Quarterly Syndicate Forecasts and Capacity Update

RNS Number : 4784Z

Helios Underwriting Plc

15 March 2017

 

15^th March 2017

Helios Underwriting plc

("Helios" or the "Company")

Quarterly Syndicate Mid Point Forecasts and Capacity Update

Helios announces the final result for 2014 year of account and the current mid point forecasts for the 2015 years of account in respect of its portfolio of syndicate capacity based on 4^th quarter 2016 results.

	Year of Account
	2014		2015		2016
	£m		£m		£m
Capacity
Position as at 28th November  2016
Retained	19.5		15.1		12.1
Reinsured	14.9		16.2		20.6
	34.4		31.3		32.7
Capacity acquired since 28th November 2016
Retained	1.1		0.9		1.0
Reinsured	-		-		-
Capacity - Position as at 31st December 2016
Retained	20.6		16.0		13.1
Reinsured	14.9		16.2		20.6
	35.5		32.2		33.7
Mid point forecast at 30th September 2016	12.78%		7.55%
Final result / current  mid point forecast	15.50%		8.16%		N/A
Lloyds Market Average	10.10%		3.60%
Helios outperformance	5.40%		4.56%

Notes

1)   The final result for 2014 year of account and the mid point forecasts as of 4^th quarter 2016 for 2015 year of account have been aggregated at syndicate level  from estimates supplied by managing agents

2)   The impact on Helios will be as follows:

a.   The increase in the final result for 2014 year of account on the retained capacity will be substantially recognised in the Helios income statement this year.

b.   The overall improvement in the result will be received by Helios in cash when the profits are distributed after the close of the year of account.

Capacity Update

The analysis of capacity reinsured and retained as at 1^st January 2017 and the effect of the acquisition of Pooks Limited is set out below.

	Year of Account
	2015		2016		2017
	£m		£m		£m
Position as at 1st Jan 2017	32.2		33.7		32.6
Retained	16.0		13.1		9.8
Reinsured	16.2		20.6		22.8
Acquired since 1st Jan 2017
Retained	0.4		0.4		0.2
Reinsured	0.4		0.4		0.6
Position as at 14th March 2017
Retained	16.4		13.5		10.0
Reinsured	16.6		21.0		23.4
	33.0		34.5		33.4

The capacity of Pooks Limited that was acquired was subject to a 50% quota share reinsurance contract.

For further information please contact:

Helios

Nigel Hanbury - Chief Executive                             07787 530404 / [e-mail]

Arthur Manners - Chief Financial Officer               07754 965917

Stockdale Securities                                                 020 7601 6100

Robert Finlay

Richard Johnson

About Helios

Helios provides a limited liability direct investment into the Lloyd's insurance market and is quoted on the London Stock Exchange's AIM market (ticker: HUW).  Helios trades within the Lloyd's insurance market writing approximately £33 million of capacity for the 2017 account.  The portfolio provides a good spread of classes of business being concentrated in property insurance and reinsurance.  For further information, please visit www.huwplc.com. 

 

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