The boss of "boring" car insurer Admiral was given a jolt yesterday after shares in the FTSE 100 Index firm were among the worst hit in the market turmoil.
Chief executive Henry Engelhardt reported another "good" quarter of trading and told investors that being a "boring car insurer" had its benefits in the current financial turmoil.
The company said it was on track to meet or exceed City profit esti
mates for 2008, but this was not enough to prevent shares in the owner of Elephant.co.uk and Diamond from falling by as much as 15 per cent.
It was among a number of insurers caught in the market sell-off as investors worried about the threat of a global recession. Mr Engelhardt, who has a 15 per cent stake in the business, said the company's UK business continued to go from "strength to strength".
"We're growing at a double-digit pace in both vehicles insured and premium income. In addition, prices are moving up while claim trends are leading to improved profitability."
Yesterday's update showed that the number of UK vehicles insured rose 13 per cent year on year to 1.55 million, helping group turnover up by 13 per cent to £718m.
The progress was overshadowed by further pressure on Admiral's comparison site Confused.com, which reported turnover in line with 2007 and continued pressure on margins.
Cardiff-based Admiral is seen as being better placed than most firms to cope with a potential recession due to its reliance on cars.
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