XL Takes $647M Reserve Hit
The new year is still in its infancy, but one familiar scene from previous years is already being played out in the insurance industrya big reserve charge quickly followed by rating agency reactions.
Last week, the Bermuda-based XL Capital Ltd. announced it is taking a $647 million after-tax charge for its 2003 fourth quarter. XL said the charge, which follows previously announced claims-audit and regularly scheduled year-end reserve reviews, will largely cover reinsurance losses in its North American operations involving contracts sold by NAC Re Corp., a reinsurer that XL bought in 1999.
Recommended For You
Want to continue reading?
Become a Free PropertyCasualty360 Digital Reader
Your access to unlimited PropertyCasualty360 content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Breaking insurance news and analysis, on-site and via our newsletters and custom alerts
- Weekly Insurance Speak podcast featuring exclusive interviews with industry leaders
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical converage of the employee benefits and financial advisory markets on our other ALM sites, BenefitsPRO and ThinkAdvisor
Already have an account? Sign In Now
© 2025 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
