ATRIUM FORESEES FLAT PRICING IN 2007, SYND 570 TO CUT CAPACITY

Lloyd’s underwriter and managing agency Atrium plans to reduce its capacity at managed syndicate 570 to £125m from £150m “to achieve improved utilisation and hence return on capital”. Syndicate 609 plans to maintain its stamp capacity of £215m. Most other Lloyd’s syndicates have announced either flat or increased levels of capacity for 2007. Atrium’s underwriting portfolio is in six syndicates in all, totalling £155m, and the company will review its business plans for these syndicates in 2007 over the coming months, Atrium chairman elect James Joll said at the company’s annual general meeting on Friday. Reviewing the year to date and looking ahead to the remainder of this year and next, Mr Joll said that underwriting conditions remained generally attractive, with rates remaining strong in critical catastrophe zones, but softening or at best remaining stable elsewhere, although still “at attractive levels”. Performance to date had been broadly in line with expectations.