the winners - IBI Awards

THE WINNERS

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INTRODUCTION

Celebrating excellence, innovation and flair This year’s London Market Awards celebrated the greatest achievers in the market during the past 12 months. Competition was again fierce with Insurance Day receiving a large number of entries. Innovation, entrepreneurial flair and a drive to excel are characteristic shared by all our winners. Stephen Catlin, winner of this year’s lifetime achievement award certainly possesses these characteristics in abundance. The company that bears his name has grown to become one of the most respected and successful businesses in the London market since it was established 30 years ago. Lloyd’s director of performance management, Tom Bolt, recognised as this year’s industry achiever, has demonstrated great skill and commercial acumen in protecting the Lloyd’s franchise in a hugely challenging time for the market. Meanwhile, Asta Managing Agency was a worthy winner of this year’s company of the year award, having had a particularly successful year supporting entrepreneurial capital management, bringing new and innovative syndicates to Lloyd’s. And this year’s reinsurance broker of the year award winner, BMS Group, has positioned itself to compete with the “big three” through its innovative service delivery. Underwriting team of the year, Novae’s UK and European property unit, has earned an enviable reputation in the London market as a result of its model wordings, outstanding customer service record and excellent financial results. These results have been delivered consistently during the recent tough economic climate. Of course, all the winners deserve credit, and this year’s brochure commemorates all of those who were successful at the Insurance Day London Market Awards, 2014. Congratulations to all our winners.

Michael Faulkner Editor, Insurance Day

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INSURANCE INITIATIVE OF THE YEAR AWARD

Martin Robers, Senior Wordings and Technical Manager from Catlin

WINNER

Catlin

(supported by CMS and Adsensa)

Contract Quality The contract quality initiative launched by Catlin and supported by law firm CMS and Adsensa represented a timely innovation in the market. In 2013, Catlin’s business change team enlisted CMS and Adsensa to deliver Contract Quality, a customised, browser-based software solution for underwriters which was to be piloted with Catlin’s syndicate 2003 teams at Lloyd’s in London and Bermuda. Delivered in time for the January 2014 renewals, Contract Quality means Catlin can now reliably check hundreds of contracts, numbering tens of thousands of pages. The initiative shows that complex automated contract review, leading to error reduction and improved consistency, can revolutionise the underwriting process. The sponsors of the project were the syndicate’s underwriting director, Jonathan Gale, with Charley Wright, project manager in the business change team and Martin Roberts, senior wordings and technical manager responsible for working with CMS and Adsensa to configure and implement the software. “With tighter regulation and the introduction of Solvency II, the Financial Conduct Authority and Lloyd’s reporting requirements all demanding

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more rigorous operational control, we were keen to bring in a system that could help us,” Wright said. “After all, even the best risk management strategies can be improved if the intelligence we rely upon is more accurate and timely.” The judges commented that the initiative was a major step forward in the pursuit of automation of processes and better customer outcomes with highly significant potential market cost and certainty improvement. “In many ways this project reflects the changing nature of legal services to the (re)insurance industry,” said CMS partner Simon Kilgour. “We are using our knowledge of how coverage uncertainties or disputes can arise by giving helpful advice at the front end of the underwriting process rather than at the claims stage. We are also innovating to help (re)insurers address legal and commercial risk in a highly collaborative way, which is the essence of good lawyering,” Kilgour added. HIGHLY COMMENDED

Willis www.insuranceday.com

THE CORPORATE SOCIAL RESPONSIBILITY AWARD

Pamela Smillie, Chairperson of Barbican CSR staff group

WINNER

Barbican Insurance Group CSR programme From helping young people enter the market to supporting local small charities, the Barbican Insurance Group’s corporate responsibility programme shows a high level of commitment to making a difference within the industry and the environment in which it operates. The judges called the initiative “an impressive and comprehensive programme”. One element of the programme focused on fostering new talent in the industry. In September 2013, the Barbican Insurance Academy was launched as part of the CSR programme to deepen the industry’s talent pool, helping participants develop the skills and relationships integral to their long-term insurance career. Central to the Academy is a 13-month Apprenticeship Programme, during which apprentices undertake an extensive range of training activities spanning all aspects of underwriting risk. The company established the Barbican Foundation in February to help smaller, local charities through both financial contributions and voluntary support. So far thousands have been raised for the first three nominated charities, the Cardinal Hulme Centre, the Oliver Fisher Special Care Baby


