LONDON (ShareCast) - (Sharecast News) - Insurance and reinsurance outfit Lancashire Holdings reported a 14% bump in gross premiums written during the first nine months of the trading year - a trend it expects to see continue into 2020.
Lancashire witnessed gross premiums hit $578m in the three quarters ended 30 September, while investment returns improved from 0.9% to 4.1%.

On a divisional basis, property premiums increased 19% to $210m, while aviation premiums rocketed 60% to $24.1m. Marine premiums also jumped 31% to $33.1m due to higher renewal rates in multi-year contracts.

In the Lloyd's business segment, gross premiums increased 15% to $233.1m as a result of new business in the energy, aviation, marine and terrorism classes and favourable premium adjustments.

However, energy premiums fell 12% to $77.6m due to stronger comparatives.

Lancashire said its $33.2m loss estimates from hurricane Dorian and typhoon Faxai remained within expectations and added that it was in preliminary stages of assessing the impact of typhoon Hagibis in Japan.

Chief executive Alex Maloney said: "Given our expectations of a continued improvement in the market in 2020, we intend to retain all of our current capital in order to be able to take full advantage of underwriting opportunities.

"Therefore, in line with our active capital management policy, we are not declaring a special dividend at this point. Our dividend policy remains unchanged and we fully expect to pay our normal final dividend next year.

In a separate announcement, Lancashire tapped its current chief underwriting officer Hayley Johnston to take over as chief executive of LICL, its Lancashire Insurance subsidiary, in the spring of 2020.

Johnston, who will succeed Elaine Whelan, who announced her retirement plans earlier in the year, has many years' experience in the London and international insurance and reinsurance markets and joined Lancashire in 2007 as a marine and aviation underwriter.

Elsewhere, Lancashire also announced on Thursday that James Flude will assume the role of chief underwriting officer, the group's UK regulated insurer, a role previously held by Johnston.

Both appointments were still subject to all relevant regulatory and governance approvals.

Group chief executive Alex Maloney said: "I am delighted to see Hayley and James succeed to these senior roles within our group. Both are longstanding colleagues and valued members of our management team, and each one will bring fresh perspectives and strategic vision to their new roles.

"As we announced earlier in the year, Elaine will also step down from her group chief financial officer role in early 2020 and we expect to be able to report on our succession plans for that role before the end of this year."

As of 0915 BST, Lancashire shares had picked up 2.36% to 689.42p.

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