Catlin reports flat GWP for UK operation

This is an increase of 12% on the $3,280m, GWP reported for the same period of 2010.

GWP for the insurer’s UK/London hub showed little change for the year to date, at $1,868m, compared to $1,877m for the first nine months of 2010.

In a statement, Catlin said it continued to reduce the volume of business underwritten in some sectors of the London wholesale market, such as non-motor casualty and aviation, “in the light of sustained competitive conditions”.

Catastrophe losses
In June the group reported $534m in catastrophe losses for the first half of 2011, and estimated that this would rise to $670m for the whole year, as a result of flooding in Copenhagen in July, the damage caused to parts of the Caribbean, USA and Canada by Hurricane Irene, and ongoing flooding in Thailand.

Stephen Catlin, chief executive of Catlin, said: “[This year] has had an unprecedented number of significant catastrophe-related losses, even though losses arising from the Atlantic windstorm season have not been as large as many had predicted.

Fundamental changes
“We believe that fundamental changes in the marketplace are on the horizon as a result of the series of catastrophe losses, several years of falling rates for many classes of business, the challenging environment and the increasing strain on some insurers’ and reinsurers’ balance sheets due to all of these factors," Mr Catlin continued.

“Our balance sheet remains strong, supported by the protection provided by our catastrophe aggregate reinsurance programme. We expect improvement in rates and conditions for many of the classes of business we write.

He added: “Despite the challenging environment, Catlin looks ahead with confidence.”