March 2007/2

A joint venture between global interdealer broker ICAP and JLT Group has once again underlined the growing co-operation between the reinsurance industry and the capital markets in trading risk.

Aon – which is involved in an acrimonious battle with Benfield over the poaching of its facultative team – has won the Lexington Insurance Co account from the reinsurance broker, The Insurance Insider can reveal.

European giants Allianz, AXA and Zurich Financial Services (ZFS) reported strident 2006 figures and increased dividends as they benefitted from clement natural catastrophe conditions.

Berkshire Hathaway chairman Warren Buffett said that with falling rates in “super-cat” insurance as a result of the “flood of capital” post-Katrina, the company has “sharply reduced” wind exposures.

US giant American International Group (AIG) continued the capital management theme as it reported a rise in its 2007 net income and announced an $8bn share buyback scheme.

After a month digesting unpalatable developments in the “Sunshine State”, the (re)insurance industry was at least served up a sliver of good news late February, as it emerged the Florida State Board of Administration...

Bermuda’s Class of 2005 – the group of (re)insurers launched in the wake of Hurricane Katrina – will face tougher conditions than their predecessors as they look to broaden scope in response to limited opportunities in the property cat market.

The timing of Converium's upgrade to its desired A- financial strength rating from Standard & Poor's (S&P) couldn’t have been better as it attempts to shake off the hostile attentions of rival SCOR.

Marketform's extension into D&O has been welcomed by the Lloyd’s insurer’s underwriting director Simon Lotter.

With 2006's bumper returns banked, and clear signs of rates softening, (re)insurers are resurrecting capital management plans in earnest.

Ark and Leinster on the verge of launching as 2007 capacity continues to grow...

QBE Limit and Amalfi Underwriting Ltd, together with Markel International, are set to take broker Surety Guarantee Consultants Ltd (SGC) to the High Court alleging fraud in connection with construction bonds it issued as a coverholder.