April 2010/5

Hopes that the loss-making UK motor sector would continue to accelerate smoothly with rate increases into 2010 have come to a shuddering halt, with evidence from a leading index that premiums actually fell in the first quarter.

Administrators of the distressed Irish insurer Quinn are welcoming interest from private equity firms - in contrast to the aborted sale last year of Royal Bank of Scotland (RBS)'s insurance businesses.

American Insurance Group (AIG) subsidiary Chartis International is leading the directors' and officers' (D&O) coverage for investment bank Goldman Sachs.

Willis Group has marked the opening day of the Risk and Insurance Management Society's (Rims) conference with a campaign to distance itself from rivals Marsh and Aon on the vexed question of contingent commissions.

Federal investigators probing allegations that hedge fund trader Raj Rajaratnam engaged in insider trading of Goldman Sachs stock believe that a director at the investment bank tipped him off about Warren Buffett's $5bn investment, according to The Wall Street Journal.

Ariel Holdings has appointed Tom Hulst as chief executive of its reinsurance business, following founder Don Kramer's announcement last month that he is standing down as CEO.

The bailout of American International Group (AIG) at the height of the financial crisis will eventually cost the American taxpayer some $50bn, according to a US government forecast.

Bermudian short-tail specialist Lancashire Holdings has unveiled a $200mn credit facility with UK banking group Lloyds TSB.

Ian Beaton, the CEO of private equity-backed Lloyd's insurer Ark Syndicate Management Ltd, is poised to become a non-executive director to the Xchanging Claims Services (XCS) board.

John Coldman, who was parachuted in as chairman of Bermuda-based Omega Insurance Holdings last month, has revealed to shareholders that he is undertaking a "comprehensive review" of the business.

AM Best and Conning Research & Consulting have predicted a troubled 2010 for the US property and casualty (P&C) insurance industry, as softening rates, anaemic investment returns and dwindling reserve releases erode profitability.

Lloyd's has moved to impose controls on managing agents that write errors and omissions (E&O) policies for insurance brokers that also place business with them, The Insurance Insider can reveal.