Trust and the UK Keratoconus Self-Help and Support Association. Barbican also participates in other industry-wide charity initiatives. A 15-strong Barbican team recently participated in the Crisis Square Mile Run, raising over £1,000; while the organisation has also signed up to the Lloyd’s Community Foundation to participate in volunteering opportunities aimed at helping school children in deprived areas. In addition, the programme contributes to the well-being of its employees and the environment. Barbican has showed commitment to reducing its carbon footprint through efforts such as energy savings,”paper-lite” and the use of recycled materials in the office. Employees benefit from the programme through gym memberships, the provision of fresh fruit and cycle to work schemes. “Barbican adopts a long-term approach to its CSR programme, which forms an integral part of its core strategy. The aim is to ensure that everyone in the organisation, whether staff member, supplier or service provider, does their best to support our market and the community,” the company said.

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RISING STAR OF THE YEAR AWARD

Stephen Ward from AIG

WINNER

Stephen Ward AIG Stephen Ward, a high-flyer at AIG in London, is spreading the word about the benefits of Environmental Impairment Liability cover in the London market and further afield Stephen Ward has had a meteoric rise through the ranks of AIG and is now head of the insurer’s environmental team for the UK and Ireland. He joined the group in 2008 as a new graduate, advancing rapidly through professional associate and underwriting stages before becoming a senior underwriter. As head of the team, Stephen manages three senior underwriters, one underwriter and two assistant underwriters writing business in the UK and international London market. Last year, net written premium increased 30% to £9.22m including £4.3m of new business, up 79%. Underwriting results have been strong. AIG launched its Pollution Incident Environmental Response Service last year and Stephen played a leading role in the roll-out in the UK. He took the lead in marketing the service, including organisation of the launch event, devising a contact programme for policyholders

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and brokers and promotion to journalists, all of which resulted in good market coverage. Stephen has also launched an environmental insights page on the AIG website to act as a hub for all of the insurer’s environmental knowledge and expertise. He is a vocal advocate of Environmental Impairment Liability (EIL) insurance, spreading the word to brokers who may never have heard of the cover. He is now leading AIG’s project to develop wordings tailored to individual industries, starting with aviation, real estate and construction. As part of his brief for 2015, Stephen will be exploring how EIL insurance can complement and enhance traditional London market products to harness the market’s full power. He is also looking at extending his and AIG’s success in the UK and Irish markets across Europe, the Middle East and Africa, and as part of that work Stephen will identify how technology can help standardise and simplify policies and wordings for the benefit of AIG customers. The judges acknowledged Stephen had achieved a lot in a short time and identified him as clearly “a leader of tomorrow’s industry”.


CLAIMS TEAM OF THE YEAR AWARD

Head of Claims, Simon Catt from MSIG

WINNER

MSIG at Lloyd’s

The claims team at MSIG at Lloyd’s continued their pursuit of excellence with a focus on combating fraud and improving efficiency In line with its Claims Charter’s promise to use proactive claims management to pay all legitimate claims swiftly, MSIG took another look at its external providers last year. An internal working group tasked to analyse efficiency found the use of multiple third-party claims administrators (TPAs) failed to deliver optimal service, control and cost. MSIG responded by drastically reducing the number of TPAs used to a much smaller group of specialists and then instituting a monthly review of TPA service, including the introduction of audits to monitor performance against key metrics. Reviews demonstrated that overall standards had improved, with MSIG deriving marked gains in efficiency and a significant reduction in expense costs. MSIG technical handlers and claims performance managers were assigned to specific TPAs ensure high standards are maintained. The fraud prevention framework enshrined in MSIG’s claims charter


came in for a thorough testing in a high-profile case where a cyclist, who was injured by a heavy goods vehicle belonging to a client of MSIG, grossly exaggerated the extent of his injuries. The claimant was offered an initial settlement of £75,000 but rejected it, claiming he was incapable of carrying out basic daily activities unaided and pursuing compensation of £1.5 million. MSIG initiated a deeper investigation into the case, unearthing evidence that proved the claimant had exaggerated his injuries and had been working since his accident, as copies of payslips proved. MSIG brought contempt of court proceedings against the claimant and two members of his family who were complicit in his deception, which resulted in all three receiving prison sentences. Since Lloyd’s Claims Metrics were introduced, MSIG has consistently been ranked in the top quartile. The judges found that MSIG’s overall contribution to claims excellence, in the face of strong competition, made them worthy winners. In particular, the judges liked MSIG’s teambased approach.

