April 2006/5

UK regulator the Financial Services Authority (FSA) has fined Lloyd’s broker Besso £20,000 for failure to apply for approval of a member of its management who had previous fraud convictions and is alleged to have gone on to commit fraud whilst at the firm

Bermudian giant XL Capital reported record first quarter income of $405.5mn, or $2.26 per ordinary share, yesterday (25 March).

Bermudian (re)insurer IPC Re announced on 25 March that its net income rose by over 42 percent to $62.65mn for the first quarter of 2006.

Lloyd’s insurer Atrium Underwriting plc today (26 April) announced pre-tax profits of £10mn for last year, 68 percent down on 2004’s record return of £31.6mn.

Canadian energy company Suncor Energy Inc announced yesterday (25 April) it has agreed an $830mn settlement with insurers over business interruption (BI) claims arising from a major fire at its Oilsands facilities in northern Alberta last January.

Bermudian reinsurance ACE Ltd has announced a record net income of $489mn for the first quarter of 2006 despite an $80mn charge to cover an imminent settlement with regulators.

Bermudian (re)insurer Partner Re has unveiled a strong set of first quarter results, with net income of $193.1mn and operating income of $133.7mn, up from $111.4mn and $67.6mn respectively in the prior-year period.

Everest Re has prompted fears of more hurricane pain for reinsurers after revealing further deterioration in losses from last autumn’s storms in its first quarter results published yesterday (24 April).

US insurer WR Berkley yesterday (24 April) reported a 34 percent rise in its first quarter net income from $121mn last year to $162mn in 2006.

The post-Katrina love affair between the capital markets and reinsurance continues to blossom with news that Benfield Group is collaborating with Merrill Lynch to provide a catastrophe bond scheme for reinsurance buyers. Although the announcement...

US property casualty insurers are expected to pay out approximately $1.38bn in insured losses for the first quarter of the year, according to ISO's Property Claim Services. The losses are the result of damages to homes, commercial properties and...

Arthur J Gallagher was the first of the major brokers to publish its first quarter 2006 results last week - setting a scene of competitive trading conditions likely to be followed by its rivals over the next few weeks.