Stephen Catlin ‘impressed’ as Convex GWP hits $3bn in under four years
Convex Group has reached a milestone by surpassing $3 billion in gross written premium (GWP) in less than four years, “truly impressing” Stephen Catlin (pictured left), an industry veteran and the founder and chairman of the specialty re/insurer that launched in early 2019. Looking ahead, Convex’s CEO, Paul Brand (pictured right), has set an even higher target, aiming to exceed $4 billion in GWP for the year 2023.
The Bermuda-based re/insurer’s GWP increased by 43% to $3 billion in 2022, compared with $2.11 billion a year ago. Additionally, its net premium earned saw a remarkable rise of 62% to reach $1.68 billion, compared to $1.04 billion in 2021.
Convex also made substantial improvements in its combined ratio, achieving a ratio of 98% in 2022, a notable improvement from the 117% recorded in 2021.
The group experienced unrealised losses, offsetting coupon income and leading to a negative investment return of $107 million, due to rising inflation and interest rates. This marks a significant decline from the positive investment return of $25 million recorded in 2021.
Given the investment losses and foreign exchange impacts, partially mitigated by underwriting profit, the group made a net loss of $142 million, a decrease from $158 million in 2021.
Catlin, executive chair of Convex Group, said: “I would like to thank my colleagues for another tremendous year. It’s through their dedication and expertise that Convex continues to build its reputation in the market and to have surpassed $3bn of GWP in less than four years is truly impressive.
“Convex continued to grow and evolve in 2022. In July, Paul Brand assumed the role of group CEO and Convex has thrived under his leadership.
“We continue to experience strong rating conditions and January’s renewals reflected that. However, our market must continue to work hard to provide exceptional service to its clients, as well as demonstrate its value to the wider community after a decade of disappointing returns. I am confident that we, as an industry, are up to the task; this is a period of exciting opportunity and developments for the market.”
Brand, CEO of Convex Group, said: “These results reflect the hard work of our colleagues and superb support from our brokers. I’m incredibly proud of what we’ve accomplished. But it’s not just about the numbers. When we launched Convex, building a respectful and thoughtful culture was also a top priority, but we aren’t complacent and continue to invest in our people and culture. 2023 promises to be yet another exciting year, with GWP expected to exceed $4bn.”
Did you get value from this story? Sign up to our free daily newsletters and get stories like this sent straight to your inbox.
