But it wasn’t all joy for the major European insurers. Struggling British insurer Royal & Sun Alliance (R&SA) has reported a $336.5 million after-tax loss for the first nine months, on top of a $339 million loss for the corresponding period last year.

The London insurer has its excuses, however. Earlier this year it had to increase its US reserves by $1.15 billion. A $2.1 billion share issue was also intended to protect its US reserves.

But R&SA’s net premiums for the first nine months dropped 17% to $11.8 billion. CEO Andy Haste said the group has “moved forward, but we still have work to do. 2004 will be a transitional year as the effects of the actions we’re taking work through the remaining US book.”