,” a source from the organizing committee told Reuters.

“The national government is fully committed to delivering a safe and secure Games,” the source said.

‘UNFOUNDED RUMORS’

The IOC issued a statement echoing that line, adding: “We will be implementing all possible counter-measures against COVID-19 and will continue to work closely … in our preparations for holding a safe and secure Games this summer.”

The Australian and U.S. Olympic Committees said they were preparing for the Games as planned.

“Unfortunately, I need to address unfounded rumors that the Tokyo Olympic Games will be cancelled, rumors that only create more anxiety for athletes,” Matt Carroll, the chief executive of the Australian committee, told reporters in Sydney.

“The Tokyo Games are on. The flame will be lit on July 23, 2021.”

The Australian committee is run by the IOC’s point man for the Tokyo Games, John Coates.

The U.S. and Canadian committees wrote on Twitter they had not received any information suggesting the Games would not happen as planned.

Sebastian Coe, head of World Athletics, also moved to reassure fans and locals that it would go ahead in a secure environment. “There is an absolute, cast-iron determination,” Coe told Reuters, saying that the arrival of vaccines and ability of athletes to train meant the situation was far better than when the Games were postponed last year.

CORONAVIRUS FEARS

Japan has been hit less severely by the pandemic than many other advanced economies but a recent surge in cases has forced it to close its borders to non-resident foreigners and declare a state of emergency in the Tokyo and other cities.

Tokyo reported new daily coronavirus cases of more than 1,000 for nine straight days through Thursday and set a single-day record of more than 2,400 infections earlier this month. The death toll from the respiratory disease stands at nearly 4,900 people in Japan.

There are public fears that an influx of athletes will spread the virus. About 80% of people in Japan do not want the Games to be held this summer, recent polls show.

In an interview ahead of Friday’s report, Tokyo 2020 CEO Toshiro Muto said he was cautiously hopeful that successful COVID-19 vaccine campaigns could help ensure the safe staging of the world’s largest sporting event.

The Olympic Games represents a major milestone for Japan and its premier, Yoshihide Suga, who has said the event would bring “hope and courage” to the world. Suga reiterated on Friday the Games would go ahead as planned.

(Reporting by Takashi Umekawa, Chris Gallagher, Jack Tarrant Mitch Phillips and Nick Mulvenney; Additional reporting by Elaine Lies; Editing by Stephen Coates, Robert Birsel and Alison Williams)

39.9 million doses of COVID-19 vaccines distributed, 19.1 million administered: U.S. CDC

(Reuters) – The U.S. Centers for Disease Control and Prevention said it had administered 19,107,959 doses of COVID-19 vaccines in the country as of Friday morning and distributed 39,892,400 doses.

The tally of vaccine doses are for both Moderna and Pfizer/BioNTech, vaccines as of 9:00 a.m. ET on Friday, the agency said.

According to the tally posted on Jan. 21, the agency had administered 17,546,374 doses of the vaccines, and distributed 37,960,000 doses.

The agency said 16,243,093 people had received one or more doses, while 2,756,953 people got the second dose as of Friday.

A total of 2,289,284 vaccine doses have been administered in long-term care facilities, the agency said.

(Reporting by Trisha Roy in Bengaluru)

Severe allergic reactions to Moderna vaccine appear rare: CDC report

By Vishwadha Chander

(Reuters) – Severe allergic reactions to Moderna Inc’s coronavirus vaccine appear to be quite rare, the U.S. Centers for Disease Control and Prevention (CDC) said on Friday, after over 4 million people had received their first dose.

Based on the data, the CDC said anaphylaxis, a life-threatening allergic reaction, occurred at a rate of 2.5 cases per 1 million shots administered.

The agency cautioned that the risk of anaphylaxis was difficult to compare to non–COVID-19 vaccines because it is still so early in the vaccination program.

