June 2005/5

US insurance giant St Paul Travelers revealed last week that it had entered into a settlement agreement with the Kemper Insurance Companies over a disastrous surety bond contract which has gone at least five times over its original estimates.

French reinsurer SCOR has successfully raised a total of EUR233.2mn from the issue of 149.5 million shares (after full exercise of over-allotment option), with the majority of the gross proceeds going to buy back the remaining shares of Irish subsidiary I

Lloyd’s insurer Kiln has said today (27 June) that it continues to see good trading conditions in 2005, with renewal rating levels at 98.4 percent of the equivalent price a year ago.

Barbados-based Imagine has had its A- financial strength rating and a- credit rating put on negative outlook by AM Best following a review of the reinsurer’s acquisition of Danish Re and current uncertainty surrounding the finite reinsurance market.

In a day of flux for the London Market insurance sector, Lloyd’s motor underwriter Cox has confirmed the appointment of Highway CEO Andrew Gibson as its new finance director.