Catlin avoids catastrophe claims, premiums grow

Speciality insurance company Catlin Group has seen an increase in the amount of premiums written in the three months to the end of March, while avoiding any catastrophe claims.

Catlin has six main insurance lines; with reinsurance, casualty and energy/marine the biggest, although the biggest growth (+23% on the prior year) is coming from speciality war and political risk premiums.

Overall premiums are up 12% against the prior year, totalling $1.642bn. The international division was up 27% following new reinsurance business won by the Swiss office. London/UK gained 12%, the US rose 17% but Bermuda was down 16% after a decision not to renew some property reinsurance contracts.

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Total investment return over the quarter was 0.6%, while investments and cash together have grown 4% over the same period of 2011 to hit $8.406bn.

The Costa Concordia cruise ship tragedy cost Catlin $35m but overall the claims picture has been benign after the very difficult events of 2011 which included floods in Thailand and the Japanese earthquake and tsunami.

Commenting on Catlin's performance, Stephen Catlin, the Chief Executive said: "It is gratifying that the market is heading in the right direction for nearly all classes of business after last year's unprecedented series of catastrophe losses."

He added that: "...rates for Japanese reinsurance renewals at April first were slightly ahead of our expectations. We expect market conditions to continue to improve as the year progresses."

BS