MS Amlin Syndicate 2001 makes a loss in 2016 as claims ratio jumps
MS Amlin Underwriting Limited, the Lloyd’s Syndicate 2001, reported a loss for 2016 as the claims ratio jumped on catastrophe losses and the Ogden discount rate change.
The loss for the full year of 2016 was £35.1 million compared to a profit of £134.3 million in 2015.
The claims ratio increased to 63 percent in 2016 from 49 percent in the previous year reflecting a number of large catastrophe losses experienced during the year and the impact of the change in Ogden discount rate.
On Feb. 27, the Lord Chancellor announced the reduction in the Ogden discount rate which UK courts must consider when awarding compensation for future financial losses in the form of a lump sum in personal injury cases from 2.5 percent to negative 0.75 percent.
Overall the combined ratio at Syndicate 2001 climbed to 103 percent in 2016 from 88 percent.
Gross written premiums were £1.83 billion in 2016 compared to £1.65 billion in 2015.
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