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ADVISOR OF THE YEAR AWARD

David Marock, Group Chief Executive officer and team from Charles Taylor

WINNER

Charles Taylor Adjusting While the judges rightly singled out Charles Taylor’s handling of the Calgary flood claims as exemplary, the company was involved in at least two other London market projects which have greatly helped the progress of companies working within the London market In addition to its work in Calgary, Charles Taylor also dealt with the claims from an even higher profile loss event over the period, Costa Concordia, for which the company managed the claim on behalf of the joint insurers Standard Club and Steamship Mutual. Over the period, Charles Taylor also designed and delivered a third party claims administrators (TPAs) database as well as a new claims management system for Lloyd’s syndicates. Up until the launch of the TPA database, there had been no central database to provide a source of information for contact, due diligence and audit data for these third party experts, including lawyers, loss adjusters, surveyors, actuaries and accountants which Lloyd’s managing agents regularly appoint to assist in the determination of claims. This innovative new database greatly reduced multiple information requests from managing agents, enhanced governance and increased the efficiency of the claims settlement process. The database has also given the opportunity for over 600 TPAs to showcase their services easily for the first time to managing agents.

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Charles Taylor partnered with Brit to deliver the new claims management system which provides fully automated claims workflow and triage, a diary management facility, automated process control mechanisms and an enhanced level of MI to assist insurers in managing claims performance. The system, which supports all requirements under the Lloyd’s Minimum Claims Standards and which has a positive effect on users’ Lloyd’s Claims Metric Scores, has already been adopted by six Lloyd’s managing agencies But the judges were particular impressed by Charles Taylor’s rapid response in Calgary. Alberta’s largest city was hit badly with 26 city neighbourhoods evacuated, affecting 75,000 people. The central business district was flooded and closed for a week and lost electrical power. Charles Taylor was appointed to handle over 150 separate claims, including the three largest individual losses, with cumulative loss values in excess of CAD $200 million. These included all City of Calgary municipal buildings and the city’s 20,000 seat Saddledome stadium. Charles Taylor also adjusted the claims for the Stampede ground where The Calgary Stampede, a major rodeo and exhibition, is held annually. The floods damaged 70+ buildings 2 weeks before the 2013 event. Following extensive round-the-clock restoration work, the Stampede went ahead as planned.


TRANSACTION OF THE YEAR AWARD

The Willis team

WINNER

Willis Securing capital for first ever African multi-national catastrophe pool

The African Risk Capacity (ARC) is a prime example of the humanitarian and development goals that can be achieved when governments and the re/insurance sector work together. ARC unlocks new sources of premium for the global catastrophe markets whilst also increasing the resilience of countries against the challenges posed by climate change Currently, funding in response to natural disasters such as drought is largely secured on an ad-hoc basis. Emergency appeals are launched after disaster strikes, leaving populations in developing countries to face the calamitous consequences of depleted assets and food insecurity in the interim. Africa’s first ever multi-national catastrophe insurance pool was launched on 1st May 2014 to provide a more reliable response to drought in Africa. Africa Risk Capacity Insurance Company Ltd (ARC Ltd), a Bermuda based mutual insurer, was established to issue drought insurance policies to 24 African countries which have signed up to the initiative, under the auspices of the African Union and the United Nation’s World Food Programme. Five countries participated in the cover at launch; Kenya, Mauritania, Mozambique, Niger and Senegal with a further 15 expected to join over the next four years. Willis modelled, designed and placed the reinsurance of ARC Ltd, involving the technical and marketing skills of a cross-disciplinary team


from its Reinsurance, Agricultural and Global Weather Risks practices. ARC Ltd’s reinsurance is placed on an annual aggregate basis: the programme attaching three years out of 10, covering ARC Ltd up to a one in 740 worst case year. Initial interest from over 30 reinsurers and catastrophe funds, showed a renewed appetite in the market for uncorrelated risk. The presentation to the reinsurance market was complex, requiring a comprehensive understanding of the index and weather trends. Willis was able to secure quotations from 15 reinsurers and catastrophe funds, with ultimate capacity secured from 12, despite extremely keen pricing driven by Willis’s analytics. ARC Ltd is expected to grow, both in the number of countries it supports, and by peril, with flood due to be added in 2016. Not only does the scheme provide valuable insurance cover, but the process of index customisation for each country increases their understanding of the risks they face. HIGHLY COMMENDED

