Mitsui Sumitomo at Lloyd’s said it has "adequate capacity" to pay claims from the Japanese earthquake, in a update released this morning.
Chief executive Andrew McKee said: “It is still too early to assess the full economic impact of the Tohuku Pacific earthquake on the MS&AD Insurance Group, and specifically on Mitsui Sumitomo at Lloyd's.
"However, I can confirm that the business remains strong, has adequate capacity to pay any claims arising and continues to maintain extremely strong financial reserves.”
Current estimates for domestic (Japanese) insurers put earthquake and tsunami claims at approximately one trillion yen (approximately £7.5bn).
Parent company MS&AD said it anticipates exposure of around 65 billion yen (approximately £500m), adding this was a "very manageable exposure".
McKee said Mitsui Sumitomo at Lloyd's has experienced "very little exposure "to the Japanese catastrophes and "continues to operate normally".
Commenting on the recent rating changes following the tragedy, McKee added: “The recent ‘revisions of outlook’ of the major Japanese insurers by the rating agencies following an event of this magnitude are necessary and welcome.
"We are communicating closely with the agencies and hope that our financial rating will be unaffected."
No comments yet