Dividends also took a hit with the insurer declaring a final dividend of 4c per share, down from the 33c payout a year ago,
after catastrophe claims contributed to a $ 632 million after tax cash loss during the second half.
AIG's profit fell 21 percent due to
higher catastrophe claims and weaker investment income, while Prudential got a profit boost from its annuities business.
Additionally, investors looking to invest in this space should seek out companies with a long track record and a healthy balance sheet that would be capable of weathering a sustained period of above -
average catastrophe claims.
Lloyd's made a # 516m loss in 2011 after paying out the
largest catastrophe claims on record — caused by earthquakes in Japan and New Zealand, storms in the US, and floods in Thailand and Australia.
Mr. Varga has substantial experience defending litigation
concerning catastrophe claims, ordinance or law coverage exposures, and complex business interruption claims involving a broad array of industries and professions.
He's a journalist so his writing style is much easier to follow than some of the other recent books on climate, but for me the clincher is the book is broken into two parts — the first half demolishes
the catastrophe claims of the alarmists, and the second looks at the real agenda, which few of the other climate books have gotten into.