August 2005/6

Supporters of UK solvent schemes of arrangement were encouraged by a Scottish Court’s decision to sanction the M&G Re scheme yesterday.

German reinsurer Hannover Re became the latest company to release its estimates of losses from Hurricane Katrina today, warning that it was expecting a “loss burden” of €250mn before tax.

Shares in London-listed reinsurer Alea Group slipped further today after Standard & Poor’s (S&P) warned it may downgrade the reinsurer following its disappointing interim results earlier this week.

Hannover Re has warned that the cost of Hurricane Katrina would mean the world's fourth-largest reinsurer is unlikely to meet its profit forecasts for 2005.

UK listed insurer Alea Group Holdings has suffered a steep decline in its share price after revealing a 47 percent slump in first half 2005 pre-tax profits today (31 August).

Lloyd’s insurer Kiln forecasts for the years 2003 and 2004 were released on 24 August and contained no real surprises.

SVB Holdings, the Lloyd's insurer battling against its legacy liability exposures, issued a steady trading statement last week but still saw its corporate broker downgrade the company’s full-year earnings forecast.

The liquidating trustees of collapsed Bemudian headquartered insurer Trenwick Group is suing its accountants, advisers and former directors for allegedly illegally diverting funds to ensure they were all paid.

Pat Ryan, the founding chairman of broking giant Aon Corp, announced plans to sell five million shares in the company, equivalent to some $146mn.

Last week’s Peruvian air crash will cost insurers £3mn but the repercussions of the five air crashes this month are multiplying.

In a surprise move, reinsurance giant Swiss Re announced last week that Jacques Aigrain will succeed John Coomber as its chief executive.

Bermuda-based (re)insurer White Mountains Insurance Group Ltd revealed last week that the Massachusetts attorney general is investigating one of its units.