Lancashire Group CEO Alex Maloney commented on the quarter, “I am extremely pleased to report that the Lancashire Group has actually grown its Q1 gross premium written significantly by 46.1% to $354.8 million (in Q1 2021) from $242.8 million (in Q1 2020). This increase in our top line premium income represents our greatest ever first quarter premium and has actually been supported by the equity capital which we raised in June 2020. We have actually increased earnings throughout numerous of our core lines as well as attaining faster than expected momentum in some of our newer company lines.
Specialized insurance and reinsurance group Lancashire Holdings experienced some of the greatest growth in the firms history in the first-quarter of 2021, almost doubling its P&C reinsurance premiums written throughout the period.At the exact same time, the business has actually reported that its renewal rate index was up at 112% throughout the service, reflecting much firmer pricing for insurance and reinsurance organization restored in Q1.
Overall, Lancashires gross premiums composed rose by 46.1% in the first three months of 2021 compared to the same period in 2020.
This development was mostly in the home and casualty reinsurance section, which saw premiums increase by 97.2%, as the business stated it “deployed further capital into the hardening market.”
Nnew business as well as rate increases, especially in the property reinsurance and residential or commercial property retrocession classes of organization were the main drivers, Lancashire said.
This bodes well for Lancashire Capital Management Limited, the third-party capital collateralised reinsurance underwriting arm of the business, which will likely likewise have actually had the ability to benefit from need and rates in these core locations of its portfolio at the renewals.
Residential or commercial property retrocessional reinsurance organization experienced some of the best price gains, with Lancashire reporting the renewal price index being at 115% for that section of its book.
Once again, that must have benefited the Lancashire Capital Management business system and its third-party investors, offered it specialises in writing a fully collateralised and multi-class reinsurance product, that combines catastrophe and particular specialty covers and is utilised by some of the biggest reinsurers as retrocession.
Naturally, Lancashire was not unsusceptible to the effects of the winter storms in the United States, reporting bottom lines after reinsurance and reinstatements in the range of $35 million to $45 million from these occasions.
Lancashire Group CEO Alex Maloney discussed the quarter, “I am extremely happy to report that the Lancashire Group has grown its Q1 gross premium composed considerably by 46.1% to $354.8 million (in Q1 2021) from $242.8 million (in Q1 2020). This boost in our top line premium earnings represents our greatest ever very first quarter premium and has been supported by the equity capital which we raised in June 2020. Our development was driven by the enhanced market conditions. We have increased profits throughout a lot of our core lines as well as achieving faster than expected momentum in some of our more recent business lines.
We look forward to the amazing opportunities that are anticipated to develop throughout the year as we are able to more flexibly combine the benefits of remote interaction with a return to the workplace environment. Our strong balance sheet, boosted by our recent financial obligation raise, stands us in great stead to fund the opportunities we see ahead.”