Canopius 9

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TECHNOLOGICAL INITIATIVE OF THE YEAR AWARD

John Bissell from ACORD and Paul Nunn join Hal to collect the award

WINNER

Oasis Loss Modelling Framework At the beginning of 2014, Oasis Loss Modelling Framework unveiled what it described at the time as the “most significant development in the modelling of natural catastrophe losses for 20 years” – the launch of an independent, global, open framework for use by any party with an interest in creating a catastrophe model. “We are providing a flexible alternative not-for-profit platform owned by and for the insurance community […] as well as bringing muchneeded transparency into how models are built, how they should be used to reinvigorate the art and science of underwriting at a cheaper cost,” says Oasis. The vision behind the software which has been in devlepment for the past two and a half years was aimed at breaking down, what Oasis descirbed as, barriers to entry. Catastrophe models are now essential tools for pricing, assessing capital adequacy, and measuring profitability. While over the past 20 years, the model marketplace has remained essentially unchanged, according to Oasis, and barriers to entry have restricted the ability of the insurance community to exploit large elements of available research in relation to hazards and vulnerability. Costs for hardware, software, and staff who understand the models


have been increasingly prohibitive which, in turn, has limited the ability of buyers, brokers and carriers to make judgments on risk. Additionally, these models have traditionally preserved their assumptions, methodologies, and calculation methods as trade secrets, and are often referred to as “black box” models. The vision behinda Oasis modelling framework was to challenge this status quo and advance the science of loss modelling and the use of technology. There were a number of factors which contriubted towards Oasis becoming the winning initiave including: the open source nature of the product, and a plug-and-play interface, which allows an “eco-system” of organisations to contribute to the loss modelling community. Just under 40 companies across the industry have either joined or are in the process of joining as members and owners of Oasis. Participants who are using Oasis say the benefits to the indsutry, include: better informed risk selection, pricing and capital allocation; more focused reinsurance negotiation; and reduced modelling costs. “A great way to make information and data work for all,” commented one of the judges. “This software brings genuine innovation and choice to the catastrophe risk modelling landscape.”

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MSIG at Lloyd’s: Proud winners of the Claims Team of the Year award and sponsors of the Broking Team of the Year award

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s to n o i t a ratul ties i g r n u o c C ld Se e fi n on Be

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BROKING TEAM OF THE YEAR AWARD

Jonathan Poole, COO from MSIG presenting the award to Raphael Rayees

WINNER

Aon Benfield Securities In the past 18 months, Aon Benfield Securities, the reinsurance investment banking team of Aon Benfield, cemented its position as the leading advisor within the insurance-linked securities market. In 2013 the team structured and placed more catastrophe bonds – both in terms of number and total notional size – than any other arranger, and was also the financial advisor of choice for the largest number of new sidecar vehicles. It achieved these positions whilst also expanding the depth and breadth of the product offering in the sector. “Aon Benfield Securities has led the way in the field of alternative capital provision this year. A cutting-edge team doing cutting-edge transactions,” said the judges. The team introduced a number of landmark sidecar transactions to the market. In March 2013, the team placed an innovative sidecar on behalf of PartnerRe that offered investors access to PartnerRe’s 20 largest and longest served clients. The team continued to strengthen its position as the leading retrocession intermediary and capital adviser. Aon Benfield Securities structured and syndicated seven transactions on behalf of reinsurers,


complementing the privately transacted collateralised reinsurance deals. Indemnity transactions became the trigger of choice, and Aon Benfield Securities structured nine such transactions. The team has led the initiative to educate new investors into the emerging ILS asset class, and subsequently has placed significant volumes of both collateralised reinsurance and retrocession with ILS investors and funds. This process has not only given Aon Benfield Securities significant insight into the ability of investors to underwrite complex risks, but has also aided the innovation process that ultimately results in the firm bringing more complex risks to market. During 2013, Aon Benfield Securities brought a number of landmark transactions to market including the first Japan earthquake indemnity deal (Nakama Re), the first Australia cyclone and earthquake indemnity deal (Venterra Re) and the first Europe windstorm indemnity deal (Windmill I Re). In December 2013 Aon Benfield Securities closed the innovative Windmill I Re Ltd. – a streamlined catastrophe bond intended to mimic features and coverage obtained through traditional reinsurance placements, and through it placed the first indemnity transaction for Europe on behalf of a primary insurer.

