Equitas, the company Lloyd’s established to handle all its run-off claims, has increased its reserves against asbestos claims by $996 million, adding to the $8 billion it has already dropped into the reserves over the past few years.

It’s a good indication of just how much kick the US asbestos claims market has. CEO Michael Crail said Equitas recognised two or three years ago that the asbestos situation was going to get worse. “Over the past year the number of major US and international insurance companies have announced well-publicised increases in their asbestos reserves,” he said, emphasising that Equitas was well ahead of the trend.