Loss estimates from $65m to $125m but no Xynthia losses

Lancashire Holdings estimates its net losses before tax from the Chile earthquake to be between $65m and $125m including the sum of gross claims and claims expenses, reinsurance recoveries and reinstatement premiums.

The loses will come in property retrocession, property direct and facultative, property catastrophe, marine and onshore energy, it said. Lancashire's estimate is based on a market loss of $6bn to $10bn.

Lancashire does not believe it has any material exposure to losses caused by European windstorm Xynthia, or to losses from any other major catastrophe events that have occurred so far in the first quarter of 2010.

Share buy-back

Lancashire also said it would restart its share repurchase programme, in accordance with its stated intention of managing capital to enhance shareholder return.