Kiln's profits have been badly hit by hurricane losses.
The Lloyd's insurer's pre-tax profits fell to £8.5m from £37.9m the previous year. Kiln's combined ratio rose from 86% to 114%.
Kiln shareholders will receive a final dividend of 2p per share, making a dividend of 3p per share for the year.
Kiln attributed the fall in profits largely to the impact of hurricanes, which led to £77m of losses.
The company is analysing its assessment of risk, with particular reference to probability, frequency and scale. Kiln has “modified the weighting of our business split in order to take advantage of the rate increases in particular areas of the market.”
Despite the results, Kiln's chief executive, Edward Creasy, remained bullish: “We took action to make the most of the opportunities that have arisen and are in a strong position to follow those actions through in 2006 and beyond.”
