Trading Statement

Catlin Group Limited
04 January 2007



4 January 2007

                     CATLIN GROUP LIMITED TRADING STATEMENT


HAMILTON, Bermuda - Catlin Group Limited ('CGL': London Stock Exchange), the
international specialty property/casualty insurer and reinsurer, today provides
a trading update.

2006 was a remarkably catastrophe-free year, and claims experience for the
non-catastrophe-exposed portfolio has been generally favourable. The Group's
underwriting portfolio performed strongly overall.

The 2007 renewal season has been broadly in line with expectations. Whilst rates
and conditions for catastrophe-exposed business continued to be robust, rates
for some non-catastrophe-exposed classes continued to be under pressure. Rates
are currently adequate for most classes of business underwritten by Catlin, and
Management looks ahead to 2007 with optimism.

Catlin's offer to acquire Wellington Underwriting plc was declared wholly
unconditional at 5.45pm on 18 December 2006. By 8am the following day, all
members of the combined underwriting staff were working from a new,
purpose-built underwriting floor on the ground level of Catlin's London office,
and the full integration of underwriting operations has since been completed.
The integration of financial and support functions is on schedule and will be
completed by the end of January, and all staff in London are expected to be
relocated by that time.

Catlin is also in the process of refinancing through the debt capital markets
the US$500 million bridge facility that was used to finance the acquisition of
Wellington.

Stephen Catlin, chief executive of Catlin Group Limited, said:

'We are looking forward to 2007 with confidence and enthusiasm in the light of
our successful acquisition of Wellington, the rapid integration of the two
businesses and our strong performance in 2006. The enlarged Catlin Group will
benefit from the attractive market environment that exists in many of the
specialty classes of insurance and reinsurance that we underwrite worldwide.'


                                    - ends -


For more information contact:

Media Relations:
James Burcke,                               Tel:     [phone]
Head of Communications, London              Mobile:  [phone]
                                            E-mail:  [e-mail]
                                                  
Liz Morley, Maitland                        Tel:     [phone]
                                            E-mail:  [e-mail]

Investor Relations:
William Spurgin,                            Tel:     [phone]
Head of Investor Relations, London          Mobile:  [phone]
                                            E-mail:  [e-mail]

Notes to editors:


1. Catlin Group Limited, headquartered in Bermuda, is an international
   specialist property/casualty insurer and reinsurer writing more than 30 
   classes of business worldwide. Catlin wrote gross premiums of US$1.4 billion 
   in 2005 and more than US$900 million in the six months ended 30 June 2006. 
   Catlin shares are traded on the London Stock Exchange (ticker symbol: CGL). 
   More information about Catlin can be found at www.catlin.com.

2. On 18 December 2006, Catlin's offer for the entire issued and to be
   issued share capital of Wellington Underwriting plc was declared 
   unconditional. The enlarged Catlin Group has a total net asset value of 
   US$1.9 billion.

3. Catlin operates four underwriting platforms:

   • The Catlin Syndicate at Lloyd's of London (Syndicate 2003) is a
     recognised leader of numerous classes of specialty insurance and 
     reinsurance. The Catlin Syndicate is the largest at Lloyd's in 2007 based 
     on premium capacity of up to £1.25 billion.

   • Catlin Bermuda (Catlin Insurance Company Ltd.), which underwrites
     property treaty and casualty treaty reinsurance and property and casualty
     insurance.

   • Catlin UK (Catlin Insurance Company (UK) Ltd.), which specialises in
     underwriting commercial non-life insurance for UK clients. It also writes 
     other classes of business written by the Catlin Syndicate.

   • Catlin US, which encompasses Catlin's operations based in the United
     States. Catlin US includes Catlin Insurance Company Inc., an admitted US 
     insurer which will commence operations soon, and Wellington Specialty 
     Insurance Company, a non-admitted insurer which will soon be rebranded 
     under the Catlin banner.  Catlin US has more than 15 underwriting offices 
     in the United States.

4. Catlin also operates offices worldwide which allow Catlin
   underwriters to work closely with local policyholders and brokers. The 
   offices are located in Canada (Toronto and Calgary), Australia (Sydney), 
   Singapore,Malaysia (Kuala Lumpur), Hong Kong, Germany (Cologne), Belgium 
   (Antwerp) and Guernsey. Catlin UK has regional offices in Glasgow, Leeds, 
   Derby, Birmingham,Watford and Tonbridge. Catlin recently announced that it 
   will open European offices in Paris, Barcelona, Zurich and Innsbruck in early 
   2007.




                      This information is provided by RNS
            The company news service from the London Stock Exchange