January 2008/4

Falling rates in US directors' and officers' (D&O) liability lines dropped 11 percent in the final quarter of last year - far outstripping decreases in other lines of business tracked by Advisen for the RIMS Benchmark Survey.

US catastrophe claims reached $6.5bn in 2007, one of the lowest figures during the past decade, according to preliminary analysis by ISO's Property Claim Services Unit (PCS).

Shares in Marsh & McLennan Group (MMC) spiked to $28.37 Thursday (17 January) - up 8 percent on their opening price - as news broke of an approach from rival Willis Group to open takeover talks for its larger rival.

Bermudian firms PartnerRe and RenaissanceRe have announced combined writedowns of more than $200mn from their stakes in financial guarantee reinsurer Channel Re.

US insurer Allstate Corp has been granted a ten-day stay against a suspension order from the Florida Office of Insurance Regulation (FOIR), enabling it to continue writing new business in the state while it provides the regulator...

Bermudian reinsurer Everest Re has revealed that it would be posting a $311mn pre-tax charge, significantly above analyst expectations of $200mn, to strengthen its reserves after completing a study of its asbestos exposures.

US giant American International Group (AIG) leads the hull cover on the British Airways jet that crash-landed at London's Heathrow Airport with more than 150 people on board last week.

Lloyd's insurer Heritage Underwriting Agency remains a target for predators despite the withdrawal of Ironshore Inc's takeover interest, which was first revealed by The Insurance Insider.

Private equity-backed Lloyd's insurer Canopius Group Ltd is continuing its expansion strategy with a Dublin-based operation that will initially specialise in structured reinsurance.

The rapid rise in commodity prices is fuelling an increase in insured assets on energy risks, which is expected to spill over into higher losses in the sector, according to Phillip Ellis, chairman of broker Willis Energy.

Legacy managers must adapt to the demands of new-style run-off portfolios if the sector is to be "genuinely perennial", according to Philip Grant, chairman of the Association of Run-Off Companies (ARC).

UK general insurer Royal & Sun Alliance plans to open offices in key provinces across China starting this year.

French reinsurer SCOR has no "material" exposure to the US financial guarantee market and the monoline insurers that have been hit by the global credit crunch, the group revealed.

The testimony of former General Re senior vice president Richard Napier continued at the trial of five executives over an allegedly sham finite reinsurance deal with American International Group (AIG).

Specialist UK broker THB Group plc has become the latest intermediary to launch an underwriting operation as it looks to develop its revenue streams at a time of softening rates.

David Batchelor, Marsh's head of Asia Pacific, is to return to the UK as CEO of its operations in Europe, the Middle East and Africa (EMEA) as the broker's new CEO Dan Glaser continues to reshuffle his team.

RK Carvill has expanded its offering of hurricane derivatives on the Chicago Mercantile Exchange (CME) and confirmed partnerships with Deutsche Bank and derivatives broker Tradition Financial Services (TFS) ahead of the 2008 hurricane season.

Paul Karon, CEO of reinsurance intermediary Benfield’s US division, has sold more than half his stock in the company.

The founder of failed Australian company HIH Insurance, Ray Williams, was released from jail last week but is still facing an inquiry into his finances.

Monoline bond insurer Ambac Assurance Corporation and subsidiary Ambac Assurance UK Ltd are on the brink of being downgraded after it cancelled its $1bn capital raising plans.

Lucida plc, a new insurance company headed by ex-Prudential plc CEO John Bloomer and backed by US hedge fund Cerberus Capital Management, has concluded its first reinsurance deal with Bank of Ireland Life (BOI Life).

AM Best has affirmed the A- financial strength and a- credit ratings of "Class of 2005" Bermudian property cat reinsurer New Castle Reinsurance Company Ltd, based on strong performance since its launch.

Nigel Roberts has joined broker Willis after leaving Aon Ltd last year.

AJ Gallagher & Co's Chicago neighbour Aon Corp has emerged as the frontrunner to buy Gallagher Re, the reinsurance broking firm put up-for-sale by its parent company.