March 2008/4

Lexington Insurance Company's move to treble its available capacity for high limit US commercial property sees the American International Group (AIG) subsidiary take on a market traditionally dominated by FM Global.

Joe Plumeri, chairman and CEO of Willis Group Holdings has warned that brokers face a "war for distribution".

Arch Capital Group Ltd is to form Gulf Re, a Dubai-based $400mn capitalised reinsurer, in a joint venture with the Gulf Investment Corporation.

Travelers Syndicate Management Ltd has confirmed the successful closure of the 2000 and prior and 2001 open years of account on its Syndicate 227 into RITC Syndicate Management Ltd's (RSM) Syndicate 5678.

Independently-owned UK broker Heath Lambert Ltd has pledged to diversify regionally through new hires and office openings.

"Class of 2005" firm Flagstone Reinsurance Holdings has agreed to take a 65 percent stake in South African company Imperial Reinsurance for an undisclosed amount.

Montpelier Re Holdings Ltd has appointed Christopher Harris to succeed founding CEO Tony Taylor who is stepping down this summer.

Novae Group plc has continued its resurgence with a second consecutive year of record profits with its result bolstered by reserve releases and investment income.

Max Capital has continued the expansion of its US platform with a deal to buy an admitted lines insurance company.

US giant American International Group (AIG) is urging regulators to change accounting rules on asset valuations to staunch the flow of writedowns from banks and (re)insurers.

The current plight of some municipal bonds is just the "tip of the iceberg" and will continue to rise, according to Berkshire Hathaway’s reinsurance chief Ajit Jain.

Heritage Underwriting Agency has returned strong profits for 2007 resulting from a second benign catastrophe year as well as diversification.