JOY FERNEYHOUGH | BANCO ESPIRITO SANTO
In our view the reputational damage to Amlin and Amlin management from ACI has been as significant as the financial one, if not greater. Its 119 per cent combined ratio is a significant deterioration and with a large bulk of losses coming in June, management will need to provide reassurances that July and August development has been better.
SARAH LEWANDOWSKI | PEEL HUNT
ACI suffered in the first half from an “abnormal and inconsistent” level of large claims; claims over €2.5m (£2.2m) amounted to €51.2m, up from €20.6m in 2010. However, it is reported that there has been no material increase to the risk profile of ACI. Integration of ACI remains a key focus, yet this is detracting from the performance of the group.
NICK JOHNSON | NUMIS
ACI remains a challenge and returned an underwriting loss of £43m in the period. Amlin stresses that this reflects unusual loss activity, with underlying loss trends showing encouraging signs following recent restructuring work. The go-live date for moving ACI onto new Amlin systems has also been pushed back by around nine months to the first half of 2012.