Syndicate Results 2019 #41 Syndicate 1945 Sirius

Active Underwriter S Acland

The Lloyd’s syndicates have now published their results and, in some cases, added detail and an outlook for 2020. As in the past two years, IMN is summarizing the results from all syndicates that have a marine interest which have provided some information on the marine side.

Syndicate CEO R Harman said that Syndicate 1945 had maintained its overall premium level in 2019, writing gross premiums of £96.6m (2018: £100.1m), but had altered the balance of business within the portfolio.

The 2019 underwriting year saw significant re-underwriting of the Property Direct and Facultative book alongside the introduction of new underwriters to increase the Energy and the Casualty businesses.

Losses continued to be reported from the previously underwritten Property book, attaching to the 2018 and prior underwriting years with movement in losses in the year amounting to $16m (£12.6m @ $1.27). This was in addition to a reduction in previously accrued for reinsurance recoveries on 2017 Hurricane losses of $4.3m which was impacted by the hours clause.

Underwriting results were more encouraging in the Syndicate’s Accident and Health, Casualty and Energy books.

The total result for the year was a loss of £15.0m (2018: loss of £14.4m) of which £10.5m of losses emanated from the 2018 underwriting year as it earned through during the course of 2019.

Harman said that, at time of writing, for the 2019 underwriting year the Syndicate remained on target to achieve the planned combined ratio of 97%.

The result for 2019 calendar year was a loss of £15.9m (2018: loss of £11.0m); and e total comprehensive income was a loss of £15.0m (2018: loss of £14.4m). The total recognized result on open years was a loss of £69.7m (2018: loss of £83.9m)

The Syndicate said that , in common with much of the London market the Syndicate continued to experience downward pressure on rates and limited opportunities for profitable growth during the year. The Syndicate continued to investigate additional opportunities for growth.

KPIs £000s 2019 2018
Gross written premium 96,591 100,064
Claims ratio 85.0% 73.6%
Expense ratio 34.2% 40.6%
Combined ratio 119.2% 114.2%

Sectors

2019 £000s GPW GPE GCI Op exps Reins Bal Total
Direct MAT 6,072 8,391 (6,871) (3,030) 835 (675)
Reinsurance 60,820 50,865 (42,255) (17,044) 752 (7,682)
Total 96,591 99,234 (82,489) (33,670) (1,494) (18,419)
2018 £000s GPW GPE GCI Op exps Reins Bal Total
Direct MAT 9,116 10,310 (5,121) (3,924) (2,370) (1,105)
Reinsurance 41,173 36,671 (18,051) (11,196) (4,304) 3,120
Total 100,064 98,788 (65,249) (33,722) (8,932) (9,115)

https://www.lloyds.com/investor-relations/financial-performance/syndicate-reports-and-accounts/2015/1945