More than a slight drop for RSA

RSA Insurance, owner of the More Than brand, has reported a 14 per cent slide in annual profits as Britain's pre-Christmas snow and extreme conditions worldwide sent weather claims soaring £255 million more than normal.

Snow damage and burst pipe claims left it with UK claims of 110m more than expected in November and December alone, with the Chilean earthquake adding to its bill. The group, which has about a 6 per cent share of the UK household insurance market, posted pre-tax profits of 474m in 2010, down from 554m in 2009.

It said its UK result was "disappointing", with underwriting losses of 95m against profits of 75m in 2009 as the weather claims offset premium rate hikes. Motor insurance rates went up by 19 per cent on average and household insurance by 5 per cent.