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UNDERWRITING TEAM OF THE YEAR AWARD

Stuart Heath, Novae Group collects the award

WINNER

Novae Group UK & European Propert unit In just five years Novae’s UK & European Property unit has grown by over 50% to 13 people. It has an enviable reputation in the London market as a result of its model wordings, outstanding customer service record and excellent financial results, which have been delivered consistently during the recent tough economic climate. The team started writing business in late 2009 when Stuart Heath and his team of six established the unit, which focuses on complex commercial and household risks. Since then the team has delivered excellent results, exemplified by the strong underwriting contribution of £7.7m in 2013, a significant increase on the small loss of £0.7m in its first full year of trading. The team’s expertise and knowledge of writing non-standard risks, including properties that are undergoing building works, holiday homes (both UK & overseas), unoccupied properties and properties that house asylum seekers, has enabled it to carve out a niche in the market. In March 2013 Lloyd’s selected this unit for a performance review audit and out of the 12 syndicates chosen, it was recognised as one of the

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best in the class and was applauded for its underwriting knowledge. The team is constantly evolving. In March 2014, Mervyn Albon, a mid to high net worth property specialist, joined the team to broaden the range of products Novae offers. In April 2013, the team responded to client demand and introduced a new product to the mortgage market, which allows customers to buy an affordable policy that covers the basic risks and more than compensates the customer in the event of a catastrophic loss. This product is the only policy of its kind and since being introduced it has produced circa £1m GWP - a figure which is expected to rise to £4m by July 2015. The Pedal Cycles scheme is another very successful product for the team. From a standing start in 2014, the team has written premiums of £500,000. It targets keen cyclists aged over 30 who usually compete in races or events and have bikes valued between £2,500 and £12,500. These products, amongst others, demonstrate the team’s ability to respond to customer demands and to create expert policies, with one judge referring to them as “best in class”.


REINSURANCE BROKER OF THE YEAR AWARD

Jonathan Morris, director of reinsurance BMS group collects the award from Hall Cruttenden

WINNER

BMS Group

This year’s reinsurance broker of the year award recognises BMS Group, which has positioned itself to compete with the “big three” through its innovative service delivery. Judges recognised BMS Group because innovation was at the core of their entry. As one judge said: “Service is the key to good broking and BMS has made a considerable and commendable focus on service delivery.” This year has seen an expansion of BMS’ iVision suite of analytical tools and services which was built in response to client needs. The broker said it had listened to a number of clients who had stated modelling and analytical software in the market was too complex to roll out at a company wide level without a significant training programme being in place. The software has been applauded for its ease of use and simple connectivity, allowing users to monitor, test and analyse data through an internet connection while requiring little to no training. This was followed in July by the launch of BMS Capital Advisory,


a broker-dealer designed to complement the services provided by BMS Intermediaries, the group’s North American reinsurance arm. The unit, which specialises in mergers and acquisitions and insurance-linked securities (ILS), has provided an extension of the broker’s offering. This year has also seen the appointment of Andrew Bustillo as chief executive of BMS Intermediaries, to help drive growth in the company’s US operations. BMS says its clients recognise its strong service offering, with more than 90% of business renewed each year. “Some 60% of our clients have been with us for more than 10 years and 85% of clients have been with BMS for more than five years,” the broker said in its entry. In a highly competitive market where the big three have traditionally dominated, judges recognised BMS’ commitment to innovate and the company’s insightful, entrepreneurial and ambitious approach towards business growth.