As of Jan. 10, there were 10 cases of anaphylaxis reported among 4.04 million people who received their first doses of Moderna’s two-shot vaccine, according to the agency’s Morbidity and Mortality Weekly Report.

The CDC said the characteristics of severe allergic reactions to Moderna’s vaccine were similar to those reported with the COVID-19 vaccine from Pfizer Inc and partner BioNTech SE.

Earlier this month, the CDC reported severe allergic reactions to the Pfizer/BioNTech shot occurred at a rate of 11.1 per 1 million vaccinations.

For both vaccines, symptoms presented within minutes after vaccination and were more common among women. Many of those who suffered anaphylaxis after receiving either vaccine had a history of allergies or allergic reactions, and several had an anaphylaxis episode in the past, the CDC said.

The agency said locations administering COVID-19 vaccines should screen recipients, have necessary supplies and staff members to manage anaphylaxis, and immediately treat suspected cases with an epinephrine injection, the same drug in EpiPens.

(Reporting by Vishwadha Chander in Bengaluru and Julie Steenhuysen in Chicago; Editing by Caroline Humer and Bill Berkrot)

British PM says new variant may carry higher risk of death

By Michael Holden and Alistair Smout

LONDON (Reuters) – British Prime Minister Boris Johnson said on Friday the new English variant of COVID-19 may be associated with a higher level of mortality although he said evidence showed that both vaccines being used in the country are effective against it.

“We’ve been informed today that in addition to spreading more quickly, it also now appears that there is some evidence that the new variant – the variant that was first discovered in London and the southeast (of England) – may be associated with a higher degree of mortality,” he told a news briefing.

The warning about the higher risk of death from the new variant, which was identified in England late last year, came as a fresh blow after the country had earlier been buoyed by news the number of new COVID-19 infections was estimated to be shrinking by as much as 4% a day.

Johnson said however that all the current evidence showed both vaccines remained effective against old and new variants.

Data published earlier on Friday showed that 5.38 million people had been given their first dose of a vaccine, with 409,855 receiving it in the past 24 hours, a record high so far.

England and Scotland announced new restrictions on Jan. 4 to stem a surge in the disease fueled by the highly transmissible new variant of the coronavirus, which has led to record numbers of daily deaths and infections this month.

The latest estimates from the health ministry suggest that the number of new infections was shrinking by between 1% and 4% a day. Last week, it was thought cases were growing by much as 5%, and the turnaround gave hope that the spread of the virus was being curbed, although the ministry urged caution.

The closely watched reproduction “R” number was estimated to be between 0.8 and 1, down from a range of 1.2 to 1.3 last week, meaning that on average, every 10 people infected will infect between eight and 10 other people.

But the Office for National Statistics estimated that the prevalence overall remained high, with about one in 55 people having the virus.

“Cases remain dangerously high and we must remain vigilant to keep this virus under control,” the health ministry said. “It is essential that everyone continues to stay at home, whether they have had the vaccine or not.”

Britain has recorded more than 3.5 million infections and nearly 96,000 deaths – the world’s fifth-highest toll – while the economy has been hammered. Figures on Friday showed public debt at its highest level as a proportion of GDP since 1962, and retailers had their worst year on record.

(Additional reporting by William James, Alistair Smout, Andy Bruce and Sarah Young; Editing by Alison Williams)

Exclusive: Canada deporting thousands even as pandemic rages

By Anna Mehler Paperny

TORONTO (Reuters) – Canada deported thousands of people even as COVID-19 raged last year, data seen by Reuters shows, and lawyers say deportations are ramping up, putting people needlessly at risk in the midst of a global health emergency.

Like many other countries, Canada is struggling to stop a second wave from spiraling out of control, and its political leaders are begging residents to stay home to prevent the spread.

Lawyers and human rights advocates are decrying Canada’s November decision to resume deportations. Until now, the extent of the country’s pandemic deportations was not known, but recent interviews with immigration lawyers and scrutiny of government numbers has shed light on the situation.

