September 2005/5

Giant insurer American International Group (AIG) has taken legal action in an effort to seize $20bn of its own shares from the control of ousted former chief executive Maurice “Hank” Greenberg, according to reports today in the Wall Street Journal (WSJ).

Ratings agency Standard & Poor's (S&P) has lowered its outlook on the reinsurance industry to negative from stable, suggesting that company downgrades will outnumber upgrades for the remainder of the year.

A good set of first-half year results for Hardy Underwriting Group was boosted by IFRS accounting rules which improved income by £1mn. The insurer released its interim results for the six months up to 30 June 2005 on 22 September and saw...

It was a bittersweet week for MMC in its negotiations with US regulators to settle the investigations and allegations into the firm’s past business practices. On the one hand, the broking giant entered into an agreement with the National Association...

One month ago it looked like overall capacity would be down at Lloyd’s next year, now with the market changed by Hurricane Katrina the reverse could be true. Although total industry losses and individual insurer losses caused by Hurricane Katrina...

Risk modelling experts Eqecat released estimates of between $11-19bn for the offshore energy and commercial flood damage caused by Hurricane Katrina. Although the estimates are outside of Eqecat’s usual scope, the company said it was responding to...

US Insurer WR Berkley Corp revealed on Friday (23 September) that it may raise up to $1bn from the issue of debt securities and the sale of stock and other securities. In a filing with the Securities & Exchange Commission (SEC), the company said it...

Three Japanese insurers will receive large cash settlements from Deloitte & Touche LLP because of the company’s auditing role in the collapse of controversial US aviation reinsurance company Fortress Re.

Ratings agencies Moody’s and Standard & Poor’s (S&P) have delivered contrasting responses to Bermudian reinsurer Montpelier Re’s successful $600mn fundraising exercise to fill the hole left by Hurricane Katrina and subsequent flood losses.

Embattled UK quoted reinsurer Alea Group Holdings (Bermuda) Ltd has cancelled a rescue fund raising plan following AM Best’s decision on 23 September to downgrade the firm’s financial strength rating from A- to B++.

The (re)insurance industry has continued its assessment of the likely financial impact of hurricane Katrina, the category 4 storm that brought devastation to New Orleans and the US South late last month.

Hurricane Rita, the latest addition to an already overactive US storm season, proved to have packed less of a punch than expected over the weekend with major cities and infrastructure spared significant damage, according to the most recent reports.