June 2005/1

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.

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.

Lloyd’s investors will have a new method of underwriting at Lloyd’s from next year with news that the Treasury has approved the use of English Limited Liability Partnerships.

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.

Reinsurance giant Swiss Re announced last week that it is streamlining its reporting structures into three units in a bid to focus on "profitable growth and the efficient use of capital".

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).