July 2006/2

Failed (re)insurer GoshawK last week released its 2005 preliminary results, revealing an after-tax loss of $140mn and warning that further deterioration in Hurricane Wilma losses would not be covered by its reinsurance protection.

Mark Cloutier, the head of run-off at the defunct reinsurer Alea Group Holdings, will replace Marc Ricciardelli as the company's chief executive from 1 September.

The protracted fallout caused by Maurice "Hank" Greenberg's March 2005 departure from giant US insurer American International Group (AIG) continues both in and out of the US courts.

Staff at Lloyd's run-off Equitas Holdings Limited have been rewarded for their success at commuting claims with major policyholders by pay rises which have seen the average salary increase by over £30,000 in the last four years.

Bermudian (re)insurer Allied World Assurance Co (AWAC) is set to continue its capital building strategy after its forthcoming initial public offering (IPO) with the issue of $500mn senior notes.

Bavarian-based (re)insurance giant Munich Re moved a step closer to restoring its once cherished double A rating on 27 June, with the news that Standard & Poor's (S&P) had revised its outlook on the company's A+ rating from stable to positive.

Rating agency Standard & Poor's (S&P) says that more (re)insurers are likely to become insolvent as Solvency II puts the industry through a "revolution".

French (re)insurer SCOR has agreed to buy German life reinsurer Revios in a $775mn transaction.

Rating agency Standard & Poor's (S&P) confirmed last month that Swiss Re's acquisition of GE Insurance Solutions (GEIS) has cost the reinsurer its AA rating, which has been downgraded a notch to AA-.

Despite initial reservations, the investment community appears to have warmed to French giant AXA's move last month to buy Swiss insurer Winterthur from banking conglomerate Credit Suisse Group.

But mixed views on rationale behind takeover... Analysts have given a mixed welcome to the move by Italian insurer Assicurazioni Generali to take over compatriot Toro Assicurazioni in a deal worth EUR3.85bn.

Broker Aon Corp has agreed to sell its warranty arm to Canadian conglomerate Onex Corp in an estimated $710mn deal.