Bermudian re/insurer Everest Re Group swung to a Q1 net loss of $22.7m from a year-earlier gain of $108.6m after posting a record $275.6m in after-tax catastrophe losses. Some $250m of the losses were connected to the Chilean earthquake and European windstorm Xynthia, while the balance was tied to Australian storms. The group's operating loss was $1.25 a share, versus year-earlier income of $1.72 a share and analysts' forecast for a loss of 74¢ a share. With the massive cat losses, Everest's combined ratio jumped to 124.9% from 89.3%, as earned premiums fell 0.5% to $927.3m and claims costs increased 59% to $906.9m. Investment income more than doubled to $161.5m. Despite the heavy cat losses, "our return to shareholders, including dividends paid, was slightly positive", said Everest chairman and chief executive Joseph Taranto.

UK-based run-off operator and insurance services group Randall & Quilter has reported a pre-tax gain of £260,000 ($394,000) for 2009, down from £8.76m in 2008. Post-tax there was a loss of £171,000, down from a gain of £6.02m the previous year. Group investment income for the year was £11.4m, a return of 4.1%. The 'second interim' dividend of 4.2p per share left the annual payout per share unchanged at 7.0p. CEO Ken Randall said that the dividend had been maintained "despite the substantial settlement paid to Equitas, continued volatility in the investment markets and tougher trading conditions in the run-off servicing arena". He added that R&Q was "pursuing a number of attractive opportunities to purchase reinsurance debt and to manage and capitalise specialist London syndicates, including providing [reinsurance to close] for open-year syndicates". The RITC and reinsurance debt purchase activities will in future form part of the newly named Insurance Investments Division.

US-based p/c business Chartis, a subsidiary of AIG, is marketing its first cat bond issue, with Standard & Poor's offering initial ratings of BB+ and BB to the issue's two tranches. Chartis has set up Bermuda-based Lodestone Re as the special purpose vehicle that will issue the securities. About $250m of protection against US windstorm and earthquake will be provided for Chartis subsidiary National Union Fire Insurance. Artemis reported that  Standard & Poor's initial report on the issue had led to a favourable market response, possibly leading to an increase in the size of the issue.

UK-based insurer Novae has changed its business segmentation to property/short-tail and liability/long-tail, a division it said would be the most useful in reporting the company's figures in the light of its expansion and development since 2006. Previously it had segmented its results into Specialty, Property, Liability, and Aviation & Marine. In the company's interim report, released this morning, Novae said that gross written premiums for the first quarter were £167.2m ($253.9m) up 48% on the same period last year. Of this, £96.4m was in property/short-tail and £70.8m in liability/long-tail. Rate increases year on year were about 2%, compared with an average 5% increase recorded in Q1 last year. Investment returns for the quarter were £8.9m, up from £7.5m in Q1 2009. Return on average invested assets for the quarter was 0.85%. The legacy business written in 2002 and before continues to run off in line with Novae's expectations. Novae reported "significant progress" in its plan to transfer out the £60m excess capital in Novae Insurance Co Ltd (NICL). Novae is looking to execute a Part VII Transfer to Novae's Lloyd's operation, and said that it hopes to complete the process by Q3 2010. Novae also hopes that "an announcement setting out the basis and timing of any consequential return of capital to shareholders will be made by the end of the year".