Hardy Underwriting has reported a record pre-tax profit of £16.8m, boosted by the lack of catastrophes last year.
The insurer said gross written premiums came in at £106.1m compared with £111.3m in 2005 and the combined ratio fell to 76.9% from 92.7% a year earlier.
Barbara Merry, chief executive, said: “We have performed well during 2006 against the corporate objectives which we set ourselves.
"Hardy has made enormous progress as regards its intention to diversify with the introduction of syndicate 38Twenty for 2007. This initiative is highly significant both in terms of the growth challenge that it presents to the business and the fact that it provides the opportunity to achieve scale.
"As at the end of 2006, the Hardy business stands on the cusp of entering new underwriting territory and being able to participate more actively in the hugely significant non-marine property classes of business that are available in the London market.”
