UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 10-Q

[X]    QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934

For The Quarterly Period Ended March 31, 2007

OR

[ ]    TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from              to            

Commission File No. 34-0-26512

RENAISSANCERE HOLDINGS LTD.

(Exact name of registrant as specified in its charter)


Bermuda 98-014-1974
(State or Other Jurisdiction of (I.R.S. Employer
Incorporation or Organization) Identification Number)

Renaissance House, 8-20 East Broadway, Pembroke HM 19 Bermuda
(Address of principal executive offices)

(441) 295-4513
(Registrant’s telephone number, including area code)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    Yes [X]    No [ ]

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer or a non-accelerated filer (as defined in Rule 12b-2 of the Exchange Act).


Large accelerated filer [X], Accelerated filer [ ], Non-accelerated filer [ ].

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).    Yes [ ]    No [X]

The number of outstanding shares of RenaissanceRe Holdings Ltd.’s common shares, par value US $1.00 per share, as of April 23, 2007 was 72,261,618.

Total number of pages in this report: 42



RenaissanceRe Holdings Ltd.

INDEX TO FORM 10-Q


Part I – FINANCIAL INFORMATION  
Item 1    –Financial Statements  
  Consolidated Balance Sheets at March 31, 2007 (Unaudited) and December 31, 2006 3
  Unaudited Consolidated Statements of Operations for the three months ended March 31, 2007 and 2006 4
  Unaudited Consolidated Statements of Changes in Shareholders’ Equity for the three months ended March 31, 2007 and 2006 5
  Unaudited Consolidated Statements of Cash Flows for the three months ended March 31, 2007 and 2006 6
  Notes to Unaudited Consolidated Financial Statements 7
Item 2    –Management’s Discussion and Analysis of Financial Condition and Results of Operations 14
Item 3    –Quantitative and Qualitative Disclosures About Market Risk 38
Item 4    –Controls and Procedures 38
Part II – OTHER INFORMATION 39
Item 1    –Legal Proceedings 39
Item 1A –Risk Factors 40
Item 2    –Unregistered Sales of Equity Securities and Use of Proceeds 40
Item 3    –Defaults Upon Senior Securities 41
Item 4    –Submission of Matters to a Vote of Security Holders 41
Item 5    –Other Information 41
Item 6    –Exhibits 41
Signatures   –   RenaissanceRe Holdings Ltd. 42

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PART I — FINANCIAL INFORMATION

Item 1.    FINANCIAL STATEMENTS

RenaissanceRe Holdings Ltd. and Subsidiaries
Consolidated Balance Sheets
(in thousands of U.S. dollars)


  March 31, 2007 December 31, 2006
  (Unaudited) (Audited)
Assets    
Fixed maturity investments available for sale, at fair value    
(Amortized cost $3,120,059 and $3,078,416 at March 31, 2007 and December 31, 2006, respectively) $ 3,155,864 $ 3,111,930
Short term investments, at cost 2,183,564 2,410,971
Other investments, at fair value 620,576 592,829
Investments in other ventures, under equity method 239,021 227,075
Total investments 6,199,025 6,342,805
Cash and cash equivalents 270,608 214,399
Premiums receivable 538,720 419,150
Ceded reinsurance balances 116,020 133,971
Losses recoverable 248,599 301,854
Accrued investment income 41,881 41,234
Deferred acquisition costs 124,282 106,918
Receivable for investments sold 109,554 61,061
Other assets 138,427 147,634
Total assets $ 7,787,116 $ 7,769,026
Liabilities, Minority Interest and Shareholders’ Equity
Liabilities		    
Reserve for claims and claim expenses $ 2,109,864 $ 2,098,155
Reserve for unearned premiums 768,882 578,424
Debt 450,000 450,000
Subordinated obligation to capital trust — 103,093
Reinsurance balances payable 232,832 395,083
Payable for investments purchased 138,110 88,089
Other liabilities 104,300 125,401
Total liabilities 3,803,988 3,838,245
Minority Interest – DaVinciRe 679,568 650,284
Shareholders’ Equity    
Preference shares 650,000 800,000
Common shares 72,289 72,140
Additional paid-in capital 279,979 284,123
Accumulated other comprehensive income 27,420 25,217
Retained earnings 2,273,872 2,099,017
Total shareholders’ equity 3,303,560 3,280,497
Total liabilities, minority interest and shareholders’ equity $ 7,787,116 $ 7,769,026

The accompanying notes are an integral part of these financial statements.

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RenaissanceRe Holdings Ltd. and Subsidiaries
Consolidated Statements of Operations
For the three months ended March 31, 2007 and 2006
(in thousands of U.S dollars, except per share amounts)
(Unaudited)


  Three months ended
  March 31, 2007 March 31, 2006
Revenues    
Gross premiums written $ 632,729 $ 748,392
Net premiums written $ 571,027 $ 697,835
Increase in unearned premiums (208,409 )  (346,163 ) 
Net premiums earned 362,618 351,672
Net investment income 108,015 80,434
Net foreign exchange gains 5,167 3,023
Equity in earnings of other ventures 10,701 6,552
Other loss (2,203 )  (1,679 ) 
Net realized gains (losses) on investments 4,085 (16,756 ) 
Total revenues 488,383 423,246
Expenses    
Net claims and claim expenses incurred 145,992 99,178
Acquisition expenses 63,729 68,814
Operational expenses 28,524 20,931
Corporate expenses 7,004 5,739
Interest expense 11,979 9,301
Total expenses 257,228 203,963
Income before minority interest and taxes 231,155 219,283
Minority interest – DaVinciRe (29,107 )  (31,457 ) 
Income before taxes 202,048 187,826
Income tax expense (107 )  (183 ) 
Net income 201,941 187,643
Dividends on preference shares (11,136 )  (8,663 ) 
Net income available to common shareholders $ 190,805 $ 178,980
Net income available to common shareholders
per Common Share – basic		 $ 2.68 $ 2.52
Net income available to common shareholders
per Common Share – diluted		 $ 2.63 $ 2.49
Dividends declared per common share $ 0.22 $ 0.21

The accompanying notes are an integral part of these financial statements.

