August 2006/1

Lloyd's has ruled out creating a fully-fledged US insurance company - an idea that was floated as part of the three-year strategic plan delivered in January.

Aon Ltd is set to announce a landmark £230mn+ deal to outsource its entire back office Client Operations division which could eventually provide the framework for a new London market broker process platform, The Insurance Insider can exclusively reveal.

Bermudian (re)insurer Endurance announced today (9 August) that Mark Boucher, CEO of its London market operation, is to leave the company with effect from January next year.

Beleaguered Bermudian reinsurer PXRE Group admitted it was heading towards run-off after announcing today (8 August) that its net income had slipped to $2.1mn for the second quarter.

German reinsurer Hannover Re said today (8 August) it is on target to reach its annual return on equity target of 15 percent, despite producing a relatively modest increase in group net income of 4.2 percent for the first half of the year.

Bermudian powerhouse AXIS Capital yesterday (7 August) reported record second quarter net income of $223.4mn, or $1.37 a share, up 29 percent on the prior-year period on the back of increased investment income.

Swiss reinsurer Converium continues its recovery with another improved quarterly performance, reporting net income of $62.5mn today (8 August), compared with $46.9mn in the prior-year period.

Over 60 percent of UK businesses do not have the necessary business continuity management (BCM) plans to protect them in the event of a disaster, according to a survey conducted by Marsh.

UK general insurer Royal & SunAlliance (R&SA) announced last week (1 August) the cash acquisition of Irish insurer EGI Holdings Limited for EUR25.3mn (£17.3mn), subject to regulatory approval.

Aspen Insurance Holdings Limited today (7 August) announced the appointment of Stuart Sinclair as its president and chief operating officer.

US insurer HCC Insurance Holdings reported "record" results on 3 August and at the same time announced its latest acquisition, the medical insurance division of Allianz Life.

South African broking group Alexander Forbes is thought to be close to a deal on its London based international arm, according to sources.