UK-based insurance group Kiln has reported a post-tax interim profit of GBP17.2 million and profit before tax of GBP20.8 million for the first half of 2007.
<p>Gross written premiums increased from GBP230.8 million in the six months ended June 30, 2006 to GBP241.3 million for the same period in 2007, while net earned premium rose to GBP129 million in 2007 from GBP121.2 million in 2006. Investment income also grew from GBP8.7 million last year to GBP11 million in 2007.<br /><br />Commenting on these results, Kiln Group CEO Edward Creasy said: Kiln has made good progress during the first six months of 2007. Our profits after tax are up 5% despite the costs of our redomiciliation to Bermuda. Although market conditions are becoming more challenging, rates in our portfolio have remained stable, being less than 2% down on last year, and we expect full year premiums for 2007 to show a small increase on the 2006 equivalent. <br /><br />Although this is somewhat below our initial expectations, we strongly believe that our shareholders' interests are best served by maintaining our underwriting discipline, writing for profit rather than volume. For 2008 we are planning to reduce the capacity that we manage at Lloyd's by 14% to GBP847 million and to continue to focus on developing our distribution access and international reach.</p>