ReAC redefines `disaster'

A spate of natural disasters has battered reinsurers such as Reinsurance Australia Corp. After hurricanes, floods and plane crashes began sucking capital out of the over-exposed reinsurer, ReAC suffered a ratings downgrade and heavy losses that put an end to its ability to write new business.

Managing director Mr Nick Steffey quit the company in May, reportedly frustrated by its underperformance.