What’s new: In brief (May 20, 2004)

French reinsurer SCOR reported overall net income of EUR31.8 million for the first quarter of 2004, with its non-life sector posting a combined ratio of 98.8%. This compares with 121.3% for the segment a year ago. However, operating income in the non-life segment dropped significantly on the heels of reduced currency and capital gains.

Swiss insurer Zurich posted net income of US$702 million in the first quarter of 2004, versus US$134 million a year ago. Annualized ROE jumped to 16.2%, while the company posted a combined ratio of 96.9%, down 1.2% from the year prior.

U.S. insurers urged the Senate Banking Committee this week to ensure the Terrorism Risk Insurance Act (TRIA) would be extended for at least two more years. Chubb Corp. vice chairman John Degnan told legislators a terrorist attack at this point could bring the insurance industry “to its knees” and produce widespread economic turmoil without a backstop. He added insurers and their commercial clients need certainty about the program now as they head into policy negotiations this fall.