Canada counted 12,122 people as removed in 2020 – 875 more than the previous year and the highest number since at least 2015, according to Canada Border Services Agency (CBSA) data seen by Reuters. The government says this was necessary and done safely.

The CBSA says the high number last year is because it includes people who decided to leave on their own, termed “administrative removals.” In 2019 there were 1,657 administrative removals, compared with 8,215 last year.

Even subtracting those numbers, that leaves thousands of people deported as the pandemic raged and governments cautioned against travel of any kind for safety reasons.

Even as Canada continues to deport non-citizens during a health crisis, U.S. President Joe Biden paused deportations for 100 days within hours of being sworn in on Wednesday.

Canada officially imposed a moratorium on deportations in March that it lifted at the end of November.

“As much as a human rights concern it’s a common sense concern,” said Bill Frelick, director of Human Rights Watch’s Refugee Rights Program.

Countries’ deportation practices have varied over the course of the pandemic. Several, including the United Kingdom, suspended deportations before resuming them. Others, like Ireland, have kept suspensions in place.

The CBSA said it has been prioritizing deportations for reasons of “serious admissibility,” including criminality.

The vast majority of people deported in 2020 were for reasons of “noncompliance.” Even taking into account administrative removals, more than 1,000 people were deported during the suspension, the data shows.

‘IT’S UNBELIEVABLE’

Public health experts have warned that travel of any kind can spread COVID-19 from one place to another, a risk that grows with the advent of more highly transmissible COVID variants.

Many of the deportation trips involve transfers at multiple airports and flights during which people are placed in enclosed space in close quarters with other people for hours at a time, a situation ripe for transmission.

Since August Canada has been conducting deportations with CBSA escorts, so Canadians are also making thousands of these round-trip flights for deportation purposes.

Organizations including the Canadian Bar Association and the Canadian Association of Refugee Lawyers spoke out against Canada’s decision to resume deportations.

“As everybody is putting in place more restrictions in an effort to flatten the curve … CBSA made a shocking decision to simply go back to business as usual,” said Maureen Silcoff, president of the Canadian Association of Refugee Lawyers.

“Canada has taken the position that nonessential travel is barred yet people are now being removed and there’s no indication that those removals are essential.”

The CBSA said in a statement it lifted the moratorium on deportations because foreign government offices and borders had reopened, airlines restarted their routes and public-health protocols “have contributed to a high degree of safety for persons being removed by air.”

“Canada continues to uphold both its human rights and public safety obligations in relation to the removal of inadmissible foreign nationals,” the statement said. “The removal process includes many checks and balances to ensure that the removal is conducted in a fair and just manner.”

But these deportations are endangering not only the people being deported but the government officers tasked with accompanying them to their destination, lawyers say.

Immigration lawyer Lorne Waldman’s Toronto office went from getting no removal cases to getting three or four in the space of a week, he said. He is now fighting for a failed refugee claimant with two young Canadian children who faces deportation to Egypt Monday.

“They’re ramping it up as if there was no pandemic,” he said. “It’s unbelievable.”

(Reporting by Anna Mehler Paperny in Toronto; Editing by Denny Thomas and Matthew Lewis)

UK police break up COVID rule-breaching wedding with 150 guests

LONDON (Reuters) – British police said on Friday they had broken up a wedding with about 150 guests in violation of COVID-19 lockdown rules, which only allow six people to attend.

Weddings are currently supposed to take place only under “exceptional circumstances”.

However, officers found a large gathering in Stamford Hill, in north London, with the windows covered to stop people seeing inside. The organizer of the wedding could be fined up to 10,000 pounds ($13,700), and five others were issued 200-pound penalties.

The police had initially reported that some 400 people had attended the wedding. An investigation has been launched to identify further offences.

“This was a completely unacceptable breach of the law,” said Detective Chief Superintendent Marcus Barnett. “People across the country are making sacrifices by cancelling or postponing weddings and other celebrations, and there is no excuse for this type of behavior.”

