London share prices have plunged again this morning with traders concerned over the collapse on the India market.
The FTSE 100 index fell over 100 points in early trading to 5583.
Last week fears over rising inflation and interest rates in the US took the FTSE more than 500 points below last month's high of 6132, with Thursday seeing the biggest single fall in more than three years.
In the insurance sector, stocks were hit across the board. Royal & SunAlliance (R&SA) fell 1.58% to 125.75p.
R&SA is being sued in the UK for an estimated $1bn by GM in a dispute over personal injury claims in America linked to asbestos.
Traders said the potential outcome continued to hurt the share price which has fallen 8.3% in the last week from a high of 136p.
Meanwhile, shares in Highway Insurance plummeted 4.90% to 68p.
Shares have fallen over 20% since a statement from Highway to its AGM on the 10 May when the company reiterated its aim for 2006 was to "hold our position" but cautioned that cost and price pressures are pushing up its combined ratio.
Highway said its combined ratio for the year would be close to 100%, impacted by pressure on motor insurance pricing and inflated costs on personal injury claims and reinsurance,
Jardine Lloyd Thompson, one of the worst performing shares in the FTSE 250 this year, pulled back from its recent high of 387p hit in early May.
In early trading, JLT fell 1.68% to 351.75p.
Bid rumours have recently surrounded the company. According to market sources, it has been exploring the possibility of a bid for rival broker, Heath Lambert. Previous speculation placed JLT in a merger with Benfield Group.
For now, traders pointed to 387p as a "resistance level" - a level in the market which repeatedly attracts sellers, driving the price down.
