Cox Insurance Holdings has returned to profit, posting a 54% hike in underwriting profits during 2002.
The personal lines insurer posted a pre-tax profit of £42.7m in 2002, up from a £240.6m loss in 2001. Broking and insurance services were also up 73% to £19.3m.
The improved performance contributed to a 2002 motor combined ratio of 89%, which it claims was the best in the market. This means it makes more money from premiums than it pays out in claims.
In a statement the insurer said its profits were boosted by its withdrawal in 2002 from aviation and nuclear. Cox said it is now focused on retail insurance having withdrawn from the commercial arena.
The results statement also revealed a change in its board structure. Michael Dawson, who constructed the company's Lloyd's activities, will retire at the end of May. Bernard Watkins will retire from his executive responsibilities at the end of the month but will stay on as a non-executive director.
The results statement was upbeat about future prospects, revealing that it intends to pay a dividend in 2003. Its forecast was based on a 151.3 pence improvement in its share dividend to an 11.2 pence positive dividend in 2002.
Cox Insurance chairman Peter Owen said "With a company such as ours with business balance, skills and experience, there is opportunity for success throughout the cycle.
"We have proved this in the past and intend to continue this in the future."
