December 2001/1

A Tidal Wave of Capital - David Schiff pours on the cold water The capital markets are efficient - in an irrational way. Capital flows towards opportunities that offer superior returns. Paradoxically, those superior returns can fail to materialise if t

Zurich deny cover on WTC shopping mall Zurich are denying they insured the WTC shoping mall after the leaseholder Westfield America Inc claimed for losses arising from the 11 September attacks.

English can often be misleading, so we have rustled up a guide to aid understanding to the minefiled of Lloyd's business jargon. This month it's the opaque business desription:

Reinsurance is back in favour and, with generous subsides, Zurich's unwanted R/I division should enjoy a successful floatation. For sale. One reinsurance company no longer wanted by owner. Embarrassing exposures to Unicover after failed fronting arrang

As corporates reinforce their dominance of the capital base, the number of syndicates falls below 100 with Names facing a realistic chioce of twenty The Lloyd's market for 2002 is beginning to take shape. Some managing agents have taken advantage of th

As widely predicted, Lloyd's increased its estimated net exposures to the WTC attacks by forty-five percent from £1.3bn to £1.9bn. As a consequence, the market has increased its estimated losses for the 2000 year from £0.7bn to £1.49bn. And increased its

Fresh from its dispute with Lloyd's, Moody's has been attacked by Hannover Re after downgrading the reinsurer from Aa3 to A2.

Equitas are still facing a rising tide in asbestos claims according to their results for the first six months of 2001.

Unsurprisingly, syndicates specialising in aviation and property excess of loss have demonstrated the worst deterioration in forecasted results since the 11 September attacks, according to research by Leadenhall Insurance Consultants.

Speculation is mounting over the insurance industry's exposures to Enron - the giant US energy group that filed for bankruptcy protection last week. While initial fears concentrated on possible D&O and professional indemnity losses, concerns are rising ov

Embattled Lloyd's insurer SVB are the latest carrier to increase their loss estimates to the 11 September attacks.

Long term London market player, Copenhagen Re (Cop Re), the reinsurance subsidiary of Danish insurance group Alm Brand, has become the first major provider of Lloyd's syndicate reinsurance to succumb to the losses of the 11 September World Trade Centre at