Highway Insurance is to build on a steady increase in both turnover and profitability with a continued focus on claims cost and growth through its retail arm.
In its interim results Highway reporte …
Highway Insurance is to build on a steady increase in both turnover and profitability with a continued focus on claims cost and growth through its retail arm.In its interim results Highway reported pre-tax profits of £4.9m, up £0.2m on the same period last yearChief executive Andrew Gibson said: "Since 2001 we have a new management team, left the Lloyd's market, introduced new products and cut our workforce from 650 to 430."We are well placed to deal with the soft market and will be maintaining pricing discipline."Gibson said increased profitability would come through controlling claims and expenses in the underwriting arm, and growth through acquisitions and organic growth in Highway's new retail division.He said: "Our combined ratio is 98%, while the business is backed up by a £340m investment fund, one of the highest funds per pound of assets in the market."
Results in brief
Kiln reported a pre-tax profit of £24.7m for the six months ended 30 June. This represented a 61% increase on the 2003 half-year pre-tax profit of £15.3m. The group's combined ratio stood at 77%, compared to 79% for the 2003 half-year. Gross written premium increased to £162m from £154m. Catlin's combined operating ratio improved to 81.8% for the first half of 2004 compared to 87.8% for same period last year. The insurer, which floated on the stock exchange in April, said gross premiums written rose to $935.3m (£530m) compared to $747m for the first half of 2003. Primary Group reported record results for 2003 with turnover up 86% and profit after tax up 66%. The company reported turnover up from $96.3m (£53.5m) in 2002 to $179.4m in 2003; similarly profit after tax was up from $12.3m to $20.5m; net assets were up from $40.3m to $63.5m; and trading profit increased from $27m to $35m. Benfield Group reported a pre-tax profit of £113m for the six months to 30 June 2004. This compared to a pre-tax profit of £52.9m for the same period in 2003. Charles Taylor Consulting reported a pre-tax profit of £5.1m for the six months ended 30 June. This represented a 14% increase on the pre-tax profit (£4.4m) for the same period in 2003. Turnover increased to £31.5m, against £28m during the first six months of 2003. Pre-tax profit at claims specialist Auto Indemnity rose from £341,000 for the 12 months to 29 December 2002 to £1.7m for the 18 months to 27 June. The company, which changed its accounting year, also recorded turnover of £31.4m for the last 18 months compared to £14.8m for the 12 months previously. Auto Indemnity will also change its name to AI Claims Solutions. 
