Last checked at 21 Nov 2017 07:00
Helios Underwriting plc
("Helios" or the "Company")
Quarterly Syndicate Mid-point Forecasts
Helios announces the current mid-point forecasts in respect of its portfolio of syndicate capacity for the 2015 and 2016 years of account based on 3rd quarter 2017 results.
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| Year of Account | ||
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| 2015 | 2016 | 2017 |
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| £m | £m | £m |
Capacity - Position at 1st Jan 2017 |
| 32.2 | 33.7 | 32.6 |
| Retained | 16.1 | 10.9 | 9.8 |
| Reinsured | 16.2 | 22.8 | 22.8 |
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Capacity acquired since 1 January 2017 |
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| Retained | 3.7 | 3.8 | 1.8 |
| Quota Share Commutation | - | 3.3 | - |
| Increase in Retained | 3.7 | 7.1 | 1.8 |
| Reinsured | 0.4 | (2.9) | 2.6 |
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Capacity - Position as at 20th November 2017 |
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| Retained | 19.8 | 18.0 | 11.6 |
| Reinsured | 16.6 | 19.9 | 25.4 |
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| 36.4 | 37.9 | 37.0 |
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Mid-point forecast at 30th June 2017 |
| 10.82% | 3.77% |
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Current mid-point forecast |
| 10.99% | 2.98% | N/A |
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Lloyd's Market Average 3rd Qtr |
| 4.63% | (2.72)% |
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Helios outperformance |
| 6.36% | 5.70% |
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Notes
1) The tables show the movement in capacity as a result of acquisitions made since 1st Jan 2017 splitting the capacity retained by Helios and the capacity that is ceded to quota share reinsurers.
2) The mid point forecasts as of 3rd quarter 2017 have been aggregated at syndicate level from estimates supplied by managing agents.
3) The midpoint estimates for 2016 year of account have reduced during the quarter having been impacted by the 3rd quarter 2017 hurricane losses.
4) The impact on Helios will be as follows:
a. The additional capacity acquired on the open years will make a contribution to the earnings of Helios although part of the result will have been earned in prior years or will be treated as pre-acquisition profits.
b. The increase in the mid point estimates on the retained capacity over the year will be recognised in the Helios income statement this year.
c. 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.
For further information please contact:
Helios
Nigel Hanbury - Chief Executive 020 7863 6655 / nigel.hanbury@huwplc.com
Arthur Manners - Chief Financial Officer 07754 965 917
Stockdale
Robert Finlay 020 7601 6100
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 £36.3m of capacity for the 2017 account. The portfolio provides a good spread of business being concentrated in property insurance and reinsurance. For further information please visit www.huwplc.com.