Shareholders of Ace Limited are in line for an improved dividend pay out after the company's board of directors voted to lift the quarterly dividend from 25 cents to 27 cents per ordinary share.

Last year Ace, Bermuda's biggest reinsurance company, made a profit of $2.3 billion. In the first quarter of this year the company made a profit of $701 million and wrote gross premiums of $4.496bn.

The increased quarterly dividend will be payable on July 13 to shareholders of record at the close of business on June 29.

Ace's directors have also declared a dividend of $4.875 per cumulative redeemable preferred Series C share, payable on June 1 to shareholders of record at the close of business on May 31. This translates to 48.75 cents per Depositary Share.