Hiscox Syndicates - results and forecasts

Hiscox has provided us with results and forecasts for its managed syndicates. These include the first forecasts for the 2022 year of account (the majority of managing agents only provide this information once the underwriting year has reached the fifth quarter). As large elements of the overall exposure remain on risk throughout 2023, and as Hiscox forecasts are consistently conservative, we do expect that this early estimate will ultimately prove to be cautious.

Syndicate 33

SPA 6104

*The 2020 account of SPA 6104 has not closed by reinsurance as at 31 December 2022. The year of account is holding a large reserve for business interruption claims arising out of covid-19 on property insurance claims. As the successor year of 6104 is approximately half the size of the 2020 syndicate, the impact of any movement in these reserves would be magnified if the account were to close.  We anticipate that Hiscox will provide greater clarity on the prospects for an early closure in the coming days.

Both 33 and 6104 have delivered excellent results on a GAAP basis and we expect both will feature in the top quartile of results in 2022. Syndicate 33 has a combined ratio of 77.2% and SPA 6104 of 8.3%. In both cases, the 2022 calendar year results on a GAAP basis are heavily influenced by positive development in early years.

This result completes the schedule of all syndicates supported by clients of Argenta Private Capital Limited in 2020 and 2021. The schedule is available here.

Lloyd’s provided details of the market’s results for 2022 in a trading update published on 8 March.

All syndicate results and forecasts are expressed as a percentage of allocated capacity and are after all standard personal expenses but before deduction of members’ agents’ fees.