October 2003/5

US insurer Markel Corporation is set to unveil a third quarter loss of up to $20mn later this week as it joined a list of (re)insurers announcing reserve increases in the third quarter.

Willis Group Holdings announced today that it has agreed to acquire the Italian reinsurance broker Ital Re SpA, for an undisclosed sum.

Quoted Lloyd’s insurer Chaucer Holdings Plc will take over the business and management of Kiln’s professional liability Syndicate 1204, subject to Lloyd’s approval.

Everest Re Group announced a 64 percent increase in quarterly net income last week, helped by higher premium rates. The Bermuda-based reinsurer said gross premiums written for the third quarter of 2003 were $1.24bn, a 75 percent increase on the $708mn

IPC Holdings last week reported net income of $62.1mn for the quarter ended September 30, or $1.29 per share, compared to $45.8mn, or $0.95 per share, for the third quarter of 2002.

Bermudian life reinsurer Scottish Re Group Ltd has agreed to pay $151mn cash for 95 percent of Employers Re’s life reinsurer, ERC Life Reinsurance Corporation.

American International Group (AIG) posted record profits for the third quarter of 2003 last week despite higher catastrophe losses and a $2bn increase in reserves.

Bermuda’s new financial guaranty reinsurer – backed by RenaissanceRe, Partner Re, Koch Financial and MBIA – will be called Channel Re.

The US Justice Department has offered the French government more time to renegotiate a settlement in a long running fraud case, the Wall Street Journal reported this week.

Rating agency Standard & Poor’s upgraded Gerling General Insurance Company (GKA) last week to BBB (outlook positive) from BBB- (outlook positive), following Gerling’s recent EUR150mn cash injection.

Odyssey Re will surpass analysts’ expectations when publishing its third quarter results on Thursday (30 October), the company revealed last week.

Catlin Group Ltd, the Bermudian parent of blue-chip Lloyd’s insurer Catlin Underwriting Agencies, continued to bolster its management team last week with three new non-executives appointed to the board.