July 2004/2

Despite their “extraordinarily strong results”, the post 9/11 insurance start-ups which flocked to Bermuda have still to prove they can maintain their performances in the long-term.

Lloyd’s insurer Atrium has posted an upbeat outlook on current trading conditions in its latest AGM, with an increase in profit forecast on the 2002 year of account to 14.1 percent.

Lloyd’s insurer Kiln is close to topping out its £260mn Syndicate 510 property capacity for 2004, surprising the marketplace and leaving some brokers high-and-dry when it comes to placing renewal business.

The second stage of the World Trade Center trial between WTC leaseholder Silverstein Properties and nine remaining insurers is scheduled to begin on 11 October 2004.

The UK regulator Financial Services Authority brought its new risk-based capital regime a step closer last week with publication of the rules determining how much capital insurance companies will have to hold before they can be authorised.

Telecommunications giant AT&T has filed a lawsuit against 15 insurers over allegedly unpaid property damage and business interruption claims relating to 9/11.

“Volatile” US liability reinsurance drags down Lloyd’s insurer’s financial performance Losses at the discontinued liability reinsurance, healthcare and third-party liability units of specialist insurance group SVB Holdings are continuing to hit operati