March 2004/4

Recently floated reinsurer Alea Group Holdings Ltd became the latest carrier to trumpet the current strong trading conditions by unveiling a falling combined ratio and growing underwriting profits.

Despite a decline in group operating profit from £226mn in 2002 to £140mn for 2003, ratings agencies and analysts have not echoed the stock market negativity that saw Royal and Sun Alliance (R&SA) shares drop almost 15 percent last Thursday (11 March) as

Bermudian insurer ACE last week announced that Evan Greenberg would assume the role of CEO as of 27 May 2004. The move will see the replacement of current ACE chief Brian Duperreault, who, ACE said, will remain as chairman.

Bermudian insurance group Arch Capital will capitalise on strong investor sentiment towards specialist (re)insurers by launching a public offering of 7,285,000 of its common shares.

Dick Grasso, the controversial former chairman of the New York Stock Exchange, is facing a subpoena from the Securities and Exchange Commission over allegations that he engaged in “influence trading” with shares in the insurance giant American Internation

Amlin was the latest Lloyd’s insurer to post bumper profits on the back of the hard market when it announced a combined ratio of 83 percent (against 95 percent in 2002) and a 31 percent increase in gross written premium to £937.4mn for its 2003 year-end r

Nine intense typhoons and 17 typhoons are predicted for the forthcoming Northwest Pacific typhoon season according to the latest forecasts from the Tropical Storm Risk (TSR) consortium.

Dutch insurer Aegon has announced a 16 percent increase in net profits for 2003 - the result, it said, of better performing stock markets and fewer bond defaults.

Reinsurance broker Benfield has announced the sale of 2,390,785 shares in Bermudan reinsurer Montpelier Re, with effect from 15 March.

Last year's trend towards lower aviation premiums is unlikely to last beyond the start of 2004, according to new research published by brokers Aon.

Despite the large loss of life, the 11 March Madrid terrorist attack will have only a limited impact upon the industry because of the longstanding government backed compensation fund, the Consorcio de Compensaciones de Seguros.

Lloyd’s Insurer Cox is in takeover talks with rival motor insurer Highway, it has emerged.

It was a week to be forgotten for the industry’s US directors’ and officers’ insurers as yet more class action suits surfaced, while a “get tough” attempt by leading carrier Chubb was dismissed by the US courts.

WTC leaseholder Silverstein Properties and world’s largest reinsurer Swiss Re have been in court in recent weeks to decide whether the 9/11 attacks amounted to one event or two.

Straight talking Willis supremo Joe Plumeri warned the London market that it must change its outlook to achieve consistency of returns, growth and earnings, as he enthralled his Lloyd’s library audience in last Wednesday’s (10 March, 2004) Insurance Insti

Judgment to examine whether excess of loss reinsurers can expect a 'duty of care' from direct insurers

Ratings agency Moody’s last Friday (12 March, 2004) downgraded SVB’s Syndicate 1007 from A1 to A2 after the Lloyd’s quoted insurer revealed further deterioration on its 2001 result.

Bermudian (re)insurer Aspen revealed last Monday (8 March) the identity of its new US property reinsurance team.

Bermudian insurer PXRE announced last week (10 March) a strategic reorganisation of its underwriting and support operations which will see a 10 percent reduction in staff and estimated cost savings of some $2.7mn for the remainder of 2004 and some $4mn in

Heath Lambert Group has confirmed that it will sell its Sydney based Australian insurance broking business, Heath Lambert Australia, to rival brokers Marsh.