Lancashire Holdings Regulatory News (LRE)

Notification of Transactions of Directors/Persons Discharging ManagerialResponsibility and Connected Persons

1. Name of the issuer 2. State whether the notification related to (i) a transaction Lancashire Holdings Limited notified in accordance with DTR 3.1.2 R, (ii) a disclosure made in accordance with LR 9.8.6R(1) or (iii) a disclosure made in accordance with section 793 of the Companies Act (2006) (i) a transaction notified in accordance with DTR 3.1.2 R

3. Name of the person discharging 4. State whether notification

managerial responsibilities/ relates to a person connected director with a person discharging managerial responsibilities/ (1) Richard Brindle (Executive director named in 3 and identify Director and Group CEO) connected person N/A (2) Alex Maloney (Executive Director and Group Chief Underwriting Officer) (3) Elaine Whelan (Executive Director and Group Chief Financial Officer)

5. Indicate whether the notification 6. Description of shares (including

is in respect of a holding of the class), debentures or derivatives person referred to in 3 or 4 or financial instruments relating above or in respect of a to shares non-beneficial interest 1. Lancashire Holdings Limited Persons referred to at 3 above ("LHL") Restricted Share Scheme Award and LHL Restricted Share Scheme Awards Bonus Deferral Plan 2. Lancashire Holdings Limited ("LHL") Restricted Share Scheme Award and LHL Restricted Share Scheme Awards Bonus Deferral Plan 3. Lancashire Holdings Limited ("LHL") Restricted Share Scheme Award and LHL Restricted Share Scheme Awards Bonus Deferral Plan

7. Name of registered shareholder(s) 8. State the nature of the

and, if more than one, the number transaction of shares held by each of them 1. Exercise of 584,897 1. Richard Brindle Restricted Share 2. Alex Maloney Awards granted as nil-cost options over 3. Elaine Whelan common shares of US$0.50 each, of which 371,250 were granted under the LHL Restricted Share Scheme and 213,647 were granted under the LHL Restricted Share Scheme Awards Bonus Deferral Plan and sale of 584,897 resultant shares 2. Exercise of 140,877 Restricted Share Awards granted as nil-cost options over common shares of US$0.50 each, of which 95,287 were granted under the LHL Restricted Share Scheme and 45,590 were granted under the LHL Restricted Share Scheme Awards Bonus Deferral Plan and sale of 140,877 resultant shares 3. Exercise of 51,166 Restricted Share Awards granted as nil-cost options over common shares of US$0.50 each, of which 45,581 were granted under the LHL Restricted Share Scheme and 5,585 were granted under the LHL Restricted Share Scheme Awards Bonus Deferral Plan and subsequent sale of 1,028 shares to cover tax liabilities

9. Number of shares, debentures or 10. Percentage of issued class

financial instruments relating to acquired (treasury shares of the shares acquired class should not be taken into account when calculating (1) 584,897 percentage) (2) 140,877 (1) 0.3552% (3) 51,166 (2) 0.0856% (3) 0.0311%

11. Number of shares, debentures or 12. Percentage of issued class

financial instruments relating to disposed (treasury shares of the shares disposed class should not be taken into account when calculating (1) 584,897 percentage) (2) 140,877 1. 0.3552% (3) 1,028 2. 0.0856% 3. 0.0006%

13. Price per share or value of 14. Date and place of transaction

transaction 1. 10 May 2013 - London, England 1. £8.263 per share 2. 10 May 2013 - London, England 2. £8.263 per share 3. 16 May 2013 - London, England (3) £8.255 per share 15. Total holding following 16. Date issuer informed of notification and total percentage transaction holding following notification (any treasury shares should not 16 May 2013 be taken into account when calculating percentage) 1. 858,022 common shares - Totalling 0.5211% 2. 191,415 common shares - Totalling 0.1163% (of which 100,000 shares belong to connected person Amanda Maloney) 3. 94,225 common shares - Totalling 0.0572 % (of which 2,600 shares belong to connected person Kilian Whelan)

If a person discharging managerial responsibilities has been granted options bythe issuer complete the following boxes

17. Date of grant 18. Period during which or date on which exercisable

19. Total amount paid (if any) for 20. Description of shares or

grant of the option debentures involved (class and number)

21. Exercise price (if fixed at time 22. Total number of shares or

of grant) or indication that debentures over which options

price is to be fixed at the time held following notification

of exercise

23. Any additional information 24. Name of contact and telephone

number for queries In addition to the securities noted in question 15 above, Christopher Head + 44 (0) 207 Richard Brindle also holds the 264 4145 following interests in the Company: Restricted Share Scheme Awards Bonus Deferral Plan - 99,998 (vesting is subject to time and employment conditions only) Restricted Share Scheme Awards- 773,713* Time vesting warrants - 5,625, 217 Performance warrants - 741,965 Founder Warrants - 46,260 In addition to the securities noted in question 15 above, Alex Maloney also holds the following interests in the Company: Restricted Share Scheme Awards Bonus Deferral Plan - 26,512 (vesting is subject to time and employment conditions only) Restricted Share Scheme Awards- 555,332* In addition to the securities noted in question 15 above, Elaine Whelan also holds the following interests in the Company: Restricted Share Scheme Awards Bonus Deferral Plan - 31,022 (vesting is subject to time and employment conditions only) Restricted Share Scheme Awards- 316,567* *Pursuant to the Rules of the Restricted Share Scheme, the number of shares that will actually vest depends on the satisfaction of certain conditions including employment, performance and time conditions. N.B: Elaine Whelan has sold the number of shares required to cover tax liabilities and has retained the remainder of the resulting shares and Richard Brindle has sold shares to finance on-going personal property renovations. Name of authorised official if issuer for making notification Christopher Head Company Secretary 17 May 2013