AEGIS London profits jump on tighter underwriting discipline

Lloyd’s managing agency AEGIS London has improved its underwriting discipline and is in good shape to capitalise on the new business opportunities in the market, according to its managing director David Croom-Johnson.

The company reported an increase in profits for 2019 on the back of increased gross written premiums.

Its managed syndicate posted a profit of £31.1 million, up 7 percent on 2018’s figure of £29.1 million. Although it incurred foreign exchange losses of £5.0 million.

Gross written premium before commission was £653.2 million, an increase of 18 percent on 2018’s £555.2 million.

AEGIS London’s combined ratio for 2019 was 96.8 percent.

Commenting on the results, Croom-Johnson said: “This is a strong result driven by a focus on disciplined underwriting in a rising market and good investment returns. Our combined ratio is better than that achieved by many other London market players and points to controlled profit growth, an emphasis on portfolio management and a conservative reserving philosophy. These combined have seen AEGIS London in the top quartile of Lloyd’s performers for a decade."

He added: “In the long term, our strategy remains founded on a two-pronged approach: writing complex risks in the traditional Lloyd’s manner while bringing new business into the market via our awarding winning quote and bind platform Opal – business that would not normally be written in London.

"AEGIS London is well placed to take advantage of the opportunities that are being presented to us in an improving underwriting landscape.”