August 2005/6

Lloyd’s insurer Illium has reached a provisional agreement to expand its 2006 capacity through a coinsurance arrangement with Great Lakes UK, a subsidiary of world’s largest reinsurer Munich Re.

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

Rod Fox, the former chief executive of Benfield’s US arm, is set to return to operations at the reinsurance broker after being granted a leave of absence in the spring following allegations concerning his private life.

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.

The head of General Electric’s (re)insurance arm confirmed last week that the giant conglomerate will probably sell or spin-off all its underwriting units in due course.

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

Hurricane Katrina is still expected to be the most costly in US history with forecasts of up to $26bn in claims after the storm devastated Louisiana and halted offshore oil and gas production.

Reinsurance broker Benfield has won the account for Californian State Compensation Insurance Fund from incumbents Aon Re and Guy Carpenter, Insider Week can reveal.