Earthquakes in Chile, New Zealand, and floods in Australia led to the profit decline in insurance market Lloyd’s of London. The profit rate was dropped to 43% to £2.2 billion.

However, the specialist insurance market, which is made up of 85 underwriting syndicates, revealed that it was too early to give an estimate on the bill from Japanese quake and tsunami.

The final estimate will be given in May, but still, according to the estimate, £39 billion has been lost.

The estimate suggested that claims will reach to £22 billion for the Japanese crisis, excluding tsunami damage. The heavy share falls has been noticed by the Lloyd’s members after the estimate.

According to the Catastrophe risk expert AIR Worldwide announced that for the earthquake damage in Japan the insurance loss could increases between 14.6 billion dollars (£9 billion) and 34.6 billion (£21.5 billion).

Meanwhile, the loss including tsunami could increase above 60 billion dollars (£37 billion).

Richard Ward, Chief Executive of Lloyd’s said that in 2010 there has been higher than an average number of natural catastrophes. He said that 2011 had already been an “extraordinary year of tragic natural disasters”.


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