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RenaissanceRe Holdings Ltd. and Subsidiaries
Consolidated Statements of Changes in Shareholders’ Equity
For the three months ended March 31, 2007 and 2006
(in thousands of U.S. dollars)
(Unaudited)


  Three months ended
  March 31, 2007 March 31, 2006
Preference shares    
Balance – January 1 $ 800,000 $ 500,000
Redemption of Preference Shares (150,000 )  —
Balance – March 31 650,000 500,000
Common stock    
Balance – January 1 72,140 71,523
Exercise of options, and issuance of restricted stock and awards 345 358
Repurchase of shares (196 )  —
Balance – March 31 72,289 71,881
Additional paid-in capital    
Balance – January 1 284,123 279,762
Exercise of options, and issuance of restricted stock and awards 5,460 412
Repurchase of shares (9,604 )  —
Balance – March 31 279,979 280,174
Accumulated other comprehensive income    
Balance – January 1 25,217 4,760
Net unrealized gains (losses) on securities, net of adjustment
(see disclosure below)		 2,203 (2,672 ) 
Balance – March 31 27,420 2,088
Retained earnings    
Balance – January 1 2,099,017 1,397,795
Net income 201,941 187,643
Dividends on Common Shares (15,950 )  (15,029 ) 
Dividends on Preference Shares (11,136 )  (8,663 ) 
Balance – March 31 2,273,872 1,561,746
Total Shareholders’ Equity $ 3,303,560 $ 2,415,889
Comprehensive income    
Net income $ 201,941 $ 187,643
Other comprehensive income (loss) 2,203 (2,672 ) 
Comprehensive income $ 204,144 $ 184,971
Disclosure regarding net unrealized gains (losses)    
Net unrealized holding gains (losses) arising during period $ 6,288 $ (19,428 ) 
Net realized (gains) losses included in net income (4,085 )  16,756
Change in net unrealized gains (losses) on securities $ 2,203 $ (2,672 ) 

The accompanying notes are an integral part of these financial statements.

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RenaissanceRe Holdings Ltd. and Subsidiaries
Consolidated Statements of Cash Flows
For the three months ended March 31, 2007 and 2006
(in thousands of U.S. dollars)
(Unaudited)


  Three months ended
  March 31, 2007 March 31, 2006
Cash flows provided by operating activities    
Net income $ 201,941 $ 187,643
Adjustments to reconcile net income to net cash provided by operating activities    
Amortization and depreciation (2,812 )  (776 ) 
Net realized (gains) losses on investments (4,085 )  16,756
Equity in undistributed earnings of other ventures (10,701 )  5,915
Net unrealized gains included in investment income (22,576 )  (18,324 ) 
Net unrealized (gains) losses included in other loss (1,975 )  3,502
Minority interest in undistributed net income of DaVinciRe 29,107 31,457
Change in:    
Premiums receivable (119,570 )  (203,851 ) 
Ceded reinsurance balances 17,951 (5,722 ) 
Deferred acquisition costs (17,364 )  (30,851 ) 
Reserve for claims and claim expenses, net 64,964 (147,806 ) 
Reserve for unearned premiums 190,458 351,885
Reinsurance balances payable (162,251 )  (23,687 ) 
Other (12,457 )  (20,085 ) 
Net cash provided by operating activities 150,630 146,056
Cash flows provided by (used in) investing activities    
Proceeds from sales and maturities of investments available for sale 1,060,992 1,204,061
Purchases of investments available for sale (1,092,502 )  (1,427,747 ) 
Net sales of short term investments 227,407 31,995
Net (purchases) sales of other investments (5,171 )  97,817
Net cash provided by (used in) investing activities 190,726 (93,874 ) 
Cash flows (used in) provided by financing activities    
Dividends paid – common shares (15,950 )  (15,029 ) 
Dividends paid – preference shares (11,136 )  (8,663 ) 
Net increase in minority interest — 38,193
RenaissanceRe common share repurchase (4,968 )  —
Redemption of Series A preference shares (150,000 )  —
Redemption of capital securities (103,093 )  —
Net cash (used in) provided by financing activities (285,147 )  14,501
Net increase in cash and cash equivalents 56,209 66,683
Cash and cash equivalents, beginning of period 214,399 174,001
Cash and cash equivalents, end of period $ 270,608 $ 240,684

The accompanying notes are an integral part of these financial statements.

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RenaissanceRe Holdings Ltd. and Subsidiaries
Notes to Unaudited Consolidated Financial Statements
(Expressed in U.S. Dollars) (Unaudited)

1.  The consolidated financial statements have been prepared on the basis of accounting principles generally accepted in the United States (‘‘GAAP’’) for interim financial information and in conformity with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, these unaudited consolidated financial statements reflect all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation of the Company’s financial position and results of operations as at the end of and for the periods presented. All significant intercompany accounts and transactions have been eliminated from these statements. The preparation of unaudited consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from these estimates. The major estimates reflected in the Company’s consolidated financial statements include, but are not limited to, the reserve for claims and claim expenses, losses recoverable, including allowances for losses recoverable deemed uncollectible, estimates of written and earned premiums, the fair value of other investments and financial instruments and the Company’s deferred tax asset valuation allowance. This report on Form 10-Q should be read in conjunction with the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2006. RenaissanceRe Holdings Ltd. and Subsidiaries include the following principal entities:
•  RenaissanceRe Holdings Ltd. (‘‘RenaissanceRe’’ or the ‘‘Company’’), was formed under the laws of Bermuda on June 7, 1993. Through its subsidiaries, the Company provides reinsurance and insurance to a broad range of customers.
•  Renaissance Reinsurance Ltd. (‘‘Renaissance Reinsurance’’) is the Company’s principal subsidiary and provides property catastrophe and specialty reinsurance coverages to insurers and reinsurers on a worldwide basis.
•  The Company also manages property catastrophe and specialty reinsurance business written on behalf of joint ventures, principally including Top Layer Reinsurance Ltd. (‘‘Top Layer Re’’) and Starbound Holdings Ltd. (‘‘Starbound’’), both recorded under the equity method of accounting, and DaVinci Reinsurance Ltd. (‘‘DaVinci’’). The Company owns a minority equity interest in, but controls a majority of the outstanding voting power of, DaVinci’s parent, DaVinciRe Holdings Ltd. (‘‘DaVinciRe’’). The results of DaVinci and DaVinciRe are consolidated in the Company’s financial statements. Minority interests represent the interests of external parties with respect to the net income and shareholders’ equity of DaVinciRe. Renaissance Underwriting Managers Ltd., a wholly owned subsidiary, acts as exclusive underwriting manager for these joint ventures in return for fee-based income and profit participation.
•  The Company’s Individual Risk operations include direct insurance and quota share reinsurance written through the operating subsidiaries of Glencoe Group Holdings Ltd. (‘‘Glencoe Group’’). These operating subsidiaries principally include Stonington Insurance Company (‘‘Stonington’’), which writes business on an admitted basis, and Glencoe Insurance Ltd. (‘‘Glencoe’’) and Lantana Insurance Ltd. (‘‘Lantana’’), which write business on an excess and surplus lines basis, and also provide reinsurance coverage, principally through quota share contracts, which are analyzed on an individual risk basis.

