May 2007/4

European giant Zurich Financial Services reported a 71 percent rise in its first quarter income, up to $1.39bn from $810mn in the prior-year period.

Bermudian (re)insurer White Mountains Re Group Ltd (White Mountains) ploughed its own furrow in the insurance field with an announcement of a $250mn offer of fixed/floating perpetual non-cumulative preference shares.

Terrorism is still at the top of the agenda for many global business leaders, who cite conflict and instability as issues which stop them from investing overseas.

For the seventh consecutive month airline rates have seen double-digit falls as a report revealed 2006 to be the “safest year on record” for the industry.

Lloyd's insurer Kiln plc said that underwriting conditions and rates remained attractive for the first four months of 2007.

Catastrophe modelling firm Risk Management Solutions (RMS) has withdrawn its short-term, five-year Florida hurricane model after state officials said it did not meet the necessary standards.

Reinsurance broker, Aon Re Global (Aon Re) has predicted a slight oversupply of worldwide property reinsurance capacity ahead of the 1 June and 1 July renewal season.

Fast growing broker Lockton is launching a Bermudian office as it continues to build its global presence.

The industry's thirst for alternative reinsurance capacity continues to grow with the issue of $120mn notes under a $500mn shelf programme providing Swiss Re with retrocession cover for Japanese typhoons.

Validus Holdings Ltd agreed terms for its acquisition of Talbot Underwriting Holdings last week, a move that could trigger a wave of mergers and acquisition (M&A) activity between Bermudian (re)insurers and their Lloyd's counterparts.

UK insurer Royal & Sun Alliance Group (R&SA) is facing a claim following this morning's (21 May) fire aboard 138 year-old tea clipper, the Cutty Sark, which is undergoing a £25mn renovation in dry dock in Greenwich, London.

Shares in Aon Corporation were up last week amid rumours the broking giant may be the target for a leveraged buyout as private equity interest in the sector continues to grow.