September 2011/4

Validus has indicated that it intends to continue its direct appeal to Transatlantic shareholders despite entering into takeover talks and signing a confidentiality agreement over the weekend.

The winding up of insolvent UK insurer Highlands Insurance Company (HUK)'s liabilities has moved within sight after cedant creditors agreed to a scheme of arrangement's terms.

(Re)insurance service provider and run-off acquirer Tawa last week reported a post-tax profit of $11mn for the first half of the year, with results boosted by capital releases from its run-off portfolios.

Lawyers for former Chicago broking heavyweight Mike Segal have filed papers with the US Supreme Court asking it to overturn his conviction for federal fraud offences.

Lloyd's is facing legal action in Quebec relating to a 2004 case over policies it alleges were fraudulently sold using its name, the organisation said in its half-year results released last week.

Lloyd's Syndicate 3500 has dropped a lawsuit that accused the government of Saudi Arabia and several charities of supporting the 9/11 terrorist attacks just 11 days after it was filed.

The last of the original 95 wrongful death lawsuits resulting from the 9/11 terrorist attacks has been settled, potentially ending a decade of litigation that has led to combined settlements of more than $500mn.

The UK government should seize the opportunity presented by the overhaul of the country's financial regulation framework to instigate a cultural shift in the philosophy of supervision, according to Michael Wade, chairman of London market independent broker Besso.

Another game of political chicken has begun on Capitol Hill, with the National Flood Insurance Program (NFIP) at the centre of a two-way tussle between the House of Representatives and the Senate.

The European Commission (EC) has withdrawn plans to commission a review of the insurance subscription markets.

Crop (re)insurers face further upheaval following the significant reforms in the 2011 Standard Reinsurance Agreement (SRA) after President Obama targeted the agricultural sector as part of efforts to cut the federal budget deficit.

Crop (re)insurers face further upheaval following the significant reforms in the 2011 Standard Reinsurance Agreement (SRA) after President Obama targeted the agricultural sector as part of efforts to cut the federal budget deficit.

Montpelier Re's deal to sell off its US insurance arm to Selective Insurance Group continues an emerging trend of (re)insurers focusing on their core specialities and eschewing the diversification model favoured under ratings agency pressure post-Katrina.

London market property and casualty (P&C) insurance stocks have shrugged off the concerns driving equity market volatility over the past week to outperform their peers in Europe and the life and banking sectors.

The "big three" global reinsurance brokers have all raised concerns over the European windstorm model in RMS Version 11 (v11) and have advised clients not to use the update for the crucial 1 January renewals unless they are entirely comfortable with the changes.

The Insurance Insider weighs up the track records of Omega's suitors: Canopius, Barbican and Mark Byrne's Haverford

Pat Ryan has finally got his seat at the Lloyd's table after it was confirmed last week that his £35mn acquisition of the privately held insurer Jubilee had completed.

State-owned China Re is understood to have despatched a representative to the UK to scout out potential acquisitions in the London insurance market, The Insurance Insider can reveal.

Lloyd's has disclosed a preliminary loss estimate of $600mn for the US tornado outbreaks that took place throughout April and May.

Loss compilation agency Property Claims Service (PCS) has placed insured losses from Hurricane Irene at $3.65bn, The Insurance Insider understands.

Ailing New Zealand mutual AMI confirmed last week that its reinsurers will be forced to accept two NZ$595mn ($487mn) total losses from the September and February earthquakes in Canterbury.

Lloyd's will make an underwriting loss in 2011 due to its first-half catastrophe losses, as even a benign hurricane season is unlikely to save the market from a combined ratio of 105 percent or above, predicts ratings agency Standard and Poor's (S&P).

The return of trading in Chaucer-managed nuclear Syndicate 1176 skewed the statistics of the second Lloyd's capacity auction, which took place last week.

Torus is acquiring Clal-owned syndicate Broadgate not only because it provides the multi-line carrier with a more established Lloyd's platform, but also because of the particular attractions of the book of business it writes, the private equity-backed (re)insurer has explained.

Lloyd's disclosed a first half pre-tax interim loss of £697mn last week, but it resisted pressure to follow its peers in raising its loss forecasts for the year's major catastrophes.

The firms that have recently taken over Lloyd's vehicles will be held to the business plans submitted by the previous ownership and will not be allowed to pre-empt rapidly, Lloyd's senior management reiterated last week.

Lord Peter Levene of Portsoken, the outgoing chairman of Lloyd's, was last week awarded the rare honour of a gold medal for services to Lloyd's for his role in re-cultivating the market's reputation and gaining access to new territories.

Lloyd's underwriting tsar Tom Bolt has fired another broadside at offshore energy underwriters by suggesting he is not convinced they are "robustly managing risks".

Brit Insurance is to become the latest example of Lloyd's resurgent fortunes, as the private equity owned (re)insurer implements a new policy of deliberately migrating its business away from its UK Financial Services Authority (FSA)-regulated insurance company Brit Insurance Limited (BIL) and onto its Lloyd's Syndicate 2987.

Berkshire Hathaway is to repurchase an unspecified number of its class A and B shares at prices no higher than a 10 percent premium over their then-current book value.

Lonmar Global Risks' parent company Centrix Insurance Holdings incurred losses of £3.12mn in 2010 after swallowing more than £2mn of costs paid out to marine underwriters that had been overcharged.

French mutual insurer Groupama has put off plans for a public listing in response to Standard & Poor's (S&P) decision to further downgrade the firm's rating on Friday (23 September).

Planning for the giant SOS offshore energy excess liability facility has met resistance from the primary energy insurance market, The Insurance Insider has learned.

Tony Lovett, the former Catlin and RSG Europe executive has re-emerged with a new London-based managing general agency (MGA), The Insurance Insider has learned.

Icelandic insurer European Risk Insurance Company (Eric) has been revealed as the latest carrier offering UK solicitors' professional indemnity (PI) cover, just days ahead of the industry's 1 October renewals.

Fairfax buyback; XL expands property capacity; BB&T buys; UIB reshuffles; BIBA appoints Homer; Generali shrugs off S&P downgrade; Ferma's new president; Lancashire chooses Northdoor; Canopius expands; Dutch stable; Russell Group launch; Novae changes; Miller expands binder team; Wilford flies; RGA opens in Dubai

Barbican has held meetings with Haverford chairman Mark Byrne within the last fortnight to discuss teaming up to take over Omega, The Insurance Insider can reveal.

Recent M&A activity on both sides of the Atlantic has done much to highlight differences between how business is conducted on the two continents.

A week after the Allied World bid collapsed and Berkshire Hathaway's $52 per share cash expired, Transatlantic Re has revealed that Validus has competition from an unnamed "third party" that has already commenced due diligence.