Montpelier Re's Profit Up Sharply

NU Online News Service, July 28, 10:05 a.m.EDT?Montpelier Re Holdings, a Bermuda-based reinsurancecompany, said its second-quarter net profit increased more thanthreefold to $112.5 million from $33.1 million it reported one yearago.

The company also noted that its gross premiums written for thesecond quarter was $ 194 million, up from $136.3 million recorded ayear ago. Net premiums written similarly rose, to $186.6 millionfrom $131.8 million posted in the 2002 second quarter.

"Montpelier has followed a strong first quarter in 2003 with aneven stronger second quarter," said Anthony Taylor, chief executiveofficer for Montpelier Re. "Our overall book of business continuedto grow, we were able to develop our portfolio of risks to an evengreater degree, and we have diversified further by taking advantageof opportunities in areas in which we have competitive strengths,"Mr. Taylor added.

Montpelier Re, founded by White Mountains Insurance andU.K.-based insurer Benfield Group, was one of the new Bermuda-basedreinsurers that got started in the wake of 9/11 terror attacks.

Commenting on Montpelier Re's latest financial results, ChiefFinancial Officer Tom Kemp said his company is now becomingincreasingly recognized as one of the key lead markets. "Theinnovative reputation of our underwriting team is growing, and ourmodeling and capital allocation capabilities are among the mostsophisticated in the industry," Mr. Kemp said.

Montpelier Re specializes in facultative coverage for commercialproperty-property catastrophe reinsurance, offering coverage fordamages against earthquakes, hurricanes, floods, fires and storms.The company also underwrites marine, aviation, casualty andpersonal accident risks.