510 and 308 in the black but 557 and 807 in the red
R J Kiln today released the final 2005 results for Syndicates 510, 557, 807 and 308.
Syndicate 510, Kiln’s largest Syndicate in terms of capacity, made a profit of £1.6m. Also in the black was Syndicate 308, drawing a profit of £1.6m but on a much lower capacity.
However, Syndicate 557 lost £6.7m and Syndicate 807 lost £2m.
Kiln said: “The 2005 year of account has closed ahead of our expectations, as set out in our November 2007 estimates in respect of all four Kiln syndicates. In spite of 2005 being the most expensive year for catastrophes on record, Kiln’s flagship Syndicate 510 has delivered a small profit on the year. The result for Syndicate 557 is in line with recent forecasts and Syndicates 807 and 308 are at the high end of forecasts, with Life Syndicate 308 delivering an 18% profit on capacity.
“Our initial forecasts for the 2007 year of account reflect the fact that, although it was a relatively benign underwriting year in terms of US catastrophes, there were considerable weather-related losses around the world, particularly in the United Kingdom.
“In light of the large amounts of premium yet to be earned for the year, these figures should be regarded as preliminary only and are subject to no significant catastrophes or other adverse developments occurring in the future which may have a detrimental effect on the Kiln portfolio.
“The forecasts set out above take into account all managing agency and Lloyd’s charges. The current forecasts are expressed at 31 December 2007 exchange rates. The previous forecasts, which were announced originally in November 2007, have been rebased to the same exchange rate (US$1.99 and C$1.96 respectively).
R J Kiln & Co Limited Chief Executive, Charles Franks, said: “I am delighted to report another strong performance by Kiln syndicates. In particular, for Syndicate 510 to deliver a profit for the 2005 year of account is an excellent achievement.”