The wedding took place at the Yesodey Hatorah Girls School, which serves Haredi Jewish families in the area, home to the biggest Orthodox Jewish community in Europe.

“We are absolutely horrified about last night’s event and condemn it in the strongest possible terms,” the school said in a statement. An outside organization was responsible for letting out its hall and it had no knowledge of the wedding, the school added.

Coronavirus cases have soared in Britain since the end of last year following the outbreak of a new, more contagious variant of the virus, which has led to the imposition of lockdowns across the United Kingdom.

The number of daily cases has fallen from a high of almost 70,000 on Jan. 8 to around 40,000 in recent days, but authorities are concerned that too many people are breaking the rules, meaning the virus keeps spreading.

On Thursday, British interior minister Priti Patel said those who broke lockdown restrictions faced punishment by police and announced a new 800-pound fine for those who attended house parties.

($1 = 0.7320 pounds)

(Reporting by Michael Holden; additional reporting by James Davey, editing by William James and Gareth Jones)

U.S. factory activity races to more than 13-1/2-year high in early January: IHS Markit

WASHINGTON (Reuters) – U.S. manufacturing activity surged to its highest level in more than 13-1/2-years in early January amid strong growth in new orders, but bottlenecks in the supply chain caused by the COVID-19 pandemic are driving up prices and signaling a rise in inflation in the months ahead.

Data firm IHS Markit said on Friday its flash U.S. manufacturing PMI accelerated to a reading of 59.1 in the first half of this month, the highest since May 2007, from 57.1 in December. Economists had forecast the index slipping to 56.5 in early January.

A reading above 50 indicates growth in manufacturing, which accounts for 11.9% of the U.S. economy. Manufacturing is being supported by businesses rebuilding inventories and a shift in demand towards goods from services because of the coronavirus crisis. Factories and the housing market are anchoring the economy as it battles a resurgence in the virus.

The IHS Markit survey’s measure of new orders received by factories raced to its highest level since September 2014. The surge in demand reflected both existing and new customers, “with some clients reportedly committing to orders previously placed on hold.”

But the pandemic is gumming up the supply chain, leading to higher prices for materials.

Manufacturers are also raising prices for their products. The survey’s gauge of prices received by factories vaulted to its highest level since July 2008. This mirrored other manufacturing surveys, suggesting inflation could pick up and remain elevated beyond the anticipated boost from the drop of weak readings in March and April from the calculation.

With orders soaring, manufacturers hired more workers early this month. The survey’s factory employment index increased to 54.8 from 52.2 in December.

The strength in manufacturing helped to lift business activity. The survey’s flash composite PMI Output Index, which tracks the manufacturing and services sectors, rose to a reading of 58.0 early this month from 55.3 in December. While its flash services sector PMI increased to 57.5 from 54.8 in December, the pace of new business growth softened at the start of 2021.

The services sector, which accounts for more than two-thirds of U.S. economic activity, has borne the brunt of the pandemic, with severe disruptions to restaurants, bars and other businesses that attract crowds. COVID-19 has infected more than 24 million people, with the death toll exceeding 400,000 since the pandemic started in the United States.

The survey’s measure of services industry employment fell to a six-month low in early January.

(Reporting By Lucia Mutikani; Editing by Chizu Nomiyama)

U.S. driving falls 11.1% in November as COVID-19 cases rise

WASHINGTON (Reuters) – Travel on U.S. roads fell 11.1% in November, a steeper decline over October road use as coronavirus cases increased, the U.S. Transportation Department said Friday.

The U.S. government said drivers logged 231.6 billion vehicle miles in November, down from 260.5 billion in the same month in 2019. By comparison, October driving fell by 8.8%. For the first 11 months of 2020, U.S. drivers logged 410 billion fewer miles, down 13.7%, to 2.58 trillion, the lowest figure for that period since 2001.

(Reporting by David Shepardson)