June 2005/1

Reinsurance broker Benfield Group has warned that 2005 profits will be lower than last years because of an increasing cost base. Shares in the group fell by 10 percent from 276.75p to 250p in early trading on the London stock exchange, despite the firm

Amlin plc has confirmed that it is in discussions with fellow Lloyd's insurer Chaucer plc about a possible takeover.

Lloyd's insurer Chaucer Holdings plc has confirmed that it has received an indicative takeover approach "which may or may not lead to an offer being made".

Despite boosting asbestos reserves by £167mn, Lloyd's pre-1993 run-off vehicle Equitas heralded a year of progress which has left it in a stronger financial condition as it announced its financial results for the year ended 31 March 2005 today (7 June).

The European Parliament has approved the reinsurance directive which paves the way for a regulatory level playing field for companies operating in Europe.

A senior executive at Berkshire Hathaway’s reinsurance subsidiary General Re has pleaded guilty to the charge of criminal conspiracy brought in relation to the company’s transaction with American International Group (AIG).

The head of Xchanging’s London market sector Clive Buesnel is to pioneer the rollout of the outsourcing firm in the US.

Alea will exit unprofitable business lines but has only seen rate reductions of 2 percent on average this year, the reinsurance group revealed last week in a trading statement that accompanied its annual general meeting.

Lloyd's insurer Catlin has had its issuer credit rating on its Syndicate 2003 downgraded from "a+" to "a" by rating agency AM Best partly over fears of further deterioration on the group’s exposure to legal expenses.

Insurance private equity firm MMC Capital has rebranded as Stone Point Capital, following the completion of its management buy-out from MMC.

Ten Lloyd’s syndicates, together with insurance companies, sued the Port Authority of New York and New Jersey last week over its claims that it is still owned $2.1bn from the WTC attacks.

Leading (re)insurance brokers Willis and Guy Carpenter have released reports praising recent progress at Lloyd’s in what was a challenging year for the industry.