Atrium expects its results to suffer as a result of the terrorist attacks in the US and is unlikely to pay an interim dividend this year.
Atrium owns both Atrium Underwriters Limited, the managing agent of Lloyd's syndicates 570 and 609, as well as 11 corporate name subsidiaries.
The group said it could not predict losses for 2000 and 2001 and the atrocities would have “extensive and significant” effects on insurance and reinsurance internationally.
It said in a statement: “Although it is too early to make an accurate assessment of the full financial impact of the terrorist attacks in the USA, on the group, Atrium confirms that it does have exposure to claims through its underwriting portfolio which includes participations on its two managed syndicates. The losses will inevitably impact the results of the group and this impact will be material.
“The board believes, however, that the quality of the syndicates and the overall impact of claims arising from these disastrous events will be within the ranges of gross and net losses expected for the portfolio from a significant catastrophe.”
It expects most of the losses arising from last week's attacks to hit the 2001 year of account for its Lloyd's syndicates.
The board now believes its forecast of a 1.6% profit for 2000 was optimistic but hopes to avoid loss for the year.
The firm was formed in December 1998 from the merger of Atrium Cockell Group and Lomond Unde
