Catlin Group's gross written premiums rise in first quarter

Catlin Group's first quarter gross written premiums were 12 per cent ahead of the previous year following growth its casualty insurance business.

Catlin Group's first quarter gross written premiums were 12 per cent ahead of the previous year following growth its casualty insurance business.

The specialty insurer and reinsurer said gross written premiums came to $1.8bn for the first three months of the year while net premiums earned also rose 12% to $948m from $847m in 2012.

Gross premiums written by non-London underwriting hubs increased by 21%, accounting for 58% of the group total.

The casualty division helped pushed results higher with gross premiums up 25% to $330m, reflecting strong performance in business written by the US and international hubs.

Property jumped by 23% to $158m supported by international business and rate increases following Winterstorm Sandy which destroyed homes across the US.

Reinsurance climbed 15% to $903m driven by volume in its continental European reinsurance hub, Catlin Re Switzerland, and growth in the US.

Specialty war and political risks rose 2.0% to $161m while energy and marine increased 1.0% to $214m.

Aerospace, however, fell 8.0% to $78m as volume was affected by competitive pressure and delays in scheduled satellite launches.

Average weighted premium rates across the group's underwriting portfolio advanced 3.0% during the period.

Total cash and investments came to $8.56bn at the end of March, a 2.0% rise compared to the previous year's $8.41bn. Year-to-date total investment return came to 0.5%, down from 0.6% the prior year.

While yields on bonds continued at historical lows during the quarter, emerging signs of a positive outlook resulted in higher equity values and the appreciation in the value of other risk assets.

The group's holdings in equities and loans, included in other invested assets, produced a year-to-date return of 4.9%.

"We have made a very good start to the 2013 underwriting year, said Chief Executive Officer, Stephen Catlin.

"Premium rates have continued to rise in most classes of business, with the notable exception of the airline account.

"Whilst the rest of the year may not be catastrophe-free as the first quarter was, we are optimistic that the global infrastructure that we have built over the past decade and our emphasis on capital preservation will continue to benefit our clients and shareholders alike. We look ahead with confidence."

RD

Recommended

Best junior stocks and shares ISA platforms
Isas

Best junior stocks and shares ISA platforms

A junior stocks and shares ISA is a great way to save for your child tax-efficiently. But it can be confusing deciding which investment platform to ch…
25 Nov 2022
Share tips of the week – 25 November
Share tips

Share tips of the week – 25 November

MoneyWeek’s comprehensive guide to the best of this week’s share tips from the rest of the UK's financial pages.
25 Nov 2022
Investing in a recession: 5 moves investors should make now
Investment strategy

Investing in a recession: 5 moves investors should make now

As we enter a recession, here’s what investors should do with their portfolios.
23 Nov 2022
It’s time to focus on Fuller’s
Share tips

It’s time to focus on Fuller’s

The pub sector has had a torrid two years, but this group is resilient and poised to prosper. We take a closer look at Fuller’s.
21 Nov 2022

Most Popular

Wood-burning stove vs central heating ‒ which is cheapest?
Personal finance

Wood-burning stove vs central heating ‒ which is cheapest?

Demand for wood-burning stoves has surged as households try to reduce their heating costs this winter. But how does a wood burner compare with central…
29 Nov 2022
Fan heater vs oil heater – which is cheaper?
Personal finance

Fan heater vs oil heater – which is cheaper?

Sales of portable heaters have soared, as households look to cut their energy costs. But which is better: a fan heater or an oil heater? We put them t…
21 Nov 2022
Best regular savings accounts – November 2022
Savings

Best regular savings accounts – November 2022

You can earn an attractive rate on the best regular savings accounts. We tell you the best on the market to take advantage of right now
29 Nov 2022