Wednesday, 21 March 2018

Lloyd's of London reports first loss in six years

Lloyd's of London has reported its first annual loss in six years after a series of global natural disasters.
The insurance market said it had paid out £4.5bn in major claims in 2017, more than double the previous year, resulting in a loss of £2bn - compared to a profit of £2.1bn in 2016.
It pointed to the impact of hurricanes Harvey, Irma and Maria as well as wildfires in California, an earthquake in Mexico, monsoon flooding in Bangladesh and a mudslide in Colombia.

The series of disasters follow what it called "a number of relatively benign catastrophe years".

Lloyd's said a total of £18.3bn had been paid out in 2017 "demonstrating the critical role the market plays in helping businesses, communities and countries recover quickly after disasters".

But it said that it had met these commitments without any significant impact on total resources, which Lloyd's said remained strong at £27.6bn
Lloyd's chief executive Inga Beale said: "The market experienced an exceptionally difficult year in 2017, driven by challenging market conditions and a significant impact from market catastrophes.

"These factors mean that for the first time in six years Lloyd's is reporting a loss."

Chairman Bruce Carnegie-Brown said Lloyd's had to date paid more than 50% of claims resulting from Harvey, Irma and Maria and is in the process of paying the rest.

It is the latest insurance giant to disclose the impact of last year's disasters, which are estimated to have cost the industry a total $135bn (£96bn).

BBC       News.

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