More Lloyd’s Insurers Estimate U.S. Losses

Several more Lloyd’s insurers have recently announced the potential impact their underwriting syndiactes face following the terrorist attacks in the U.S.

Chaucer Holdings, Plc announced that it expected to incur pre-tax losses of between £8 and £12 million ($11.7 and $17.5 million) mainly from the destruction of the World Trade Center.

Kiln Plc. estimated its losses from its participation in Lloyd’s syndicates 510 and 557 would be around £45 million ($66 million) after reinsurance. The company said the estimates were within its calculations, and that the U.S. claims would not have an impact on its other syndicates.

Goshawk estimated its losses after reinsurance at around $12 million, and Atrium Underwriting said it expected that the U.S. attacks would have a material impact on its results, but that it couldn’t yet make an accurate estimate of the amounts involved.

It’s becoming more and more certain that the heavy losses to many underwriting syndicates caused by the events of September 11 will have an impact on virtually every Lloyd’s insurer, which is reflected in the warnings issued by analysts and the rating agencies (see previous article).