Certain comparative information has been reclassified to conform to the current presentation. Because of the seasonality of the Company’s business, the results of operations and cash flows for any interim period will not necessarily be indicative of the results of operations and cash flows for the full fiscal year or subsequent quarters.

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2.  The Company purchases reinsurance and other protection to manage its risk portfolio and to reduce its exposure to large losses. The Company currently has in place contracts that provide for recovery of a portion of certain claims and claim expenses from reinsurers generally in excess of various retentions. The Company remains liable to the extent that any third-party reinsurer or other obligor fails to meet its obligations. The earned reinsurance premiums ceded were $79.7 million and $44.8 million for the three months ended March 31, 2007 and 2006, respectively. In addition to loss recoveries, certain of the Company’s ceded reinsurance contracts provide for recoveries of additional premiums, reinstatement premiums and for lost no-claims bonuses, which are incurred when losses are ceded to other reinsurance contracts. Total reinsurance recoveries netted against claims and claim expenses incurred for the three months ended March 31, 2007 were $29.4 million compared to $14.0 million for the three months ended March 31, 2006.
3.  Basic earnings per common share is based on weighted average common shares and excludes any dilutive effects of stock options and restricted stock. Diluted earnings per common share assumes the exercise of all dilutive stock options and restricted stock grants. The following tables set forth the computation of basic and diluted earnings per common share:

Three months ended March 31, 2007 2006
(in thousands of U.S. dollars, except share and per share data)    
Numerator:    
Net income available to common shareholders $ 190,805 $ 178,980
Denominator:    
Denominator for basic income per common share –    
Weighted average common shares 71,280,645 70,934,718
Per common share equivalents of employee stock options and restricted shares 1,232,917 851,707
Denominator for diluted income per common share –    
Adjusted weighted average common shares and assumed conversions 72,513,562 71,786,425
Basic income per common share $ 2.68 $ 2.52
Diluted income per common share $ 2.63 $ 2.49
4.  The Board of Directors of RenaissanceRe declared, and RenaissanceRe paid, a dividend of $0.22 per share to shareholders of record on March 15, 2007.

The Board of Directors has authorized a share repurchase program of $150.0 million, of which $138.2 million remained available at April 23, 2007. Future repurchases of common shares will depend on, among other matters, the market price of the common shares and the capital requirements of RenaissanceRe. See ‘‘Part II – Other Information – Item 2.’’

5.  The Company conducts its business through two reportable segments, Reinsurance and Individual Risk. The Company’s Reinsurance segment provides reinsurance through its property catastrophe reinsurance and specialty reinsurance business units and through joint ventures and other activities managed by its Ventures unit. Only Ventures’ business activities that appear in the Company’s consolidated underwriting results, such as DaVinci and certain reinsurance transactions, are included in the Company’s Reinsurance segment results.

The Company’s financial results relating to Top Layer Re, Starbound, ChannelRe Holdings Ltd. (‘‘ChannelRe’’) and Platinum Underwriters Holdings Ltd. (‘‘Platinum’’) are included in the Other category of the Company’s segment results. Also included in the Other category of the Company’s segment results are its weather related operating subsidiaries including Weather Predict Inc., Weather Predict Consulting Inc., RenRe Investment Managers Ltd. and Skyland Ltd.

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The Company’s Individual Risk segment provides primary insurance and quota share reinsurance.

The Company does not manage its assets by segment; accordingly, net investment income and total assets are not allocated to the individual segments.

A summary of the significant components of the Company’s revenues and expenses for the three months ended March 31, 2007 and 2006 is as follows:


Three months ended March 31, 2007 Reinsurance Individual Risk Eliminations (1) Other Total
(in thousands of U.S. dollars, except ratios)        
Gross premiums written $ 515,967 $ 123,316 $ (6,554 )  $ — $ 632,729
Net premiums written $ 476,219 $ 94,808   — $ 571,027
Net premiums earned $ 254,779 $ 107,839   — $ 362,618
Net claims and claim expenses incurred 92,127 53,865   — 145,992
Acquisition expenses 28,362 35,367   — 63,729
Operational expenses 18,191 10,333   — 28,524
Underwriting income $ 116,099 $ 8,274   — 124,373
Net investment income       108,015 108,015
Equity in earnings of other ventures       10,701 10,701
Other loss     (2,203 )  (2,203 ) 
Interest and preference share dividends       (23,115 )  (23,115 ) 
Minority interest – DaVinciRe     (29,107 )  (29,107 ) 
Other items, net       (1,944 )  (1,944 ) 
Net realized gains on investments       4,085 4,085
Net income available to common shareholders       $ 66,432 $ 190,805
Net claims and claim expenses incurred – current accident year $ 122,406 $ 70,659     $ 193,065
Net claims and claim expenses incurred – prior accident years (30,279 )  (16,794 )      (47,073 ) 
Net claims and claim expenses incurred – total $ 92,127 $ 53,865     $ 145,992
Net claims and claim expense ratio – current accident year 48.0 %  65.5 %      53.2 % 
Net claims and claim expense ratio – prior accident years (11.9 %)  (15.6 %)      (13.0 %) 
Net claims and claim expense ratio – calendar year 36.1 %  49.9 %      40.2 % 
Underwriting expense ratio 18.3 %  42.4 %      25.4 % 
Combined ratio 54.4 %  92.3 %      65.6 % 
(1) Represents gross premiums ceded from the Individual Risk segment to the Reinsurance segment.

