Several Bermuda companies have reported loss estimates fromfirst-quarter catastrophes, but all of the companies excluded theMarch 11 magnitude 9.0 earthquake that struck Japan, stating thatit is too early to give an estimate.

However, RenaissanceRe did comment that, according to itsinitial assessment, the net-negative impact of the Japan quake onthe company's results “will be significant and is likely to bematerial.”

AXIS Capital Holdings Ltd. saysit does not expect its share of losses for the March 11 Japanearthquake and tsunami to exceed 1.3 percent of total industryloss. Losses for the company's insurance segment are not expectedto exceed $25 million due to reinsurance coverage, AXIS says,adding that it is still too early to give exact estimates.

Regarding other first-quarter events, RenaissanceRe says Januaryflooding in Australia and the February New Zealand earthquake willhave expected net-negative impacts of approximately $30 milion and$190 million, respectively, on the company's quarterly results.

Everest Re says the February New Zealand quake is expected tocause losses of between $140 million and $210 million, pretax andnet of reinstatement premiums. On an after-tax basis, the companysays the loss is expected to be between $120 million and $180million.

Alterra Capital Holdings says its initial first-quarter lossestimates are between $5 million and $8 million for the Australianfloods; between $6 million and $10 million for Cyclone Yasi; andbetween $15 million and $20 million for the New Zealand quake. Thecompany says its loss estimates are pretax and net of reinsuranceand reinstatement premiums.

Endurance Specialty Holdings says its loss estimate for theAustralian floods is $15 million, and its estimate for the NewZealand quake is $45 million.

AXIS says it expects to incur between $275 million and $315million in losses, pre-tax and net of reinstatement premiums, fromthe February New Zealand earthquake and from first-quarter lossevents in Australia.

The Pembroke, Bermuda-based specialty insurer and reinsurer saysit expects the New Zealand quake to cost between $185 million and$215 million. The Australian events are expected to cost between$90 million and $100 million.

“Losses for the New Zealand earthquake and loss events inAustralia that have occurred to date in the first quarter of 2011are expected to primarily impact the reinsurance segment of thecompany,” AXIS says. “The net impact from the New Zealandearthquake to the company's insurance segment is not expected toexceed $20 million due to reinsurance coverage limiting netretentions in the segment, and the net impact of the loss events inAustralia is not expected to be material to this segment.”

Platinum Underwriters Holdings Ltd. says it expects that the2011 Australian floods and Cyclone Yasi, and the New Zealandearthquake will have net-negative impacts of approximately $25million and $135 million, respectively, on the company's 2011first-quarter results.

Flagging Flagstone

Meanwhile, Moody's Investors Service placed Luxembourg-basedFlagstone Reinsurance Holdings' “Baa3” long-term issuer rating andthe “A3” financial-strength rating of the company's principalsubsidiary, Flagstone Reassurance Suisse S.A., under review due tothe company's expected losses from first-quarter catastrophes.

Moody's says Flagstone's estimated losses for the Australianfloods and Cyclone Yasi account for 5.3-7.0 percent of thecompany's equity. The estimated losses for the New Zealand quakeaccount for another 5.3-7.9 percent of equity, Moody's says. “Thecompany has yet to disclose its loss estimates for the March 11earthquake in Japan, but Moody's expects that the reinsurer willincur losses from this event given its geographic risk profile,”the rating agency adds.

Kevin Lee, a senior credit officer at Moody's, says in astatement: “Moody's considers the size of the losses from theAustralian floods and New Zealand earthquake to be out of step inrelation to the limited size of the company. In the coming months,we will review Flagstone's strategy and risk tolerance, includingits approach to allocating notional limits by geographiczones.”

In a responding statement, Flagstone says it believes Moody'sdecision to review “relies too much on subjective criteria ratherthan the modeled financial strength of the company, and Moody'ssubjective approach has been an ongoing concern of thecompany.”

Flagstone says it expects its losses from the New Zealand quake to be between $60million and $90 million, net of reinstatement premiums andretrocession. The company expects between $60 million and $80million in losses from the Australia events.