Chaucer has arranged a new loan with Lloyds TSB to help increase its underwriting next year.

The deal effectively provides an extra £10m to push the group's interest in the 2003 year of account to £220m.

The Lloyd's insurer updated its forecasts for the 2000 and 2001 years of account on its syndicates 587, 1084 and 1096 covering motor, marine and non-marine respectively.

The forecasts showed a marginal improvement in Syndicate 587's 2000 forecast and a marginal worsening of 1096's 2000 forecast.

The group's WTC losses remained unchanged.