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Three months ended March 31, 2006 Reinsurance Individual Risk Eliminations (1) Other Total
(in thousands of U.S. dollars, except ratios)        
Gross premiums written $ 583,774 $ 170,724 $ (6,106 )  $ — $ 748,392
Net premiums written $ 548,457 $ 149,378   — $ 697,835
Net premiums earned $ 213,373 $ 138,299   — $ 351,672
Net claims and claim expenses incurred 36,680 62,498   — 99,178
Acquisition expenses 28,506 40,308   — 68,814
Operational expenses 12,544 8,387   — 20,931
Underwriting income $ 135,643 $ 27,106   — 162,749
Net investment income       80,434 80,434
Equity in earnings of other ventures     6,552 6,552
Other loss       (1,679 )  (1,679 ) 
Interest and preference share dividends       (17,964 )  (17,964 ) 
Minority interest – DaVinciRe       (31,457 )  (31,457 ) 
Other items, net       (2,899 )  (2,899 ) 
Net realized losses on investments       (16,756 )  (16,756 ) 
Net income available to common shareholders       $ 16,231 $ 178,980
Net claims and claim expenses incurred – current accident year $ 75,713 $ 65,367     $ 141,080
Net claims and claim expenses incurred – prior accident years (39,033 )  (2,869 )      (41,902 ) 
Net claims and claim expenses incurred – total $ 36,680 $ 62,498     $ 99,178
Net claims and claim expense ratio – current accident year 35.5 %  47.3 %      40.1 % 
Net claims and claim expense ratio – prior accident years (18.3 %)  (2.1 %)      (11.9 %) 
Net claims and claim expense ratio – calendar year 17.2 %  45.2 %      28.2 % 
Underwriting expense ratio 19.2 %  35.2 %      25.5 % 
Combined ratio 36.4 %  80.4 %      53.7 % 
(1) Represents gross premiums ceded from the Individual Risk segment to the Reinsurance segment.

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6.  Recently Issued Accounting Pronouncements

Uncertain Tax Positions

The Company adopted the provisions of FASB Interpretation No. 48, Accounting for Uncertainty in Income Taxes (‘‘FIN 48’’), on January 1, 2007. The adoption of FIN 48 did not have a material impact on the Company’s consolidated statements of operations or financial condition for the quarter ended March 31, 2007.    

Fair Value Measurements

In September 2006, the FASB issued FASB Statement No. 157, Fair Value Measurements (‘‘FAS 157’’). FAS 157 clarifies the definition of fair value, establishes a framework for measuring fair value and expands disclosures about fair value measurements. FAS 157 clarifies that fair value is a market-based measurement, not an entity-specific measurement, and sets out a fair value hierarchy with the highest priority being quoted prices in active markets and the lowest priority to unobservable data. Further, FAS 157 requires tabular disclosures of the fair value measurements by level within the fair value hierarchy. FAS 157 is effective for financial statements issued for fiscal years beginning after November 15, 2007, and interim periods within those fiscal years. Earlier application is encouraged, provided that the reporting entity has not issued financial statements for that fiscal year, including any interim periods. The Company is currently evaluating the potential impact of FAS 157 on its statements of operations and financial condition when adopted.

The Fair Value Option for Financial Assets and Financial Liabilities

In February 2007, the FASB issued FASB Statement No. 159, The Fair Value Option for Financial Assets and Financial Liabilities    (‘‘FAS 159’’). FAS 159 permits an entity to choose, at specified election dates, to measure eligible financial instruments and certain other items at fair value that are not currently required to be measured at fair value. An entity shall report unrealized gains and losses on items for which the fair value option has been elected in earnings at each subsequent reporting date. Upfront costs and fees related to items for which the fair value option is elected shall be recognized in earnings as incurred and not deferred.  FAS 159 also establishes presentation and disclosure requirements designed to facilitate comparisons between entities that choose different measurement attributes for similar types of assets and liabilities.  FAS 159 is effective for financial statements issued for fiscal years beginning after November 15, 2007 and interim periods within those fiscal years.  An entity may adopt this standard and elect the fair value option for existing eligible items as of January 1, 2007, provided that the choice to adopt early shall be made after the issuance of this standard, but within 120 days of the beginning of the fiscal year of adoption. At the effective date, an entity may elect the fair value option for eligible items that exist at that date. The entity shall report the effect of the first remeasurement to fair value as a cumulative-effect adjustment to the opening balance of retained earnings. The Company is currently evaluating the potential impact of FAS 159 on its statements of operations and financial condition when adopted.

7.  The Company received a subpoena from the Securities and Exchange Commission (the ‘‘SEC’’) in February 2005, a subpoena from the Office of the Attorney General of the State of New York (the ‘‘NYAG’’) in March 2005, and a subpoena from the United States Attorney’s Office for the Southern District of New York in June 2005, each of which related to the industry-wide investigations into non-traditional, or loss mitigation, (re)insurance products. The subpoenas from the SEC and the United States Attorney’s Office also related to the Company’s business practice review and to its determination to restate its financial statements for the fiscal years ended December 31, 2003, 2002 and 2001. In addition, the Company understands that certain of its customers or reinsurers may have been asked to provide or have provided documents and information with respect to contracts to which the Company is a party in the framework of the ongoing industry-wide investigations.

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On February 6, 2007, the Company announced that the SEC had accepted its offer of settlement to the SEC to resolve the SEC’s investigation, pursuant to which the Company has consented, without admitting or denying any wrongdoing, to entry of a final judgment enjoining future violations of certain provisions of the federal securities laws, and to pay disgorgement of $1 and a civil penalty of $15.0 million. The Company will also retain an independent consultant to review certain of its internal controls, policies and procedures as well as the design and implementation of the review conducted by independent counsel reporting to the non-executive members of the Company’s Board of Directors and certain additional procedures performed by its auditors in connection with their audit of the Company’s financial statements for the fiscal year ended December 31, 2004. The amount of the monetary penalty discussed above was provided for in 2005. The settlement was approved by the United States District Court for the Southern District of New York pursuant to a final judgment entered on March 20, 2007. While the Company will strive to fully comply with the settlement agreement with the SEC, it is possible the Company will fail to do so, or that the enforcement staff of the SEC or the independent consultant may take issue with the Company’s cooperation despite its efforts. Any such failure to comply with the settlement agreement or to be perceived to have failed to so comply could adversely affect the Company, perhaps materially so.

