Virginia-based specialty p/c group Markel Corp saw 2011 net earnings fall 47% to $142m, as catastrophe losses jumped to $152.4m from $17m. The group's combined ratio rose to 102% from 97%, as claims costs increased 28% to $1.21bn and earned premiums climbed 14.3% to $1.98bn. Markel's London-market operation accounted for $123.4m of the cat losses, as that segment's combined ratio jumped to 116% from 95%. Its specialty-admitted segment saw its combined ratio rise 9 points to 109% owing to higher current accident year losses, while its excess and surplus lines posted a combined ratio of 86%, a 10-point improvement that reflected favourable development of prior years' loss reserves. For Q4, net income fell 64% to $50.2m, as losses from Thai flooding helped boost claims costs to $282.3m, up 34%, while earned premiums rose 10.7% to $516.8m. The Q4 combined ratio rose by six points to 95%.