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Overview


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Omega Underwriting Agents & Syndicate 958
Omega Specialty Insurance Company
Omega US Insurance
Omega Europe

Omega Insurance Holdings

Omega Underwriting Agents & Syndicate 958

Syndicate 958 was established in 1979 to commence underwriting for the 1980 year of account. It has closed every year of account since its formation at an underwriting profit, creating an exceptional record of outperformance of the insurance market. The Syndicate has a capacity of £249 million for 2008 and is rated A (Excellent) by AM Best. Some 83.6% of the capacity of Syndicate 958 is supported by third-party Names. Omega’s own capital supports 16.4% of Syndicate 958’s stamp.

Syndicate 958 – Capacity and profit forecasts

Year of account

2008

2007

2006

2005

Capacity

£249m

£249m

£249m

£224m

Effective Capacity including Qualifying quota share with Omega Specialty

-

£274m

-

-

Omega Dedicated share of capacity

16.4%

16.4%

16.4%

12.9%

Omega Group retained share of capacity

16.4%

15.2%

15.2%

0.5%

Omega Group retained share of effective capacity

 

22.9%

 

 

Profit after standard personal expenses - forecast

 

7.5%-17.5%

14.0%-19.0% 8.78%

8.7%-8%

Note: For the 2007 year only, the capacity of the Syndicate was effectively increased by £25 million as a result of including a qualifying quota share to Omega Specialty.

The table above shows that the Syndicate has closed 2005 with a profitable 8.78% return despite the major hurricanes experienced, Katrina, Rita and Wilma. This return is after strengthening the net Katrina reserves by US$25 million to US$49 million to recognise the potential for further deterioration as a result of adverse outcome in ongoing class actions involving other insurers.

The Syndicate has consistently outperformed the Lloyd’s market with 26 consecutive closed years of underwriting profitability and low volatility.

Source: Lloyd’s and Syndicate 958 Annual Report & Accounts.
Basis: These figures are compiled on the basis of profit before Names’ personal expenses and members’ agents’ charges.

As indicated in the chart above, the Syndicate has made an underwriting profit in every closed year of account since its inception for the 1980 year of account.