August 2007/2

Bermuda-based (re)insurer Catlin Group reported 29 percent first-half premium growth following its acquisition of Wellington Underwriting, but profits fell as a result of the deal's expenses.

Although revenue growth impressed at Benfield Group Ltd’s Corporate Risk business (BCR), shares in the broker fell as the John Lapsley-headed division reported a trading loss of £4.6mn for the first half of 2007.

The continued pressure on rates has dampened Kiln plc’s premium growth with the (re)insurer confirming plans to reduce its participation in the Lloyd’s market.

Tim Mahoney has become the latest senior executive to make the switch from Marsh Inc to rival firm Integro Ltd as it continues to raid Marsh & McLennan's companies.

Canopius Group Ltd has become the latest Lloyd’s insurer to launch a Bermuda platform with the formation of Canopius Bermuda Ltd, a class 3 reinsurance company with $250mn of capital.

Insurer Brit Holdings plc has reported flat first half profits of £106.8mn following a drop in underwriting profits in the “difficult” UK market.

Oxygen Holdings plc, the independent London-based intermediary, has acquired Lloyd's broker Robertson Taylor.

Amlin plc is now expected to deliver consensus-beating results and its interims this morning proved no exception as the Lloyd’s insurer posted a 54 percent leap in first half pre-tax profits to £154mn.

Recently-listed European reinsurer Paris Re suffered a drop in profits after exposure to 2007’s catastrophes negatively impacted its bottom line.

The leap in gross written premiums at French reinsurer SCOR Group following its acquisition of life reinsurer Revios has driven a 77 percent increase in net income to EUR181mn during the first half of 2007.

The current crisis in the money markets has led to insurers cancelling planned debt issues, The Insurance Insider can reveal.

Despite the fact it was the third-most intense Atlantic hurricane to make landfall since records began Hurricane Dean's "extraordinarily fortunate track" left (re)insurers facing only modest losses.

Three months into the 2007 hurricane season, the first Re-Ex Index catastrophe derivative has gone through on the New York Mercantile Exchange (NYMEX).

Insured losses from Hurricane Dean will be in a range of $0.75-1.5bn, substantially less than first feared due to the storm’s “extraordinarily fortunate track”, according to modelling firm Risk Management Solutions (RMS).

French reinsurer SCOR Group has revealed a 55 percent increase in its gross written premium during the first half of this year, primarily driven by its acquisition of the life reinsurer Revios.

Shares in Hiscox Ltd increased over 5 percent this morning after the company was propelled to a record half-year profit before tax of £105.6mn, up 72.1 percent, by the stellar performance of its Global Markets division.

The European Commission (EC) is set to launch a probe into the role of rating agencies over their response to the US sub-prime mortgage crisis, according to reports.

Lloyd’s investment vehicle Hampden Underwriting plc (HUP) is planning an August float on the London Stock Exchange’s Alternative Investment Market (AIM) in a bid to raise £15mn.

Newly-listed Bermudian (re)insurer Validus Holdings’ reported strong inaugural results as a public company yesterday.

“Class of 2005” start-up Flagstone Reinsurance Holdings Ltd unveiled a second sidecar as it reported Q2 profits hit by $31mn losses from the UK floods in June and $23.5mn from the Australian storm and flooding.

Despite initially falling 10 percent in early trading, shares in Jardine Lloyd Thompson Group plc have recovered from a low of 362.25 to 408p at time of going to press, as markets responded to credible numbers...

After a drawn-out process, approval was finally granted for the transfer of the motor books of syndicates 37 and 2037 from Lloyd's to Highway Insurance Company using the Part VII mechanism.

Marsh & McLennan Companies Inc (MMC) shares continued to slide as its broking division reported second quarter revenue growth that lagged behind rivals Aon Corp and Willis Group Holdings.

Unlike its peers, CNA Financial Corporation shares were hit by disappointing second quarter results that included net investment losses of $91mn, with $20mn attributable to securities "with exposure to subprime mortgage collateral".