Insurer Zenith will exit the Lloyd's market and begin writing its motor book in Gibraltar from February 2003.
It is understood that Zenith's senior management decided to take the business offshore because of frustration over the high charges levied by Lloyd's.
This follows Admiral Insurance's decision to reduce its capacity in the Lloyd's market. Many other Lloyd's syndicates are also condsidering the move to Gibraltar.
Subject to regulatory approval, Zenith's £100m capacity motor business will be underwritten throught its Gibraltar subsidiary Zenith Insurance plc. The insurer hopes to increase its premium to £135m by 2004.