In September 2006, the SEC filed an enforcement action in the United States District Court for the Southern District of New York against James N. Stanard, the Company’s former Chairman and Chief Executive Officer, Martin J. Merritt, the Company’s former controller, and Michael W. Cash, a former officer of RenaissanceRe charging Messrs. Stanard, Merritt and Cash with violations of federal securities laws, including securities fraud, and seeks permanent injunctive relief, disgorgement of ill-gotten gains, if any, plus prejudgment interest, civil money penalties, and orders barring each defendant from acting as an officer or director of any public company. Mr. Merritt, without admitting or denying the allegations in the SEC’s complaint, consented to a partial final judgment that will permanently enjoin him from violating or aiding or abetting future violations of the federal securities laws, bar him from serving as an officer or director of a public company, and defer the determination of civil penalties and disgorgement to a later date. In addition, Mr. Merritt agreed to an SEC administrative order barring him from appearing or practicing before the SEC as an accountant under Rule 102(e) of the SEC’s Rules of Practice. This ongoing matter could give rise to additional costs, distractions, or impacts to the Company’s reputation. It is possible that the ongoing investigation into the Company’s former officers could give rise to additional investigations or proceedings being commenced against the Company and/or its current or former senior executives in connection with these matters, which could be criminal or civil. While the Company intends to continue to cooperate with the ongoing investigations, the Company is unable to predict the ultimate outcome of these ongoing matters or the ultimate impact these investigations may have on the Company’s business, including as to its senior management team.

Beginning in July 2005, several putative class actions were filed in the United States District Court for the Southern District of New York in respect of the Company. In December 2005, these actions were consolidated and in February 2006, the plaintiffs filed a Consolidated Amended Complaint, purportedly on behalf of all persons who purchased and/or acquired the publicly traded securities of the Company between April 22, 2003 and July 25, 2005. The Consolidated Amended Complaint names as defendants, in addition to the Company, current and former officers of the Company (Messrs. Stanard, Riker, Lummis, Cash and Merritt) and alleges that the Company and the other named defendants violated the U.S. federal securities laws by making material misstatements and failing to state material facts about its business and financial condition in, among other things, SEC filings and public statements. The Consolidated Amended Complaint seeks compensatory damages without specifying an amount.

On February 14, 2007, the Company executed a memorandum of understanding with plaintiffs’ representatives setting forth an agreement in principle to settle the claims alleged in the Consolidated Amended Complaint, as amended. Pursuant to the terms of the agreement in principle, the Company does not make any admission of liability, and continues to deny any and

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all liability in connection with the allegations of the Consolidated Amended Complaint, as amended. The total amount to be paid in settlement of the claims is $13.5 million. A portion of this amount is expected to be offset by insurance recoveries. These amounts have been provided for in the Company’s financial statements. The settlement provides for the full release of all parties, including the Company and its present and former directors and officers, including without limitation the defendants who were named in the suits. The settlement is subject to, among other things, court review and approval and other customary conditions.

The Company’s operating subsidiaries are subject to claims litigation involving disputed interpretations of policy coverages. Generally, the Company’s primary insurance operations are subject to greater frequency and diversity of claims and claims-related litigation and, in some jurisdictions, may be subject to direct actions by allegedly-injured persons or entities seeking damages from policyholders. These lawsuits, involving claims on policies issued by the Company’s subsidiaries which are typical to the insurance industry in general and in the normal course of business, are considered in its loss and loss expense reserves which are discussed in its loss reserves discussion. In addition to claims litigation, the Company and its subsidiaries are subject to lawsuits and regulatory actions in the normal course of business that do not arise from or directly relate to claims on insurance policies. This category of business litigation may involve allegations of underwriting or claims-handling errors or misconduct, employment claims, regulatory activity or disputes arising from the Company’s business ventures. Any such litigation or arbitration contains an element of uncertainty, and the Company believes the inherent uncertainty in such matters may have increased recently and will likely continue to increase. Currently, the Company believes that no individual, normal course litigation or arbitration to which it is presently a party is likely to have a material adverse effect on its business or operations.

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Item 2.  MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

The following is a discussion and analysis of our results of operations for the three months ended March 31, 2007 and 2006. The following also includes a discussion of our financial condition at March 31, 2007. This discussion and analysis should be read in conjunction with the attached unaudited consolidated financial statements and notes thereto and the audited consolidated financial statements and notes thereto contained in our Annual Report on Form 10-K for the fiscal year ended December 31, 2006. This filing contains forward-looking statements that involve risks and uncertainties. Actual results may differ materially from the results described or implied by these forward-looking statements. We also direct readers to the Safe Harbor Disclosure included in this filing.

GENERAL

RenaissanceRe, established in Bermuda in 1993 to write principally property catastrophe reinsurance, is today a leading global provider of reinsurance and insurance. Through our operating subsidiaries, we seek to obtain a portfolio of reinsurance, insurance and financial risks in each of our businesses that are significantly better than the market average and produce an attractive return on equity. Overall, our strategy focuses on superior risk selection, active capital management, superior utilization of risk management and information systems, the development and enhancement of a high performance and ethical culture and our commitment to our clients and joint venture partners. We provide value to our clients in the form of financial security, innovative products, and responsive service. We are known as a leader in paying valid reinsurance claims promptly. We measure our financial success through long-term growth in tangible book value per common share plus accumulated dividends, which we believe is the most appropriate measure of the performance of our Company, and believe we have delivered superior performance in respect of this measure in the past.

Since a substantial portion of the reinsurance and insurance we write provides protection from damages relating to natural and man-made catastrophes, our results depend to a large extent on the frequency and severity of such catastrophic events, and the coverages we offer to clients affected by these events. We are exposed to significant losses from these catastrophic events and other exposures that we cover. Accordingly, we expect a significant degree of volatility in our financial results and that our financial results may vary significantly from quarter-to-quarter or from year-to-year, based on the level of insured catastrophic losses occurring around the world.

Our revenues are principally derived from three sources: 1) net premiums earned from the reinsurance and insurance policies we sell; 2) net investment income and realized gains from the investment of our capital funds and the investment of the cash we receive on the policies which we sell; and 3) other income received from our joint ventures and various other items.

