QBE Syndicate 2999 Annual Report and Accounts 2009

QBE Aviation Syndicate 5555
Business of the syndicate
QBE Aviation Syndicate 5555 was launched
in September 2006 and began writing
business incepting 1 October 2006.
The objective continues to be to develop a balanced
portfolio across all classes of business namely
general aviation, airlines, products and airports.
We will continue to focus on growing the general
aviation portfolio which will reduce the volatility in
the major classes of our business which is in line
with our long term strategy of balance across the
account. We have reduced our airline portfolio for
the second year running because although rates
are improving the premium increases on some
accounts have not been what was required by us.
We have increased our position as lead
underwriter within our General Aviation portfolio
which enables us to have greater influence on
the market and manage claims more effectively.
The recent period of worldwide recession has
magnified our clients’ focus on price being the
major purchasing criteria, but our approach
has been to promote the additional services,
coverage and security we are able to offer as
the incentive to insure with us.
General Aviation
Anthony Prokopiou
We lead over 40% of the risks written which
enables us to influence much of the business
offered to us.
The portfolio is divided into three sections:
Private Business and Pleasure, which is
essentially light aircraft owned by private
individuals and flying clubs.
Industrial Aid, which consists of fixed wing
aircraft and helicopters owned or operated by
corporations for the transport of their executives
and employees.
Commercial, which we categorise as aircraft with
a maximum of 50 seats conducting revenue
earning flights.
The portfolio is internationally spread although
the greater share of our business emanates from
Europe and Asia. The majority of our business is
written through brokers although we do generate
income through branch offices which deal
directly with the insured.
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QBE Syndicate 2999
Annual report 2009
Emilio Di Silvio
Managing Director
We are looking to develop our business through
QBE’s extensive branch network and have
recently opened operations in Norway and France.
Airlines
Dan Boultwood
Our airline business is written on a co-insurance
basis within the international subscription
market. All risks are written through brokers.
We have the capacity to underwrite all classes
of airline business worldwide ranging from
international, national and regional carriers
to charter and cargo airlines.
Our focus has been on the major flag carriers
although our book is constantly under review and
during the early years of the Syndicate we have
made sweeping changes to the portfolio in line
with our strict underwriting approach to the class.
Our long term objective is to become an
influential market leader demonstrating our
knowledge, skills and expertise in this sector.
Products and Airports
Graham Daldry
Our portfolio consists of an international book of
products and airport business written predominantly
through London based insurance brokers. The
business is spread over all sectors including
airframe engine and component manufacturers
in addition to airport and airport related servicing
risks which include refuelling operations.
We have experience in all sectors and in a short
period have gained a significant participation in
each of these sectors of the aerospace market.
We continue to expand our underwriting and claims
services that we offer directly to the brokers and
to our mutual clients. Our long term aim is to
position ourselves as a recognised market leader.
Claims
Jerry Flaxman
Our primary purpose is to provide our customers
with an efficient, sympathetic and speedy resolution
to their claims, as this is when the insurance policy
and our promises come to life. Our claims handling
philosophy focuses on being prepared and
proactive in providing an effective and professional
claims handling service to our clients.
We adopt a sympathetic approach to determining
any claims issues and with our breadth of
expertise and experience can manage the
simplest to the most complex and potentially
costly claims, fairly and in a timely fashion.
2009 Portfolio split
3
£86
million
2
1
1 General Aviation 30%
2 Airlines 37%
3 Products and Airports 33%