General Insurance Article - Aon's Market Analysis team launches Lloyds report


Aon Benfield Analytics’ Market Analysis team has launched its latest Lloyd’s Update report, covering the market’s financial performance in 2010 and business position in 2011

  
 Key findings include:
  
 ·         Lloyd’s reported a 43% reduction in pre-tax profit to GBP2.2 billion for 2010, a return on capital of 12.1%.
 ·         Despite GBP2.2 billion of major loss claims, the market was able to deliver a profitable accident year combined
           ratio of 99.2%.
 ·         Prior year reserve releases increased by 9% to GBP1.0 billion, while the investment return fell by 29% to GBP1.3
           billion.
 ·         Capital and reserves were unchanged at a peak level of GBP18.2 billion at the end of 2010, leaving the market
           well-positioned to cope with the consequences of the natural catastrophes that occurred in the first quarter of 2011.
 ·         Losses from these events are currently estimated at GBP2.4 billion, split GBP1.22 billion to the Japanese
           earthquake and tsunami, GBP750m to the New Zealand earthquake and GBP406m to the Australian floods.

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