Omega Insurance Holdings Ltd.'s full-year pretax profits rose 163 percent following a robust performance in its underwriting business and maturing earnings streams as market conditions remained steady in most core areas.

The Bermuda-headquartered re/insurer said it is positive about its ability to grow profitability and its overall level of income in 2008 and beyond.

But, it warned the insurance market is experiencing a 'general softening' and said that a lack of major catastrophic loss in 2007 led to a weakening of market conditions in some areas.

The board approved an additional dividend of 16.3 cents per share for 2007 and re-iterated its intention to pay a substantial part of the group's earnings as dividends in future.

Pre-tax profits for the calendar 2007 came in at $59.5 million, against $22.6 million the previous year, while gross written premiums were 110 percent higher at $242.9 million. The group's combined ratio rose to 79.3 percent from 78.8 percent.

Chief executive Richard Tolliday said the company's core business lines continue to offer attractive margins.