1171500--3/1/2006--PLATINUM_UNDERWRITERS_HOLDINGS

related topics

{loss, insurance, financial}

{regulation, change, law}

{interest, director, officer}

{financial, litigation, operation}

{operation, international, foreign}

{stock, price, share}

{capital, credit, financial}

{competitive, industry, competition}

{provision, law, control}

If the loss limitation methods and pricing models we employ are not effective, our financial condition or results of operations could be materially adversely affected. If we are required to increase our liabilities for losses and LAE, our operating results may be adversely affected. A downgrade in the ratings assigned to the Company could adversely affect our ability to write new business. Increased competition could adversely affect our profitability. Retrocessional reinsurance may become unavailable on acceptable terms. We are dependent on the business provided to us by reinsurance brokers and we may be exposed to liability for brokers failure to make payments to clients for their claims; in addition, there are ongoing industry-wide investigations relating to the conduct of insurance and reinsurance brokers. The current investigations into finite risk reinsurance products could have a material adverse effect on our financial condition or results of operations. The property and casualty reinsurance business is historically cyclical, and we expect to experience periods with excess underwriting capacity and unfavorable pricing. Our invested assets are subject to market volatility and interest rate and currency exchange rate fluctuation. It may be difficult to enforce service of process and judgments against us and our officers and directors. There are limitations on the ownership, transfer and voting rights of our Common Shares. Platinum Holdings is a holding company and, consequently, its cash flow is dependent on dividends, interest and other permissible payments from its subsidiaries. The imposition of U.S. corporate income tax on Platinum Holdings and its non-U.S. subsidiaries could adversely affect our results of operations. Under certain circumstances, you may be required to pay taxes on your pro rata share of the related person insurance income of Platinum Bermuda and of Platinum UK. A recently published IRS Revenue Ruling could be applied to recharacterize the insurance arrangements between Platinum US and Platinum Bermuda. We may become subject to taxes in Bermuda after 2016. Bermuda could be subject to sanctions by a number of multinational organizations which could adversely affect Bermuda companies. The regulatory system under which we operate and potential changes thereto, could significantly and adversely affect our business.

Full 10-K form ▸

1171500--3/1/2006--PLATINUM_UNDERWRITERS_HOLDINGS_LTD