July 2004/4

The aviation market in the second quarter of 2004 is showing signs of slight hardening, according the latest research from brokers Aon.

Specialist property and casualty insurer Markel International has welcomed the confirmation of its "A-" (Excellent) rating, with a stable outlook, by ratings agency AM Best.

World Trade Center leaseholder Larry Silverstein succeeded in persuading US district court judge Michael Mukasey to issue a “confidentiality order” over mediation discussions between the remaining ten insurers.

Equity analysts from Morgan Stanley have reinforced concerns over insurers’ exposure to environmental liabilities, suggesting current reserves are “priced for perfection”, and warning that claims for Natural Resource Damages (NRDs) should be looming large

Despite UK insurance analysts’ collective scepticism over Berkshire Hathaway plans to back a Lloyd’s consolidation vehicle, sources suggest Capital Insurance Holdings remains on target to float on the Alternative Investment Market by the end of the month.

Lloyd’s underwriting members will provide a compulsory loan from next year as part of a scheme to grow the Society’s central assets and improve its financial strength ratings.