Latest news with #BurkhardKeese
The Independent
08-05-2025
- Business
- The Independent
Historic insurance market Lloyd's of London appoints new chief executive
Insurance marketplace Lloyd's of London has appointed Patrick Tiernan as its new chief executive, after previous boss John Neal said he would leave in January. Mr Tiernan will take charge at a time of significant change at the top of the centuries-old institution, after new chairman Sir Charles Roxburgh took the post at the start of May. Taking the top job on June 1, Mr Tiernan has been the marketplace's chief of markets for the last four years, and was previously in director roles at insurer Aviva. He said it is 'an immense privilege' to be chosen as the new chief of the insurance and reinsurance marketplace, which was established in 1689. While not an insurer itself, Lloyd's is the industry's most historic name, tracing its roots back to a 17th-century coffee house where merchants met to trade news. It is based in the City of London and on its underwriting floor it houses the Lutine Bell, a centuries-old bell salvaged from the wreckage of the HMS Lutine, a royal navy ship which sunk in 1799. Amid a more volatile global economy, geopolitical instability and the ongoing effects of climate change, it is undergoing its own transition to a new chair, chief executive and finance chief. Chief financial officer Burkhard Keese left at the start of May, replaced by his deputy Alexandra Cliff. Chairman Sir Charles said: 'My first priority has been to appoint a new chief executive and I am therefore delighted that Patrick will be leading Lloyd's in the next stage of its strategic development. 'Patrick's profound understanding of the market, coupled with his commercial acumen and industry expertise, will ensure Lloyd's continues to focus on delivering consistent and disciplined performance. 'The search process demonstrated to me and my colleagues on the Lloyd's council that he was the outstanding candidate for this role. I look forward to working with him, and with all of our market participants, to ensure the future success of Lloyd's.' Sheila Cameron, chief executive of the Lloyd's Market Association, said: 'Throughout his time at Lloyd's, Patrick has championed making the Lloyd's marketplace the best it can be for all its participants. 'We look forward to continuing our deep partnership with Patrick and his team as he takes on this pivotal and privileged role at a time of critical importance for our market.'
Yahoo
10-03-2025
- Business
- Yahoo
Los Angeles wildfires cost Lloyd's of London $2.3 bn
Insurance market Lloyd's of London on Monday said it had taken a financial hit totalling about $2.3 billion from the Los Angeles wildfires earlier this year. "We are still assessing the full impact" of the January fires that will affect 2025 results, chief financial officer Burkhard Keese said in a statement. The fires around the United States' second city burned for three weeks, forcing thousands of residents to evacuate their homes. They destroyed thousands of structures, devastating the affluent Pacific Palisades neighbourhood of Los Angeles, Malibu and the community of Altadena in the wider county. Private meteorological firm AccuWeather has estimated the total damage and economic loss at between $250 billion and $275 billion. Lloyd's of London published financial results on Monday showing pre-tax profits of $11.4 billion for 2024, slightly less than the previous year. The loss from the fires compares with an estimated hit of some 1.2 billion euros ($1.3 billion) announced by German reinsurance giant Munich Re last month. At the time it called them the "the most substantial wildfire losses in the history of the insurance industry". Munich Re said it was well-prepared to absorb the costs from such natural catastrophes and it would continue to cover wildfires as long as the compensation was appropriate. bcp-ode/rlp/jhb Sign in to access your portfolio
Yahoo
10-03-2025
- Business
- Yahoo
Lloyd's of London expects $2.3 billion in net losses from Los Angeles wildfires
LONDON (Reuters) - Lloyd's of London said on Monday it expected $2.3 billion in net losses caused by the recent Los Angeles wildfires, as the insurance marketplace reported a dip in underwriting profit for last year. The estimated loss from the wildfires in January, which killed more than two dozen people and destroyed or damaged more than 16,000 structures, follows an announcement by Germany's Munich Re that it faced about 1.2 billion euros ($1.3 billion) in claims from the fires. Hannover Re, another German reinsurer, forecast claims of 700 million euros while French insurer AXA estimated a pre-tax impact of about 100 million euros. "We would like to extend our deepest sympathies to those affected by the California fires earlier this year. Although we are still assessing the full impact, we do not expect this to be a capital event," Burkhard Keese, Lloyd's chief financial officer, said in a statement. Lloyd's said the estimated losses were not included in its results for 2024, which it released on Monday in a set of preliminary numbers before its final full-year results are published on March 20. Keese described 2024 as an "excellent underwriting year" for Lloyd's as gross written premiums rose 6.5% on a year-on-year basis to 55.5 billion pounds, thanks primarily to growth in its property and reinsurance divisions. However, underwriting profit dropped to 5.3 billion pounds, 10% lower than the 5.9 billion pounds it reported for 2023. Lloyd's said its combined ratio rose to 86.9%, up from 84% in the previous year. The combined ratio is an industry measure, with a reading below 100% meaning earnings from premiums are higher than the amount paid out in claims. Lloyd's is a commercial insurance and reinsurance market, with more than 50 member companies. ($1 = 0.9234 euros) Sign in to access your portfolio
