Investors Survey Rates Travelers Top P-C Firm

Among property-casualty insurers Travelers was followed by XL Capital Ltd., Hamilton, Bermuda and Progressive Casualty Insurance Company, Mayfield Village, Ohio. XL was ranked third among 37 companies listed in the insurance sector overall, behind No. 2-ranked AFLAC, while Progressive took the No. 6 spot.

First among brokers was Marsh & McLennan in New York, ranked No. 4 in the insurance sector overall.

BWI said that its survey rated 500 of the world's largest companies and was compiled through portfolio debriefings of 2,200 institutional investors as well as analysts and sales professionals a investment banks.

Among the 24 criteria used for company evaluations are the quality of management and directors, competitive positioning, brand power, growth potential, strength to acquire or be acquired and financial parameters.

The survey put Chubb Corp. of Warren, N.J. in last place among major p-c insurers in the United States.

Stewart Borden, a BWI partner said insurance ranked lower among the sectors because of the companies' financial numbers. "Their profitability tends to be lower."

In addition, he said, those surveyed perceived insurers growth potential as limited "compared to the higher-ranked sectors."

Mr. Borden said when investors looked at Travelers they were encouraged by its increased autonomy from Citigroup, allowing Travelers to focus on improving their flagship products.

Investors, he said, are also giving Travelers marks for its solid financials and solid earnings based on efficient streamlined operations. Travelers ranks in the top 5 for quality of leadership & management.

Mr. Borden explained that investors gave Chubb lower scores in most areas, attributing a weakening competitive positioning in the high-end specialty area, which other carriers are attacking. Investors were also waiting to evaluate the new chief executive officer, noting his limited insurance experience. Investors felt Chubb's long-term prospects were much better than short term.

Among the rankings for the insurance sector, respondents looking at the attractiveness of companies as a short term investment target put them as follows:

1 Marsh & McLennan
2 Travelers Property Casualty
3 American International Group
4 Principal Financial Group
5 Riunione Adriatica di Sicurta SpA
6 BerkshireHathaway
7Prudential Insurance
8Aflac
9 Progressive Corporation
10 XL Capital, )Bermuda)
11 Swiss Reinsurance (CE)
12Cathay Financial Holdings, China
13 Sun Life of Canada
14 St. Paul Companies.

Rankings for quality of companies leadership and management:

1 Riunione Adriatica di Sicurta SpA, Italy
2 Marsh & McLennan
3 Berkshire Hathaway
4 Travelers Property Casualty
5 XL Capital, Bermuda
6 Progressive Corporation
7 American International Group
8 Aflac
9 Swiss Reinsurance
10 Hartford Financial Services
11 Manulife Financial , Canada.
First among all firms in all sectors the survey put healthcare company Anthem Inc.