Lloyd's insurer Wellington Underwriting has said rates remain firm and that payment terms are at favourable levels.
Speaking at the its AGM, chairman John Barton said Wellington is well placed to take advantage of the strong insurance market.
Barton added the insurer expects to increase its capacity for 2004 on managed syndicate, 2020, by 4.3% to £730m. The move reflects firm underwriting conditions and new business initiatives within the syndicate, he added.
However he warned that the current dollar/sterling exchange rate could adversely impact Wellington's written premium levels as reported in sterling.
Barton said: "Premium rates in most of the classes of business in which we specialise continue firm. Other terms and conditions, such as payment terms and retentions, are holding at favourable levels, although the current dollar/sterling exchange rate, if it persists, will impact our written premium as reported in sterling. We continue to underwrite for profit and not volume."
