Market capitalization remains the best correlation for totalchief executive officer compensation for property-casualtyinsurance industry executives, Bank of America advised.

Brian Meredith, the bank's property-casualty insurance analyst,in a report last week said the figure that multiplies the stockprice times the share outstanding is particularly relevant whencorrelating annual cash bonuses.

"There was little if any correlation with return on equity, bookvalue growth, operating earnings/earnings per share,premiums/revenues and combined ratio," Mr. Meredith wrote.

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