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COMPANY OF THE YEAR AWARD

xxxx Julian Tighe receives the award from DWF Partner, Jonathan Moss

WINNER

Asta Managing Agency As the leading third party managing agent at Lloyd’s, Asta has had a particularly successful year supporting innovative and entrepreneurial capital management while continuing to actively champion the Vision 2025 plan. In the last 18 months, Asta has successfully brought three new syndicates to the Lloyd’s market: ILS manager Nephila’s syndicate 2357, sydndicate 1686 (Axis), and syndicate 1729 (Dale Underwriting Partners), in addition to a special purpose syndicate 6117 for Ariel. This is on top of migrating the existing Skuld syndicate 1897 into the Asta managing agency and also successfully assisting in the establishment of two new managing agencies allowing for the novation of two more syndicates (the Channel syndicate 2015 and Sirius syndicate 1945) at their planned end of term. Asta has clearly been leading the way in bringing new, additional business to the Lloyd’s market, with a 100% successful track record and 18 new Lloyd’s businesses under its belt. “The introduction of new players and new capital into the market at times such as these requires high standards of operation and


efficiency. Asta have achieved this to a very high level,” the judges commented, adding that it was actively stimulating market growth and opportunity in a unique way. In addition, the company has grown considerably over the past few years up 21% in 2013 against 2012 and profits up by 105% in the same period. It has also grown the amount of capacity it manages to $775m making it the 11th largest provider of capacity to Lloyd’s. After receiving the award, chief executive Julian Tighe, commented, “I’m delighted Asta has been recognised as Insurance Day’s Company of the Year. I would like to thank all the team at Asta for their efforts in helping us achieve this award and in making us the leading third party managing agent at Lloyd’s.”

HIGHLY COMMENDED

Hiscox

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Allied World is proud to support the 2014 Insurance Day London Market Awards.

Congratulations to all the winners!

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INDUSTRY ACHIEVER OF THE YEAR AWARD

Tom Bolt accepts the award

WINNER

Tom Bolt Lloyd’s director of performance management.

Bolt was recognised as Industry Achiever of the Year for his efforts as Lloyd’s director of performance management. The continued strong performance at 1 Lime Street has been driven by the efforts of Bolt and his team in ensuring market participants adhere to high underwriting standards. This has been particularly important in 2014, given the pressures to deliver returns in a highly competitive market environment, which has seen rating pressure across almost all lines. In an extensive interview with Insurance Day in September, Bolt acknowledged how the challenges facing his team had evolved in the face of a continuing deterioration in market conditions, with the key challenge now being to make sure people in the market are aware of how their exposures have changed and what those


changes mean relative to the prices now being charged for taking on those exposures.In that interview, Bolt said the purpose of performance management was not to dictate to the market what they should do, nor to tell them to stop growing in a particular line of business. “That would take us into the world of rationing and I would rather not be here if that is what we have to do. And what about those individual underwriters who have the skill to write a particular account? We can’t tell people like that not to grow their business. That seems arbitrary to me,” he said. “So we leave the decision of whether or not to grow in a particular market to the individual underwriters. But, at the same time, we do scrutinise, in minute detail, the business plan of every company in the market.”

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Asta congratulates Stephen Catlin on his Lifetime Achievement Award at the London Market Awards 2014

Congratulations to the Asta is the leading third managing winner for party their career-long agency at Lloyd’s. commitment to the London Market.professional, bespoke and We are dedicated to providing innovative solutions for start-ups and Lloyd’s syndicates. This is “The Asta Advantage”. Find out how The Asta Advantage can help you establish a successful and lasting presence in the Lloyd’s market.

Winner: Company of the Year www.asta-uk.com

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LIFETIME ACHIEVEMENT AWARD

Stephen Catlin sent a video address accepting the award

WINNER

Stephen Catlin Chief Executive, Catlin Group

Stephen Catlin, winner of this year’s lifetime achievement award, has celebrated his 30th year at the helm of Catlin Group with a recordbreaking performance as the company reaped the rewards of its longterm international diversification strategy. Catlin Group was founded in 1984 and has grown to become one of the most respected and successful London market insurers. Catlin’s own insurance career began in 1973 when he joined BL Evens & Others on Lloyd’s syndicate 264. He became deputy underwriter in 1982, specialising in the excess of loss and energy accounts where he was supported as a market leader. He founded Catlin Underwriting Agencies two years later, and was active underwriter of syndicate 1003 and later syndicate 2003 for nearly 20 years. He has continued to lead the company’s expansion as chief executive in the subsequent years, pursuing a strategy of global diversification which has seen the company gain a foothold in growth


markets and diversify the base of its profit generation away from the more established London and Bermuda hubs. The first-half of 2014 saw Catlin deliver a record profit for the period, and Catlin said the large percentage of growth coming from outside its London hub had vindicated the diversification strategy it had employed for the past 15 years. The insurer is likely to continue to reap the rewards of its international growth strategy in the coming years which should provide a platform through which it can outperform many of its peers. As well as his full-time role, Catlin chaired the Lloyd’s Market Association from 2000 to 2003, and was a member of the Franchise Board from 2003 to 2006. He is also in frequent demand as a speaker at international industry events. But he will always be best known for the company which bears his name, which continues to receive payback for thinking long-term.