Our expenses primarily consist of: 1) net claims and claim expenses incurred on the policies of reinsurance and insurance we sell; 2) acquisition costs which typically represent a percentage of the premiums we write; 3) operating expenses which primarily consist of personnel expenses, rent and other operating expenses; 4) corporate expenses which include certain executive, legal and consulting expenses, costs for research and development, and other miscellaneous costs associated with operating as a publicly traded company; 5) minority interest, which represents the interest of third parties with respect to the net income of DaVinciRe; and 6) interest and dividend costs related to our debt, preference shares and subordinated obligation to our capital trust. We are also subject to taxes in certain jurisdictions in which we operate; however, since the majority of our income is currently earned in Bermuda, a non-taxable jurisdiction, the tax impact to our operations has historically been minimal.

The operating results, also known as the underwriting results, of an insurance or reinsurance company are discussed frequently by reference to its net claims and claim expense ratio, underwriting expense ratio, and combined ratio. The net claims and claim expense ratio is calculated by dividing net claims and claim expenses incurred by net premiums earned. The underwriting expense ratio is calculated by dividing underwriting expenses (acquisition expenses and operational expenses) by net

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premiums earned. The combined ratio is the sum of the net claims and claim expense ratio and the underwriting expense ratio. A combined ratio below 100% generally indicates profitable underwriting prior to the consideration of investment income. A combined ratio over 100% generally indicates unprofitable underwriting prior to the consideration of investment income. We also discuss our net claims and claim expense ratio on an accident year basis. This ratio is calculated by taking net claims and claim expenses, excluding development on net claims and claim expenses from events that took place in prior fiscal years, divided by net premiums earned.

We conduct our business through two reportable segments, Reinsurance and Individual Risk. Those segments are more fully described as follows:

Reinsurance

Our Reinsurance segment has three main units:

1)  Property catastrophe reinsurance, written for our own account and for DaVinci, our traditional core business. We believe we are one of the world’s leading providers of this coverage, based on managed catastrophe gross premiums written. This coverage protects against large natural catastrophes, such as earthquakes, hurricanes and tsunamis, as well as claims arising from other natural and man-made catastrophes such as winter storms, freezes, floods, fires, wind storms, tornadoes, explosions and acts of terrorism. We offer this coverage to insurance companies and other reinsurers primarily on an excess of loss basis. This means that we begin paying when our customers’ claims from a catastrophe exceed a certain retained amount.
2)  Specialty reinsurance, written for our own account and for DaVinci, covering certain targeted classes of business where we believe we have a sound basis for underwriting and pricing the risk that we assume; our portfolio in 2007 includes various classes of business, such as catastrophe exposed workers’ compensation, surety, terrorism, medical malpractice, casualty clash, certain other casualty lines and other specialty lines of reinsurance that we collectively refer to as specialty reinsurance. We believe that we are seen as a market leader in certain of these classes of business, such as catastrophe-exposed workers’ compensation, surety, terrorism and casualty clash.
3)  Through Ventures, we pursue joint ventures and other strategic relationships. Our three principal business activities in this area are: 1) catastrophe-oriented joint ventures which we manage, such as Top Layer Re, DaVinci, Starbound and Timicuan Reinsurance Ltd. (‘‘Tim Re’’); 2) customized reinsurance transactions, such as offering participations in our catastrophe portfolio; and 3) investments in other market participants, such as our investments in ChannelRe and Platinum, and other activities which are directed at non-catastrophe classes of risk. Only business activities that appear in our consolidated underwriting results, such as DaVinci and certain reinsurance transactions, are included in our Reinsurance segment results; our share of the results of Top Layer Re, ChannelRe, Starbound, Tower Hill Holdings Inc. (‘‘Tower Hill’’) and Platinum are included in the Other category of our segment results.

Individual Risk

We define our Individual Risk segment to include underwriting that involves understanding the characteristics of the original underlying insurance policy. Our principal contracts include insurance contracts and quota share reinsurance with respect to risks including: 1) commercial multi-line, which includes commercial property and liability coverage, such as general liability, automobile liability and physical damage, building and contents, professional liability and various specialty products, and multi-peril crop insurance; 2) commercial property, which principally includes catastrophe-exposed commercial property products; and 3) personal lines property, which principally includes homeowners personal lines property coverage and catastrophe exposed personal lines property coverage.

Our Individual Risk business is primarily produced through three distribution channels: 1) program managers – where we write primary insurance through specialized program managers, who

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produce business pursuant to agreed-upon underwriting guidelines and provide related back-office functions; 2) quota share reinsurance – where we write quota share reinsurance with primary insurers who, similar to our program managers, provide most of the back-office and support functions; and 3) brokers – where we write primary insurance produced through licensed intermediaries on a risk-by-risk basis.

Our Individual Risk business is written by the Glencoe Group through its principal operating subsidiaries Glencoe and Lantana, which write on an excess and surplus lines basis, and through Stonington and Stonington Lloyds Insurance Company Ltd. (‘‘Stonington Lloyds’’), which write on an admitted basis. As noted above, in our Individual Risk business, we substantially rely on third parties for services including the generation of premium, the issuance of policies and the processing of claims. We actively oversee our third-party partners through an operations review team at Glencoe Specialty Services Inc., which conducts initial due diligence as well as ongoing monitoring.

New Business

In addition to our existing reinsurance and insurance businesses, from time to time, we consider opportunistic diversification into new ventures, either through organic growth, the formation of new joint ventures, or the acquisition of other companies or books of business of other companies. This potential diversification includes opportunities to write targeted classes of non-catastrophe business, both directly for our own account and through possible new joint venture opportunities.

In evaluating such new ventures, we seek an attractive return on equity, the ability to develop or capitalize on a competitive advantage, and opportunities that will not detract from our core Reinsurance and Individual Risk operations. Accordingly, we regularly review strategic opportunities and periodically engage in discussions regarding possible transactions, although there can be no assurance that we will complete any such transactions or that any such transaction would contribute materially to our results of operations or financial condition.

