HOUSTON, July 26, 2011 (GLOBE NEWSWIRE) -- HCC Insurance Holdings, Inc. (NYSE:HCC) today announced a $7.1 million pretax ($4.6 million after-tax) increase in net catastrophe losses related to first quarter 2011 catastrophes in Japan and New Zealand, due to revised estimates of the Company's exposures. Year-to-date 2011 estimated losses from these catastrophic events, after reinsurance and reinstatement premium, are $58.6 million pretax ($38.1 million after-tax).
The Company estimates catastrophe losses related to second quarter 2011 United States tornados, after reinsurance and reinstatement premium, of $14.7 million pretax ($9.6 million after-tax). These catastrophes impacted the Company's aviation, property treaty, property direct and facultative, and energy lines of business, mainly in its International segment. The after-tax loss from these second quarter 2011 events represents 0.3% of the Company's shareholders' equity at December 31, 2010.
Year-to-date 2011 estimated catastrophe losses total $73.3 million pretax ($47.7 million after-tax). The Company's ultimate losses from catastrophic events may differ materially from its current estimates due to the uncertainties involved in making such estimates.
John N. Molbeck, Jr., HCC Chief Executive Officer, commented, "Although worldwide industry catastrophe losses continue to be significant, HCC's after-tax losses for all such events in 2011 represent 1.4% of our shareholders' equity at December 31, 2010, which is within our expectations and within our reinsurance programs."
Headquartered in Houston, Texas, HCC Insurance Holdings, Inc. is a leading international specialty insurance group with offices across the United States and in the United Kingdom, Spain and Ireland. As of March 31, 2011, HCC had assets of $9.3 billion and shareholders' equity of $3.3 billion. HCC's major domestic and international insurance companies have financial strength ratings of "AA (Very Strong)" from Standard & Poor's Corporation, "A+ (Superior)" from A.M. Best Company Inc., "AA (Very Strong)" from Fitch Ratings, and "A1 (Good Security)" from Moody's Investors Service, Inc.
For more information about HCC, please visit http://www.hcc.com.
Forward-looking statements contained in this press release are made under "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995 and involve a number of risks and uncertainties. The types of risks and uncertainties which may affect the Company are set forth in its periodic reports filed with the Securities and Exchange Commission.