Helios Underwriting, the Lloyd’s of London investment and underwriting vehicle, has announced the current mid-point forecasts for its portfolio of syndicate capacity for the 2019 and 2020 years of account, based on 3rd quarter 2021 estimates.
The company, which acquires and consolidates private underwriting capacity at Lloyd’s, recorded a capacity position of £103.4 million for the 2020 year of account as at November 25th, 2021, versus £80.0 million at August 19th.
This updated figure consists of £54.3 million capacity retained by Helios and £49.1 million that is ceded to quota share reinsurers.
For the 2019 year of account, Helios’s capacity position moved from £70.3 million to £94.3 million, consisting of £55.3 million retained and £39.0 million reinsured.
And for 2021, the capacity position changed from £110.2 million to £132.9 million, with £81.3 million retained and £51.6 million reinsured.
The current mid-point forecast for the 2020 year of account is 0.77%, versus a Lloyd’s market average of 0.59%, which implies a Helios outperformance of 0.18%
Similarly, for 2019, the current mid-point forecast is 0.65%, versus a Lloyd’s market average of -3.50%, again implying a Helios outperformance of 4.15%.
According to Helios, the improvement in the results of the underlying portfolio continues to be in line with expectations.
The company also noted that the outperformance of 4.15% of the portfolio against the average for the Lloyd’s market for 2019 continues the trend of outperformance achieved over the last 6 years that averages over 4.7% during the period.
“As the only listed consolidator of private capital at Lloyd’s, Helios continues to build a diversified and unique portfolio of insurance risk with top performing syndicates, having completed 21 acquisitions of Limited Liability Vehicles in the last three months, acquiring £22.7m of capacity on the 2021 underwriting year,” said Helios Chief Executive Nigel Hanbury.
“Our strategy is bringing results, increasing our retained capacity to £81m for 2021 in a year where pricing, terms and conditions of the business underwriter have continued to improve. We look forward to creating further shareholder value.”