Modeling

We have developed a proprietary, computer-based pricing and exposure management system, Renaissance Exposure Management System (REMS©). REMS© has analytic and modeling capabilities that help us to assess the risk and return of each incremental reinsurance contract in relation to our overall portfolio of reinsurance contracts. Catastrophe exposure data is gathered from clients and this exposure data is input into our REMS© modeling system. The REMS© modeling system enables us to measure each policy on a consistent basis and provides us with a measurement of an appropriate price to charge for each policy based upon the risk that is assumed. We combine the analyses generated by REMS© with other information available to us, including our own knowledge of the client submitting the proposed program. While REMS© is most developed in analyzing catastrophe risks, it is also used for analyzing other classes of risk. Our tools for assessing non-catastrophe risks are less sophisticated and less well developed than those for catastrophe risks. We are working to better develop our analytical techniques relating to non-catastrophe risks.

REMS© combines computer-generated simulations that estimate event probabilities with exposure and coverage information on each client’s reinsurance contract to produce an estimate of expected claims for reinsurance programs submitted to us. We have also customized REMS© by including additional perils, risks and geographic areas that are not captured in commercially available models.

For our catastrophe exposed business in our Individual Risk segment, we are seeking to utilize proprietary modeling tools that have been developed in conjunction with the modeling and other resources utilized in our Reinsurance operations, as described above. We also combine these analyses with those of our Reinsurance segment to monitor our aggregate group catastrophic exposures. In general, our techniques for evaluating catastrophe risk are much better developed than those for other classes of risk.

SUMMARY OF CRITICAL ACCOUNTING ESTIMATES

The Company’s critical accounting estimates are discussed in Management’s Discussion and Analysis of Financial Condition and Results of Operations found in our Annual Report on Form 10-K for the year ended December 31, 2006 filed with the SEC on March 1, 2007.

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SUMMARY OF RESULTS OF OPERATIONS

For the three months ended March 31, 2007 compared to the three months ended March 31, 2006

Summary Overview


Three months ended March 31 2007 2006 Change
(in thousands of U.S. dollars, except per share amounts and ratios)      
Gross premiums written $ 632,729 $ 748,392 $ (115,663 ) 
Net premiums written 571,027 697,835 (126,808 ) 
Net premiums earned 362,618 351,672 10,946
Net claims and claim expenses incurred 145,992 99,178 46,814
Underwriting income 124,373 162,749 (38,376 ) 
Net investment income 108,015 80,434 27,581
Net realized gains (losses) on investments 4,085 (16,756 )  20,841
Net income available to common shareholders 190,805 178,980 11,825
Net income available to common shareholders
per Common Share – diluted		 $ 2.63 $ 2.49 $ 0.14
Net claims and claim expense ratio –
current accident year		 53.2 %  40.1 %  13.1 % 
Net claims and claim expense ratio –
prior accident years		 (13.0 %)  (11.9 %)  (1.1 %) 
Net claims and claim expense ratio – calendar year 40.2 %  28.2 %  12.0 % 
Underwriting expense ratio 25.4 %  25.5 %  (0.1 %) 
Combined ratio 65.6 %  53.7 %  11.9 % 

At March 31, 2007 and December 31, 2006 March 31, 2007 December 31, 2006 Change % Change
Book value per common share $ 36.71 $ 34.38 $ 2.33 6.8 % 
Accumulated dividends per common share 6.34 6.12 0.22 3.6 % 
Book value per common share plus accumulated dividends $ 43.05 $ 40.50 $ 2.55 6.3 % 

Net income available to common shareholders was $190.8 million in the first quarter of 2007, compared to $179.0 million in the first quarter of 2006. Net income available to common shareholders per fully diluted common share was $2.63 for the first quarter of 2007, compared to $2.49 in the first quarter of 2006. The increase in our net income was primarily due to a $27.6 million increase in our net investment income, a $20.8 million increase in net realized gains on investments and a $10.9 million increase in our net premiums earned, and partially offset by a $46.8 million increase in net claims and claim expenses.

Included in our first quarter 2007 results is $45.3 million of net negative impact from European windstorm Kyrill (‘‘Kyrill’’) which occurred in January 2007. Net negative impact includes net claims and claims expenses incurred of $78.1 million, partially offset by net reinstatement premiums earned of $7.2 million and minority interest of $25.6 million. This estimate is based on a review of potentially exposed contracts, information reported by counterparties, discussions with counterparties and the Company’s estimate of losses related to those contracts and is subject to change as more information is reported and becomes available. Such information is frequently reported more slowly, and with less initial accuracy, with respect to non-U.S. events such as Kyrill than with large U.S. losses. The net negative impact from Kyrill is all attributable to the Company’s Reinsurance segment.

Book value per common share increased $2.33 to $36.71 at March 31, 2007, compared to $34.38 at December 31, 2006. Book value per common share plus accumulated dividends increased $2.55 to $43.05 at March 31, 2007, compared to $40.50 at December 31, 2006. The growth in book value per

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share was driven by our net income of $190.8 million, a $2.2 million increase in accumulated other comprehensive income, less $16.0 million of common dividends. Common shares outstanding increased by 0.2 million to 72.3 million at March 31, 2007 from 72.1 million at December 31, 2006.

Underwriting Results

In the first quarter of 2007, we generated $124.4 million of underwriting income, compared to $162.7 million in the first quarter of 2006. The decrease in underwriting income was driven by higher net claims and claim expenses as discussed below. We had a combined ratio of 65.6%, a net claims and claim expense ratio of 40.2% and an underwriting expense ratio of 25.4%, in the first quarter of 2007, compared to a combined ratio, net claims and claim expense ratio and underwriting expense ratio of 53.7%, 28.2% and 25.5%, respectively, in the first quarter of 2006.

Gross premiums written decreased $115.7 million to $632.7 million in the first quarter of 2007, compared to $748.4 million in the first quarter of 2006. The decrease in gross premiums written was principally due to less favorable pricing and terms for the first quarter of 2007 renewals, compared to the first quarter of 2006, for both our Reinsurance and Individual Risk segments. The less favorable pricing was principally driven by a softening market following the low level of insured catastrophe losses occurring during 2006. Gross premiums written in our Reinsurance segment decreased $67.8 million: property catastrophe gross premiums written decreased $41.7 million while specialty reinsurance gross premiums written decreased $26.1 million; and gross premiums written in our Individual Risk segment decreased $47.4 million. Net premiums written decreased $126.8 million in the first quarter of 2007 to $571.0 million from $697.8 million in the first quarter of 2006. The decrease in net premiums written was primarily due to the decrease in gross premiums written noted above and an $11.1 million increase in ceded premiums written in the first quarter of 2007 compared to the first quarter of 2006. Net premiums earned increased $10.9 million to $362.6 million in the first quarter of 2007, compared to $351.7 million in the first quarter of 2006 due to the Company’s 2006 growth in net premiums written, which continue to be earned into 2007.

