July 2004/5

Rating Agency Fitch Ratings downgraded its financial strength rating on Employers Re to “AA-” last week, citing concerns over the reinsurer’s reserves.

Lloyd’s managing agent Creechurch has revealed more details of its takeover by The Logan Trust, a charitable organisation based in Gibraltar.

Recently merged commercial insurance giant St Paul Travelers confounded observers last Friday (23 July) with a supercharge, announcing a $1.625bn reserve boost ahead of second quarter results.

Capital Insurance Holdings, the Berkshire Hathaway backed Lloyd’s consolidation vehicle, is on schedule to float on the Alternative Investment Market next month after raising its target funding.

The market’s negative response to last Tuesday’s (20 July) shock profit warning and announced reserve boosting by Swiss reinsurer Converium shows no sign of abating, as the company’s share price continues its slide to less than half its value one week ago