Impact on insurer’s book was ‘wide-ranging’
US insurance group HCC Insurance Holdings’ combined loss from first-quarter catastrophes is estimated to be $51.5m before tax and after reinsurance.
The loss, which translates to $33.5m after tax, results from the Q1 catastrophes in Australia, New Zealand and Japan. HCC said the after-tax amount represents 1% of its 2010 year-end shareholders’ equity.
The company said the impact from the events on its book was wide-ranging, hitting its property treaty, property direct and facultative, energy, accident and health and contingency lines of business.
The loss figure is based on underwriters’ estimates based on their review of the company's in force contracts, as well as preliminary indications from brokers and clients and proprietary models.
"Based on our current knowledge, the amount of loss from these events is within our expectations and within our reinsurance programmes," HCC president and chief executive John Molbeck said in a statement.