June 2006/3

UK general insurer Royal & Sun Alliance has unveiled plans to cut over 1500 jobs in an efficiency drive that will save the group £130mn in annual costs.

French giant AXA announced today (14 June) that it has entered into a definitive agreement with Credit Suisse Group to buy the Zurich-based company’s insurance operation Winterthur for SFr12.3bn, or EUR7.9bn in cash.

Rating agency Standard & Poor’s (S&P) last night (12 June) confirmed 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-.

Bermudian giant XL Capital announced the appointment of industry veteran Herbert Haag to its board of directors on Friday (9 June).

Quanta Capital Holdings has signed heads of agreement with Chaucer Holdings and the senior underwriting team of its Syndicate 4000 to form a new Lloyd's managing agent, Pembroke Managing Agency Limited.

Despite increasing asbestos reserves by another £128mn in the year to 31 March 2006, Lloyd's pre-1993 run-off vehicle Equitas highlighted its progress in resolving claims with major policyholders as it released its financial results last Tuesday (6 June).

The proposed WFUM pool scheme of arrangement, involving 16 different insurance companies, was granted leave to convene creditors' meetings by the UK High Court on 9 June.

New Lloyd's chief executive Richard Ward has begun to impose his authority on the Corporation with his first management reshuffle, consolidating business process reform (BPR) responsibilities under the leadership of Steven Haasz.

Starr Aviation Agency, the managing agency ultimately controlled by former American International Group chief executive Maurice "Hank" Greenberg, has found a head aviation underwriter to spearhead the company's London market operations.

Novae Group is entering the Lloyd's energy market with the appointment of Jason Poulastides to Novae Syndicate 2147. The firm is hoping to take advantage of the "biggest ever" rate rises in the sector.

Tropical Storm Alberto, the first named storm of this year's hurricane season, has struck Cuba and was heading towards Florida at the time of going to press.

South African broking group Alexander Forbes announced last Wednesday (7 June) that its CEO is to step down, it is in discussions with potential private equity buyers of the company, and that it is looking at options for its International Risk...