LONDON (Bloomberg) — Kiln Plc, a Lloyd's of London insurer, said today is plans to set up a new parent company in Bermuda.

Kiln, which said its 2006 profit increased seven-fold on lower storm claims to $43.6 million pounds ($84 million), or 14.96 pence a share, from $5.8 million, or 2.74 pence a share in 2005,

joins Lloyd's insurers including Hiscox Ltd. in moving to Bermuda, where taxes and regulations are lower than in the U.K. The new parent company will be Kiln Ltd., and a new unit, Kiln Re, will have $160 million pounds of capital for underwriting reinsurance, the company said.

"Bermuda offers a favorable environment," said Chief Executive Officer Edward Creasy in the statement. "We expect that our new Bermudian operations will be complementary."

See tomorrow's Royal Gazette for full detail>