With the 2017 numbers for the Lloyd’s syndicates now in, IMN over the next few weeks will report on the marine numbers for those syndicates with a significant interest in this area.
MAT profits rise at Munich Re syndicate 457
Munich Re’s Lloyd’s syndicate 457 (previously Watkins Syndicate 457) lowered the percentage it wrote in marine aviation and transport for 2017 to 49%, down from 60% in 2016. Greater focus was put on reinsurance (up to 35% from 29%), fire and other property damage (up to 10% from 7%) and “Other” (up from 4% to 6%).
Gross written premiums for 2017 in Marine, Energy, Aviation & Transport reached £207.1m, out of a total GWP of £423.4m. This compares with a restated £201.6m in 2016, out of a total of £356.2m.
Profit in Marine, Energy, Aviation & Transport for 2017 was £23.0m, compared with a loss of £7.99m the previous year. The total syndicate gain was £39.32m, up from £29.58m.
The Syndicate noted that the hurricane losses from Hurricanes Harvey, Irma and Maria “impacted several classes, including yacht, cargo, specie and liability”, but said that “reinsurance was well-placed to manage this sort of scenario”.
MRS said that last year “the syndicate saw an opportunity to provide some marine reinsurance capacity and, recruiting reinsurance expertise from Munich Re, put in place a marine reinsurance account during Q4 in preparation for a changing market”. MRS Ltd noted that “the market changes in the latter part of the year and the development of the new classes have resulted in the gross written income for 2017 stabilizing and increasing over 2016”.