Markel Corporation reported a 50% increase in net income for the three months to June 30, 2006. Net income for the three months to June 30, 2006 was $90.4 million or $9.11 per share compared to net income of $60.2 million or $5.95 per share for the same period in 2005.

The combined ratio for the second quarter of 2006 was 86% compared to 92% in 2005. Gross written premiums in the second quarter of 2006 were $678.7 million an increase of 11% compared to $608.8 million in 2005.  Alan I. Kirshner, Chairman and Chief Executive Officer, commented, “Both our underwriting performance and premium volume growth were strong in the first half of 2006.  The London Insurance Market segment’s second quarter combined ratio of 96%, as well as favourable development of prior years’ loss reserves in the Excess and Surplus Lines segment contributed to our success.  Gross premium volume grew 11% in the second quarter of 2006 and continued to exceed our expectations.  This growth resulted primarily from rate increases for catastrophe-exposed product lines and further expansion of new programs as we continued to experience strong competition in our professional liability and casualty programs.”   

Gross written premiums at Markel International in the second quarter of 2006 were $201.3 million an increase of 12% compared to $179.0 million in the second quarter of 2005. The increase in gross written premiums at Markel International was primarily due to rate increases achieved by the Marine and Energy, Non-Marine Property and Specialty divisions. The combined ratio at Markel International for the second quarter of 2006 was 96% compared to 103% in 2005.

Andy Davies, Finance Director at Markel International, commented: “The excellent results for the second quarter reflect the significant rate increases we have been experiencing on catastrophe-exposed business, favourable development on prior year loss reserves and a reduction in the expense ratio as a consequence of premium growth on a stable expense base.”

Ends

For further information:
Derah McCall
Markel International
020 7953 6732

Notes to editors:
Markel International Limited is a specialty property and casualty insurer. Based in London and comprising the international operations of Markel Corporation, it wrote gross premiums in 2005 of $641 million. It has five operating divisions writing business either through Markel Syndicate 3000 or through Markel International Insurance Company Limited. Markel Corporation is a US listed business, capitalised at around $3.5 billion, which in 2005 wrote gross premiums of $2.4 billion.
www.markelintl.com