Reuters
10-03-2025
- Business
- Reuters
Lloyd's of London expects $2.3 billion in net losses from Los Angeles wildfires
LONDON, March 10 (Reuters) - Lloyd's of London said on Monday it expected $2.3 billion in net losses caused by the recent Los Angeles wildfires, as the insurance marketplace reported a dip in underwriting profit for last year. The estimated loss from the wildfires in January, which killed more than two dozen people and destroyed or damaged more than 16,000 structures, follows an announcement by Germany's Munich Re ( opens new tab that it faced about 1.2 billion euros ($1.3 billion) in claims from the fires. Hannover Re, another German reinsurer, forecast claims of 700 million euros while French insurer AXA ( opens new tab estimated a pre-tax impact of about 100 million euros. "We would like to extend our deepest sympathies to those affected by the California fires earlier this year. Although we are still assessing the full impact, we do not expect this to be a capital event," Burkhard Keese, Lloyd's chief financial officer, said in a statement. Lloyd's said the estimated losses were not included in its results for 2024, which it released on Monday in a set of preliminary numbers before its final full-year results are published on March 20. Keese described 2024 as an "excellent underwriting year" for Lloyd's as gross written premiums rose 6.5% on a year-on-year basis to 55.5 billion pounds, thanks primarily to growth in its property and reinsurance divisions. However, underwriting profit dropped to 5.3 billion pounds, 10% lower than the 5.9 billion pounds it reported for 2023. Lloyd's said its combined ratio rose to 86.9%, up from 84% in the previous year. The combined ratio is an industry measure, with a reading below 100% meaning earnings from premiums are higher than the amount paid out in claims. Lloyd's is a commercial insurance and reinsurance market, with more than 50 member companies. ($1 = 0.9234 euros)
The Guardian
10-03-2025
- Business
- The Guardian
Lloyd's of London expects $2.3bn losses from California wildfires
Lloyd's of London expects losses of $2.3bn (£1.78bn) from the California wildfires that ravaged Los Angeles this year, but fine art losses were limited because rich residents took their prize possessions with them. The Eaton and Palisades blazes in Los Angeles in early January killed 29 people and were only fully contained after 24 days, having burned more than 14,973 hectares (37,000 acres) and destroyed more than 16,000 buildings. The world's oldest insurance market reported a 10% drop in annual pre-tax profits, to £9.6bn, as part of a trading update, before the full results on 20 March. While it will not be included in the 2024 results, Lloyd's currently estimates the net loss to the market from the California wildfires to be about $2.3bn. Burkhard Keese, the chief financial officer, said: 'We would like to extend our deepest sympathies to those affected by the California fires earlier this year. Although we are still assessing the full impact, we do not expect this to be a capital event.' A capital event is a large loss, for example, from a major hurricane or earthquake, that causes widespread damage and triggers large insurance claims across many syndicates, which make up the Lloyd's market. The affluent Pacific Palisades area and surrounding neighbourhoods were the location of some beautiful 20th-century architecture; for example, houses by the émigré Austrian modernist Richard Neutra have been reduced to ashes. While some experts had expected big losses in fine art, Lloyd's said most of its exposure was reinsurance payouts on home insurance policies. Keese told the Financial Times that rich residents took their fine art with them 'because even if you get the money, you can't replace your Rembrandt'. However, insurers around the world are facing billions of losses from the wildfires, with total losses across the industry estimated at up to $40bn at present, according to the data firm Milliman. Keese said human-made and natural catastrophe losses were likely to keep the cost of commercial cover higher for longer, despite expectations that some prices would fall this year, after losses from US hurricanes dipped because of less severe storm seasons. Sign up to Business Today Get set for the working day – we'll point you to all the business news and analysis you need every morning after newsletter promotion According to the National Ocean and Atmospheric Administration, the frequency of weather and climate disaster events affecting the US, with losses exceeding $1bn, has steadily increased each decade from three a year in the 1980s, to 27 in 2024. The annual cost has also increased, from $22bn a year on average in the 1980s to $182.7bn last year. Lloyd's combined ratio, which measures claims and expenses as a proportion of insurance premiums, rose to 86.9% in 2024 from 84% the year before, as insurers faced large claims from the US hurricanes Helene and Milton in the autumn and the collapse of a bridge in Baltimore a year ago. Gross written premiums increased by 6.5% to £55.5bn, boosted by property and reinsurance.
