Comment on A.M. Best

Catlin Group Limited
19 October 2006


                    CATLIN COMMENTS ON A.M. BEST'S DECISION
                        TO REVIEW SUBSIDIARIES' RATINGS

HAMILTON, Bermuda - Catlin Group Limited ('CGL': London Stock Exchange), the
international speciality property/casualty insurer and reinsurer, is surprised
by the decision of A.M. Best Company to place the financial strength and issuer
credit ratings of Catlin Insurance Company Limited and other Catlin Group
companies under review with negative implications.

A.M. Best in its announcement attributed the review to concerns relating to
Catlin's consolidated catastrophe exposure and the likely future impact of major
events on risk-adjusted capitalisation.

Catlin believes that such concerns are unwarranted. During the past year, Catlin
has strengthened its financial security and made the Group more resilient in the
event of a major catastrophe. The Group has reduced by one-third its exposure to
natural catastrophe risk compared with a year earlier. Catlin has also further
diversified its already balanced underwriting portfolio to increase the amount
of non-catastrophe related risk it writes. It has increased the Group's capital
by approximately US$65 million through a placement of new common shares.
Catlin's strong first half 2006 underwriting performance produced net income of
US$147.3 million and a combined ratio of 84.7%.

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

'We are puzzled by A.M. Best's decision to place the ratings of Catlin Group
companies under review, especially in the light of our performance and
achievements during 2006. Catlin is widely regarded as having a conservative
underwriting philosophy and strong focus on all aspects of risk management. We
will concentrate our efforts to engage in constructive communication with A.M.
Best to alleviate any concerns Best may have regarding Catlin's catastrophe
exposures.'

Catlin Insurance Company Ltd (Catlin Bermuda) and Catlin Insurance Company (UK)
Limited (Catlin UK) have financial strength ratings of 'A' (Excellent) and issue
credit ratings of 'a' from A.M. Best. Catlin Group Limited has an issuer credit
rating of 'bbb' from A.M. Best.

Lloyd's Syndicate 2003 (the Catlin Syndicate) has an 'A' (Excellent) Lloyd's
Syndicate Rating, which is not under review by A.M. Best.

                                    - 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,
Head of Investor Relations,
London                            Tel:        [phone]
                                  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 $1.4 billion in 
   2005. Catlin shares are traded on the London Stock Exchange (ticker symbol: 
   CGL). More information about Catlin can be found at www.catlin.com.

2. Catlin operates four underwriting platforms:

• The Catlin Syndicate at Lloyd's of London (Syndicate 2003), which is one of 
  the largest syndicates at Lloyd's based on 2006 premium capacity of £450 
  million. It is a recognised leader of numerous classes of specialty insurance
  and reinsurance.

• 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 all of Catlin's operations in the United States. 
  Catlin US includes Catlin Insurance Company Inc., an admitted US insurer which 
  will commence operations soon, along with underwriting offices in Atlanta, New 
  York, Houston, New Orleans and San Francisco. Catlin US has also announced 
  plans to establish a non-admitted insurer in the United States.

The Catlin Syndicate, Catlin Bermuda and Catlin UK have financial strength
ratings of 'A' (Excellent) from A.M. Best Company. Catlin Bermuda and Catlin UK
have insurance financial strength ratings of 'A-' (Strong) from Standard &
Poor's; the Catlin Syndicate has a Lloyd's Syndicate Assessment of '4-' (Low
Dependency) from Standard & Poor's.

3. 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.



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