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NEWSMAKER OF THE YEAR AWARD

David Marock presenting the trophy to Insurance Day’s editor Michael Faulkner

WINNER

The news story which captured the most attention this year was the bid by John Charman’s Endurance to buy Aspen

Although ultimately unsuccessful, Charman’s relentless pursuit of Endurance, coupled with Aspen chief executive Chris O’Kane’s dogged defence against the hostile bid, made for the industry’s most interesting news event of 2015. The story was fascinating for a number of reasons. The interest factor is always heightened when Charman is involved. Since he returned to the industry at Endurance following his ousting at Axis Capital, the company he built up, Charman has seemed as driven as ever in rapidly transforming Endurance in terms of personnel and scale. While analysts have voiced a few concerns about the impact of this rapid shift in personnel on the company’s expense bill, little has got in Charman’s way as he rebuilds Endurance into the company he wants it to be. That was until he took on O’Kane and the Aspen board, who fought continuously to stop the company from falling into Charman’s clutches. O’Kane took every opportunity to emphasise the company’s strength as a standalone company. By July, the blows were being traded frequently as both sides questioned the performance of the opposing side’s management. Charman said Aspen’s performance was lagging behind that of


Endurance. Aspen issued its second quarter results early in a bid to prove otherwise. O’Kane described Endurance’s comments about Aspen’s business as “erroneous and ill-informed”, which he said “underscores our deep concern about their failure to understand the significant dis-synergies that would result from the misguided transaction they are proposing”. Proxy advisory firms advised against Endurance’s proposals to expand the Aspen board and create a scheme of arrangement which would help push through the deal. It was only when Aspen shareholders voted overwhelmingly against these proposals that Endurance finally dropped the deal. Charman fired a parting shot at Aspen’s focus on defensive self-preservation tactics and the unwillingness of Aspen shareholders to take a stand. The current market environment in Bermuda, where the future of mid-sized players is under question, means acquisition talk on the island is unlikely to go away. Although he failed in his bid for Aspen, it is unlikely Charman will be far from the headlines in 2015 as he continues to build out Endurance and fight to get his own way in shaping the company.

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SPONSOR PROFILES

ACORD (Association for Cooperative Operations Research and Development) is a global, nonprofit standards development organization serving the insurance industry and related financial services industries. ACORD’s mission is to facilitate the development of open consensus data standards and standard forms. ACORD members include hundreds of insurance and reinsurance companies, agents and brokers, software providers, and industry associations worldwide. ACORD works with these organizations towards a goal of improved data communication across diverse platforms through implementation of standards. ACORD maintains offices in New York and London. ACORD is a member-driven organization whose members work together to improve the flow of insurance information between systems and partners. ACORD Standards and services improve data quality and transparency, resulting in greater efficiency, and expanded market reach.

DWF is an award-winning legal business with a national reputation for client service excellence and effective operational management. Working both in the UK and internationally DWF has one of the largest specialist insurance teams in the UK, supporting both the public and private sectors. The team has close and enduring relationships with some of the UK’s largest insurers for whom they have acted for many years. As part of a firm which also has a substantial corporate and commercial services element, we can draw on a wide range of expertise when required to supplement the skills more usually found in a traditional insurance firm. Consistently ranked in the top tier by Legal 500, we have specialists at all levels able to service insurance cases of every kind. We provide an approachable, tailored service that supports our clients to achieve their strategic objectives faster and more cost effectively.

Asta is the leading third party managing agent at Lloyd’s with over US$1 billion of underwriting capacity under management for 2014. Established in 1993, and with a long and proven track record, we are dedicated to providing professional, bespoke and innovative risk solutions for start-ups, growth investments and Lloyd’s syndicates. Asta provides full support for businesses and individuals who can demonstrate that they can bring value and opportunity to Lloyd’s, helping them to establish a successful and lasting presence in the market.

