Amlin writes 30% more business as rates harden

Amlin writes 30% more business as rates harden: "LONDON (ShareCast) - Underwriter Amlin (LSE: AML.L - news) has written total income to date this year of £389m, a 30.6% increase on this time in 2008, and forecasts premium rates will harden further during the year.

Overall renewal rates for the group have already increased by 4.0% (2008: reduction of 8%) with a retention rate of 84.1% (2008: 87%), it said in an update.

'As expected, the impact of last year's hurricane activity and the recent dislocation in capital markets has started to drive firmer reinsurance rates, reversing last year's falling trend, ' it said.

'At 1 January, our US catastrophe accounts, written in the London Reinsurance division and Amlin Bermuda, experienced a rate increase of 9.6%, with our international catastrophe book improving by 3.1%,' it added.

'Looking forward we expect the rating environment in this area will continue to improve,' it said.

The group's gross written premium (before deduction of brokerage) in the year ended 31 December 2008 was £1.02bn (2007: £1.04bn), a decrease of 1.9% on the prior year.

'We are through the bottom of the insurance cycle with strong prospects for hardening rates across our business. We have a strong balance sheet and we are in an excellent position to take advantage of opportunities to grow the Group over this next phase of the cycle,' Charles Philipps, chief executive, commented."