August 2007/4

The brutal uncertainty in the equity markets, together with the menacing presence of Hurricane Dean, is a reminder of the capricious nature of the (re)insurance business.

Cayman Islands reinsurance vehicle, Greenlight Capital Re, said it had second quarter earnings of $21.3mn – a three hundred percent increase on its inaugural second quarter last year.

This year’s first North Atlantic hurricane, Dean, has struck Jamaica causing up to $3bn in insured losses according to early estimates, and is now heading for Mexico.

Caribbean-based financial services group, Guardian Holdings Ltd (GHL) is to combine its two European motor insurance companies to create a single Gibraltar-based insurer and brand.

US start-up insurer SPARTA Insurance Company has been assigned an A- financial strength rating from rating agency AM Best.

Listed Lloyd’s insurer Hardy Underwriting Group impressed analysts after upgrading its syndicate forecasts in a “bullish” trading statement on 16 August.

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.

Slivers of optimism have appeared within the (re)insurance industry despite last week’s brutal stock market conditions which saw the S&P 500 Property/Casualty insurers index fall 10 percent in just two days as sub-prime jitters...