2011 First Half Results for Publicly Traded Lloyd’s Syndicates

by Coleman Ambris | Sep 06, 2011

The major UK listed Lloyd’s syndicates have recently published their Interim Results for the first half of 2011 which reflect the tough conditions experienced by the major international insurers after the unprecedented catastrophe losses in the early part of the year including the Japanese Quake, further New Zealand Quake Losses and the Mid West US Tornados. The highlights from some of these results are shown below and as a result there are some signs of a hardening reinsurance market although there is still little evidence of these increases being passed on by the direct insurance market.

According to Fitch Ratings the International Catastrophe losses from the first half of 2011 will result in the global reinsurance market posting a combined ratio of 108% in 2011 with a good part of the US Atlantic Windstorm season yet to run, and with investment returns much weakened the margins are being squeezed for many insurers and the stock market is pricing the sector accordingly. Meanwhile competition for new Insurance business remains as tight as ever with rates showing no signs of reversing their declines of the last several years.

 
Hiscox
 
H1 2011  
H1 2010
 
 
£ (85.6m) 
Profit/ (Loss)
£97.2m
116.9% 
Combined Ratio
93.6%
 
 
 
Amlin
 
 
 
£ (192.3m) 
Profit/ (Loss)
£107.6m
121% 
Combined Ratio
 88%
 
 
 
Catlin
 
 
 
US$ (201m)
Profit/ (Loss)
US$ 86m
117%
Combined Ratio
98%
 
 
 
Beazley
 
 
 
US$ (24.2m)  
Profit/ (Loss)
US$ 115.5m
108%
Combined Ratio
90%