AGM Statement

Amlin PLC
24 May 2007



AMLIN PLC

PRESS RELEASE

For immediate release

24 May 2007



AGM STATEMENT AND UPDATE ON TRADING


At its Annual General Meeting held today, the Chairman of Amlin plc ('Amlin' or
'the Group'), the leading insurer, will provide the following update on trading.


Trading environment


The Group writes a diverse portfolio of insurance and reinsurance business.
Whilst we continue to experience varying trading conditions across our classes,
much of our non-marine, marine and Bermudian operations are trading in a well
priced environment and offer good prospective margins. These areas represent
approximately 80% of our expected premiums for 2007.


In particular US catastrophe reinsurance pricing is still strong, although it is
off the peaks achieved in the run up to the 2006 US hurricane season. Early
indications for forthcoming Florida renewals are encouraging and the effect of
the decision by the State of Florida to increase its hurricane protection fund
is anticipated to be less than initially expected. International catastrophe
reinsurance rates have come under greater pressure as more reinsurers have
sought to increase the diversity of their portfolios. For example, prices for
the recent Japanese catastrophe excess of loss renewals were down approximately
6% on average relative to last year.


For US exposed direct property insurance, pricing is still acceptable although
increased competition from some US domestic carriers offering materially
increased lines and recent new entrants is placing greater downward pressure on
rates. Gulf of Mexico energy rates remain strong and international hull rates
remain firmer following a series of market losses in the first quarter.


The trading conditions in our other two divisions, UK commercial and aviation,
remain competitive. In this environment our teams have remained focused on good
risk selection and profitability.


Premiums written and exposures


The Group's written premium in the first four months ended 30 April 2007 is down
modestly compared to the same period in 2006, however most major modelled
catastrophe losses have also been reduced.


The Group's gross written premium (before deduction of brokerage costs) in the
first four months ended 30 April 2007 was £593.0 million (2006: £604.3 million
at April 2007 rates of exchange rates).


Syndicate 2001's gross written premium was £519.5 million, approximately 5%
less, at comparable rates of exchange, than in the first four months of 2006. Of
this income, £21.4 million (2006: £20.1 million) was specifically written to be
ceded to Amlin Bermuda and up to a further 12.5% will be ceded to Bermuda under
a whole account quota share reinsurance contract.


Amlin Bermuda has written $144.4 million of direct income in the first four
months, together with the reinsurances of Syndicate 2001 noted above. This is an
increase of 26% at comparable rates of exchange over the same period in 2006.
The rate of growth over 2006 has been affected by strong competition for
international reinsurance making it difficult to increase lines. However, we are
pleased with the quality, diverse portfolio that has been built to date, and
recent recruitment of two new underwriters should aid our expansion in the
remainder of 2007.


The average renewal rate reduction for the Group for the first four months was
1.3% with renewal retention at a good 82%. This is analysed by division below:

              2007 gross premiums to 30   Renewal rate      Renewal retention
              April                       change            ratio
              £ million                                 %                    %
Amlin Bermuda            73.7               0.4                   93
Aviation                 28.3              (5.0)                  81
Marine                  123.3              (1.5)                  84
Non-marine              317.4              (1.2)                  81
UK commercial            50.5              (1.6)                  73
Total /                 593.0              (1.3)                  82
Average


With retrocessional reinsurance becoming more reasonably priced, Syndicate 2001
has purchased modestly more cover for its excess of loss account than in 2006.
This, together with higher levels of cover for its direct marine and non-marine
accounts, has reduced our modelled losses from potential major catastrophes. The
Group's largest modelled loss at 1 April was £295 million (2006: £330 million),
and the majority of our modelled losses are now less than £200 million. The
Group expects the cost of outwards reinsurance to be around 10% of gross premium
income.

Claims development


The underwriting loss ratios at the end of the first quarter are excellent for
most lines of business. There was a low level of natural catastrophe activity in
the first four months of the year and we have exposure to only one of the three
major marine hull losses incurred in the year to date.


Development of claims on prior underwriting years has been better than expected
and since the year end we have been able to make releases from reserves of £19.5
million.


Investment returns


Overall, our investment return for the first four months was 2.3% of average
funds of £2.3 billion. Equity performance was again good with a return of 6.9%
across the London and Bermuda portfolios. US$ bond performance has also been
strong at 2.1% with values rising on the expectation of future interest rate
cuts. Sterling bond performance was more subdued with a return of 0.7% as the
Bank of England raised rates in response to renewed concerns over inflation.
However sterling yields are now at healthy levels and an improved return will be
generated compared to 2006 if market expectations remain unchanged over the rest
of the year.


Summary


Overall, the outlook for 2007 financial performance remains very healthy, with
income at similar levels to 2006 and reduced exposures to major catastrophes


Enquiries:

Charles Philipps, Chief Executive, Amlin plc      0207 746 1000
Richard Hextall, Finance Director, Amlin plc      0207 746 1000
Hannah Bale, Head of Communications, Amlin plc    0207 746 1000
David Haggie, Haggie Financial Limited            0207 417 8989 / 07768 332486




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