FWD is one of London’s leading Financial and Corporate consultancies and provides strategic advice to a wide range of financial services groups. Based in the heart of the City of London, we understand what your business is seeking to achieve and craft a bespoke communication programme that we will deliver to your key stakeholders. FWD has been one the UK’s top 150 PR agencies since 2010, according to PR Week magazine. We have strong relationships with the top media contacts across all national, business and FS publications. We have a successful long-term working relationship with the insurance profession, and our connections within the insurance media are some of the deepest in the business.

www.acord.org

www.asta-uk.com

www.dwf.co.uk

www.fwdgroup.co.uk

Allied World Assurance Company Holdings, AG, through its subsidiaries and brand known as Allied World, is a global provider of innovative property, casualty and specialty insurance and reinsurance solutions. Allied World offers superior client service through a global network of offices and branches. All of Allied World’s rated insurance and reinsurance subsidiaries are rated A by A.M. Best Company, A by Standard & Poor’s, and A2 by Moody’s, and our Lloyd’s Syndicate 2232 is rated A+ by Standard & Poor’s and Fitch. Please visit the following for further information on Allied World: Web: www. awac.com | Facebook: www.facebook.com/alliedworld | LinkedIn: http://www. linkedin.com/company/Allied-World.

www.awac.com

Mitsui Sumitomo at Lloyd’s is part of the MS&AD Group, the merged organisation of MSIG, IOI and Nissay Dowa (MS&AD) and the seventh largest non-life insurer in the world, with assets of over £80 billion and annual net premiums in excess of £18 billion. The group has exceptionally strong credit ratings: S&P A+, AM Best A+, Moody’s A1 and has more than 320 offices in over 40 territories around the world providing unrivalled global strength, stability and security.

www.msilm.com

Charles Taylor plc is a leading international provider of professional services to clients in the global insurance market. The Group has been providing Professional Services to insurance clients since 1885 and today has around 1,000 staff in 50 offices spread across 25 countries in the UK, the Americas, Asia Pacific, Europe and the Middle East. The Group offers services across the whole insurance market, principally on a fee-based model and operates through three Professional Services businesses – Management, Adjusting and Insurance Support Services. Charles Taylor also owns insurers in run off.

www.ctplc.com 24


CONGRATULATIONS TO THE WINNERS

w w w. i nsu r anc e d ayaward s . c om Sponsorship opportunities for 2015 now available:

Marcus Lochner | [email protected] | +44 (0) 207 017 6109 SPONSORED BY

XX XX

AWARD

xxxx

WINNER

x xe The contract quality initiative launched by Catlin and supported by CMS “With tighter regulation and the introduction of Solvency II, the Financial and Adsensa represented a timely innovation in the market. Conduct Authority and Lloyd’s reporting requirements all demanding In 2013, Catlin’s business change team enlisted CMS and Adsensa to more rigorous operational control, we were keen to bring in a system that deliver Contract Quality, a customized, browser-based software solution could help us,” Wright said. “After all, even the best risk management for underwriters which was to be piloted with Catlin’s syndicate 2003 strategies can be improved if the intelligence we rely upon is more teams at Lloyd’s in London and Bermuda. accurate and timely.” Delivered in time for January 2014 renewals, Contract Quality means The judges commented that the initiative was a major step forward in BY of automation of processes and better customer outcomes Catlin can now reliably check hundreds of contracts, numberingSPONSORED tens of the pursuit thousands of pages. with highly significant potential market cost and certainty improvement. The initiative shows that complex automated contract review, leading “In many ways this project reflects the changing nature of legal services to error reduction and improved consistency, can revolutionise the to the (re)insurance industry,” said CMS partner Simon Kilgour. underwriting process. “We are using our knowledge of how coverage uncertainties or The sponsors of the project were the syndicate’s underwriting director, disputes can arise by giving helpful advice at the front end of the Jonathan Gale, with Charley Wright, project manager in the business underwriting process rather than at the claims stage. We are also change team and Martin Roberts, senior wordings and technical innovating to help (re)insurers address legal and commercial risk in a manager responsible for working with CMS and Adsensa to configure highly collaborative way, which is the essence of good lawyering,” and implement the software. Kigour added.

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