February 2008/4

The acquisition of Caribbean property insurer Island Heritage boosted the premium income of "Class of 2005" reinsurer Flagstone Re, which rose 91 percent last year, it revealed in its 2007 results yesterday (18 February).

The Association of British Insurers (ABI) has warned that tougher planning controls are needed if flood insurance is to remain widely available for new homes in the UK.

The number of sub-prime related cases filed in federal courts is dramatically outpacing the savings-and-loan (S&L) litigation of the early 1990s, according to a recent study.

Bermudian financial guaranty and credit (re)insurance specialist Assured Guaranty Ltd (AGL) fell to a loss of $260.1mn in the fourth quarter of last year after taking a $297.5mn sub-prime derivative hit.

A significant reduction in the UK’s run-off liabilities has driven a EUR2bn decrease across Europe, according to a new survey launched by PricewaterhouseCoopers LLP (PwC) in conjunction with the Association of Run-Off Companies.

Shareholders in Lloyd's (re)insurer Kiln Ltd have approved the cash acquisition of the firm by Tokio Marine & Nichido Fire Insurance Co Ltd at a special general meeting last week.

Analysts reacted with cautious optimism as organic growth boosted Marsh and McLennan Companies Inc’s (MMC) 2007 revenues in its 2007 results, which were published last week.

Investment losses have pushed net income at CNA Financial Corporation from $1.1bn in 2006 to $851mn last year as a result of credit market conditions and sub-prime exposure.

Zurich Financial Services Group's (ZFS) cost cutting plans helped push the company's profit to a record $5.6bn last year with improvements made across all its business divisions.

Ron Sandler, the chairman of Bermudian insurer Ironshore Ltd and the former CEO of Lloyd's, has taken the helm at newly nationalised UK bank, Northern Rock.

Royal Bank of Scotland Insurance (RBSI) has culled 100 middle managers as part of its ongoing restructuring that aims to align its disparate brands and prevent them undercutting each other.

US insurer Liberty Mutual Group saw profits fall 7 percent last year, down to $1.5bn from $1.6bn in 2006.