Domestic & General (D&G) said it was confident of profitable development after reporting a 137.5% increase in pre-tax profit for the six months ending 31 December 2003.

It said turnover for the first half of the year grew to £112.3m, up from £107.4m for 2002.

Pretax profit reached £11.4m, boosted from £4.8m in 2002 by the improved performance of equity investments.

D&G said the claims ratio was expected to show a continued improvement when compared to the same period in 2002, but at a higher ratio than seen in the first six months.

Chairman Nicholas Rochez said: "Overall, we remain confident about the prospects for the profitable development of our group."