Net claims and claim expenses increased by $46.8 million to $146.0 million in the first quarter of 2007 compared to $99.2 million in the same quarter of 2006, primarily due to $78.1 million of current accident year losses related to Kyrill. We experienced $47.1 million of favorable development on prior year reserves in the first quarter of 2007, compared to $41.9 million of favorable development in the first quarter of 2006. Operating expenses increased by $7.6 million to $28.5 million in the first quarter of 2007, compared to $20.9 million in the first quarter of 2006. The increase in such expenses was primarily due to the Company’s growth in 2006 which has led to an increase in the number of employees and higher compensation related expenses.

Underwriting Results by Segment

We conduct our business through two reportable segments, Reinsurance and Individual Risk. Our Reinsurance segment provides reinsurance through our catastrophe reinsurance and specialty reinsurance business units and through Ventures. Our Individual Risk segment provides primary insurance and quota share reinsurance.

Reinsurance Segment

Our Reinsurance operations are comprised of three business components: 1) property catastrophe reinsurance, primarily written through Renaissance Reinsurance and DaVinci; 2) specialty reinsurance, primarily written through Renaissance Reinsurance and DaVinci; and 3) certain activities of Ventures.

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Below is a summary of the underwriting results and ratios for our Reinsurance segment followed by an analysis of our property catastrophe reinsurance unit and specialty reinsurance unit underwriting results and ratios for the three months ended March 31, 2007 and 2006:

Reinsurance segment overview


Three months ended March 31, 2007 2006 Change
(in thousands of U.S. dollars, except ratios)      
Gross premiums written (1) $ 515,967 $ 583,774 $ (67,807 ) 
Net premiums written $ 476,219 $ 548,457 $ (72,238 ) 
Net premiums earned 254,779 213,373 41,406
Net claims and claim expenses incurred 92,127 36,680 55,447
Acquisition expenses 28,362 28,506 (144 ) 
Operational expenses 18,191 12,544 5,647
Underwriting income $ 116,099 $ 135,643 $ (19,544 ) 
Net claims and claim expenses incurred – current accident year $ 122,406 $ 75,713 $ 46,693
Net claims and claim expenses incurred – prior accident years (30,279 )  (39,033 )  8,754
Net claims and claim expenses incurred – total $ 92,127 $ 36,680 $ 55,447
Net claims and claim expense ratio – current accident year 48.0 %  35.5 %  12.5 % 
Net claims and claim expense ratio – prior accident years (11.9 %)  (18.3 %)  6.4 % 
Net claims and claim expense ratio – calendar year 36.1 %  17.2 %  18.9 % 
Underwriting expense ratio 18.3 %  19.2 %  (0.9 %) 
Combined ratio 54.4 %  36.4 %  18.0 % 
(1) Reinsurance gross premiums written includes $6.6 million and $6.1 million of premiums assumed from the Individual Risk segment for the three months ended March 31, 2007 and 2006, respectively.

Reinsurance Segment Gross Premiums Written   –   Gross premiums written in our Reinsurance segment decreased by $67.8 million to $516.0 million in the first quarter of 2007, compared to the first quarter of 2006. The decrease is principally due to less favorable pricing and terms for the first quarter of 2007 renewals, compared to the first quarter of 2006. The less favorable pricing was principally driven by a softening market following the low level of insured catastrophe losses occurring during 2006. Our Reinsurance segment results have been increasingly impacted in recent periods by a certain number of comparably large transactions with significant clients.

Reinsurance Segment Underwriting Results   –   Our Reinsurance segment generated $116.1 million of underwriting income in the first quarter of 2007, compared to $135.6 million in the first quarter of 2006, a decrease of $19.5 million. The decrease in underwriting income was primarily due to an increase in net claims and claim expenses of $55.4 million principally related to Kyrill and an increase in operational expenses of $5.6 million, partially offset by an increase in net premiums earned of $41.4 million. In the first quarter of 2007, our Reinsurance segment generated a net claims and claim expense ratio of 36.1%, an underwriting expense ratio of 18.3% and a combined ratio of 54.4%, compared to 17.2%, 19.2% and 36.4%, respectively, in the first quarter of 2006. Current accident year losses of $122.4 million increased $46.7 million from $75.7 million in the first quarter of 2006 due primarily to Kyrill as discussed above. During the first quarter of 2007 and 2006, we had favorable development of $30.3 million and $39.0 million, respectively, which was primarily due to reported claims and claim expenses on prior year reserves coming in less than expected in our specialty reinsurance business unit.

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We have entered into joint ventures and specialized quota share cessions of our book of business. In accordance with the joint venture and quota share agreements, we are entitled to certain fee income and profit commissions. We record these fees and profit commissions as a reduction in acquisition and operating expenses and, accordingly, these fees have reduced our underwriting expense ratios. These fees totaled $4.0 million and $1.2 million for the first quarters of 2007 and 2006, respectively, and resulted in a corresponding decrease to the Reinsurance segment underwriting expense ratio of 1.6% and 0.6% for the first quarters of 2007 and 2006, respectively. In addition, we are entitled to certain fee income and profit commissions from DaVinci. Because the results of DaVinci, and its parent DaVinciRe, are consolidated in our results of operations, these fees and profit commissions are eliminated in our consolidated financial statements and are principally reflected in minority interest. The net impact of all fees and profit commissions related to these joint ventures and specialized quota share cessions within our Reinsurance segment was $13.3 million and $9.4 million for the first quarters of 2007 and 2006, respectively.

Catastrophe

Catastrophe overview


Three months ended March 31, 2007 2006 Change
(in thousands of U.S. dollars, except ratios)      
Property catastrohpe gross premiums written      
Renaissance $ 240,027 $ 283,797 $ (43,770 ) 
DaVinci 158,937 156,913