Article: Reinsurer capital levels rising, but investors remain wary; Industry strongerbut not yet recoveredfrom financial crisis.(Swiss Reinsurance Co. )(Paris Re Holdings Ltd.)

Byline: MICHAEL BRADFORD

Reinsurers are increasing their capital as the financial crisis eases, but they remain short of where they'd like to be and are wary of factors that could hinder capital growth, market participants said during the Rendez-Vous de Septembre reinsurance gathering.

A report by Aon Benfield released during the Monte Carlo, Monaco, meeting showed reinsurers have begun to improve their capital positions that eroded in 2008. The report tracking financial results of the world's 24 largest reinsurers said improved investment returns have helped the companies add capital in the first half of this year.

But even so, capital remains ...

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