Insurer and reinsurer Catlin Group has reported increases in rates and gross written premium (GWP) as it recovers from last year’s catastrophe losses.

In its interim management statement, the company reports a 12% increase in GWP to $US1.6 billion ($1.6 billion) in the first quarter of 2012, compared with the first quarter of 2011.

Rates for catastrophe-exposed business increased 10% and average rates across the whole portfolio increased 4%.

The group did not incur any catastrophe losses during the first quarter.

CEO Stephen Catlin says he is pleased the market “is now heading in the right direction” for most classes of business.

“We expect market conditions to continue to improve as the year progresses,” he said.

Catlin estimates losses arising from the loss of cruise ship Costa Concordia will amount to $US35 million ($34.9 million), net of reinsurance.

Its international division, including Asia, Europe and Canada, posted a 27% increase in GWP to $US395 million ($394 million), due to new reinsurance business written by Catlin Re Switzerland.