Arch names Finelli

Arch Insurance Group, a division of Bermuda-based Arch Capital Group Ltd., has announced that Bob Finelli has been named senior vice president for its global property division, effective May 24.

Mr. Finelli's roles and responsibilities include overseeing the day to day and long-term operations of Arch's global property division, including its strategic planning and business development.

Best affirms Rembrandt's 'A' financial strength rating

A.M. Best Co. announced that it has affirmed the "A" (Excellent) financial strength rating of Rembrandt Insurance Company Ltd., a Bermuda-domiciled captive operation of Vitol Holding B.V (Rotterdam), a global oil trading company. The rating outlook remains stable.

"The rating reflects Rembrandt's superior risk-adjusted capital position and consistent operating profitability," said Best. "The company has reported operating profits in each of the last eleven years, and A.M. Best believes this trend is likely to continue, supported by a combined ratio of approximately 55 percent at year-end 2004. Due to the exceptionally small number of claims in recent years and the fact that the company transfers the majority of earned premiums to IBNR reserves each year, net IBNR reserves were $13.2 million or 68 percent of net outstanding claims at 31 December 2003. A.M. Best believes this prudent approach to reserving is likely to continue in 2004 and 2005."

Best indicated that it considered the reinsurer's "lack of business diversification," as an offsetting factor.

However, the bulletin noted that the "company's prime objective is to write group insurance for Vitol Holding B.V. and, as such, it has a limited spread of business classes and the number of contracts written is small. Marine cargo and charterers liability accounted for 90 percent of gross premium written in 2003."

Best said it "believes there is unlikely to be any significant change in the company's risk profile in the medium term."