Amlin breaks COR record

by David Masters

Story link: Amlin breaks COR record

Amlin has reported ‘exceptional’ results for 2007, with profits before tax of £445 million, an increase of 30% compared to the previous year.

The Lloyd’s insurer broke records for both return on equity and combined operation ratio. The former was 37.8% whilst the latter was just 63%, down from 72% in 2006.

Investment return for the year was also strong at £157 million, a rise of 36.4%. Net assets rose 12.4% to £1,052.2 million, with run-off profits reaching record highs.

Charles Phillipps, Amlin’s chief executive, said of the results: “These results are exceptional and reflect a combination of strong pricing conditions, low catastrophe claims and good investment returns.

“Our average return on equity over the past five years shows that this is not a flash in the plan.

“However, underwriting returns have peaked in the short term.

“Our confidence in being able to deliver more than acceptable returns for shareholders and our strong balance sheet supports a strong dividend going forward.”