Bermuda-based Omega Insurance Holdings Ltd. saw insurance sale rise by almost a fifth during the first quarter.

In its interim statement on the first three months of this year, Omega said gross written premiums rose 18 percent to $124.5 million, compared to $105.5 million in the same period of 2009.

The company, which sells both insurance and reinsurance, said its net losses from February's Chile earthquake would be around $23 million.

Meanwhile losses from the Deepwater Horizon oil rig, which blew up and sank in the Gulf of Mexico last month, were estimated at $5.6 million.

"The results for the period reflect the high level of natural catastrophes, the large Deepwater Horizon rig loss; costs associated with the SGM and continued prudent underwriting," said Richard Pexton, Omega's chief executive officer.

"It is pleasing to see premium growth, as a result of growing our newer platforms and our increased participation on the Syndicate. John Coldman and I look forward to concluding our review and reporting to shareholders in due course."

Omega also said a benign US catastrophe loss experience during 2009 had resulted in overcapacity in the US reinsurance market. The company had seen rate reductions of five percent to 10 percent were given during the January 1 renewal season, but said overall margins still remained attractive.

The investment return for the first three months of 2010 was 0.7 percent or 2.7 percent on an annualised basis, as Omega continued a conservative stance towards asset allocation through the period.

Total cash and investments increased by 0.7 percent in the quarter to $614.6 million, compared to $610.2 million in 2009.

Omega added that is has no material exposure via its fixed income or money market portfolios to Greece, Portugal, Ireland or Spain.