Update on business prospects

Beazley Group PLC
30 September 2005


                                                               30 September 2005

                               Beazley Group plc

Update on business prospects and participation in Lloyds syndicates 2623 and 623

The Board announces further information for business prospects and the
participation of the Beazley Group plc on syndicates 2623 / 623.

A revised business plan has been submitted to Lloyd's indicating an increase in
capacity of 11.8% for the combined syndicates from £742m in 2005 to £830m in
2006. The Board is seeking this increase in capacity to take advantage of the
improved market conditions that are expected following the losses from the
recent hurricanes. This plan is subject to regulatory approval and further
refinement as the impact of the hurricanes is better understood.

In addition, Beazley Group plc has been successful in increasing its share in
the combined syndicates from 70% to 77% for 2006 by acquiring a further £53m of
capacity in the Lloyd's capacity auctions. Together with the proposed increase
in overall capacity, the Beazley Group plc share of capacity is expected to
increase by 23% from £522m in 2005 to £643m for 2006. An offer to acquire the
remaining capacity of the combined syndicates not owned by the Group will be
required to be made in 2006 at 3p per £ of capacity, the highest price paid in
the auctions this year.

Further to the statement regarding the impact of hurricane Katrina made at the
time of the interim results earlier this month, an assessment of the likely
impact of both hurricanes Katrina and Rita is ongoing. The Board believes that
the information in relation to both events is sparse and unreliable and that it
is too early to make a reasonable estimate of the effects of both hurricanes. A
further announcement will be made when the position is clearer.



Contacts

Beazley Group plc                      Tel: [phone]
Andrew Beazley
Andrew Horton



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