May 2007/2

Defunct (re)insurer Alea Group Holdings Ltd revealed last month that it had the support of 55 percent of its shareholders to support a £162mn buy-out bid from the private equity-backed FIN Acquisition Ltd (FIN).

Within the run-off industry, you do not have to travel far to hear complaints over poor service provided by brokers on discontinued accounts.

Faced with falling rates, insurers are increasingly looking to capture control of their distribution by buying brokers and agencies. But, with competition from other acquisitive brokers and hungry private equity investors, all this is doing is chasing up

Munich Re continued the trend for (re)insurers to buy brokers and agents to increase control over distribution with its acquisition of UK intermediary Bell & Clements Group this month.

US-based brokers Arthur J Gallagher & Co (AJG) and Hilb Rogal & Hobbs (HRH) disappointed analysts with first quarter profits down on expectations last month as the top line suffered from the impact of declining insurance rates.

AXIS Capital Holdings Ltd (AXIS) announced strong results for the first quarter 2007, citing new reinsurance business in the US and Europe as the main driver.

Although the hard market has passed its peak, rates remain broadly stable in non-life reinsurance, according to German reinsurer Hannover Re.

Following a difficult courtship, SCOR has finally agreed takeover terms with Converium after increasing its offer for its Swiss rival in a SFr3.4bn ($2.8bn) transaction that will create a top five global reinsurer.

The impact of recent changes to the Florida Hurricane Cat Fund (FHCF) will be less than originally anticipated, according to Geoffrey Bromley, non-Americas chairman of reinsurance broker Guy Carpenter.

Liability veteran, Bob Wallace, has parted company with the Imagine Group, after just a year as chairman of the group’s combined Lloyd’s operation.

The Bermudian (re)insurer Validus Holdings Ltd is set to complete the acquisition of Lloyd’s based Talbot Underwriting Holdings, as first revealed by The Insurance Insider.

If reports are true, Patrick Snowball’s decision to reappear at Towergate is masterful. Snowball was widely thought to have fallen out with his Aviva colleague Andrew Moss