{"id":1469,"date":"2022-06-16T12:40:42","date_gmt":"2022-06-16T12:40:42","guid":{"rendered":"http:\/\/www.slameeting.com\/bodoct2022\/?page_id=1469"},"modified":"2022-10-13T23:42:15","modified_gmt":"2022-10-13T23:42:15","slug":"financial-analysis","status":"publish","type":"page","link":"https:\/\/www.slameeting.com\/bodoct2022\/financial-analysis\/","title":{"rendered":"Financial Analysis Market Report"},"content":{"rendered":"\n
<\/div>\n\n\n\n

Financial Analysis Market Report<\/h1>\n\n\n\n\n\n\n\n

Executive Summary<\/h6>\n\n\n\n
<\/div>\n\n\n\n
  • Total premium registered from January through August 2022 (YTD 2022) was $7.9 billion for companies on the LASLI and $3.1 billion for companies (primarily Lloyd\u2019s) not on the LASLI. Premiums from LASLI and Non-LASLI companies increased by 29.3% and 46.7%, respectively, compared to the same period in 2021.<\/li><\/ul>\n\n\n\n
    • All LASLI insurers with a financial strength rating from AM Best are rated A- (Excellent) or better. There are three groups with negative outlooks, one under review with negative implications, and one LASLI insurer with a rating downgraded<\/li><\/ul>\n\n\n\n
      • Total number of LASLI companies was 134 as of August 31, 2022, an increase of four from August 31, 2021.<\/li><\/ul>\n\n\n\n
        • Nine companies applying for the LASLI are in the pipeline\u2014two are currently with the California Department of Insurance (CDI), seven are being reviewed by the SLA. One withdrew on September 9, 2022. <\/strong><\/li><\/ul>\n\n\n\n
          • Core Specialty Insurance Holdings, Inc. completed its acquisition of Hallmark Financial Services, Inc.\u2019s excess & surplus lines operations for approximately $40 million in cash.<\/li><\/ul>\n\n\n\n

            <\/p>\n\n\n\n

            Premium Registered – 2022 (January through August)<\/h6>\n\n\n\n\n\n\n\t\n\t\n\t\n\t\n\t\n\t\n\t\n\t\n\t\n\t\n\t\n\t\n\t\n\t\n\t
            <\/td>Total Premium
            \nRegistered ($000's)<\/td>            		Market Share<\/td>Insurer Count As Of<\/td>\n<\/tr>\n
            <\/td>YTD 2022<\/td>YTD 2021<\/td>YTD 2022<\/td>YTD 2021<\/td>8\/31\/2022<\/td>8\/31\/2021<\/td>\n<\/tr>\n
            LASLI Insurers<\/b><\/td><\/td><\/td><\/td><\/td><\/td><\/td>\n<\/tr>\n
            US Insurers<\/span><\/td>7,548,673<\/td>5,877,743<\/td>68.0%<\/td>70.9%<\/td>114<\/td>111<\/td>\n<\/tr>\n
            Non-US Insurers (all IID listed)<\/span><\/td>346,035<\/td>229,580<\/td>3.1%<\/td>2.8%<\/td>20<\/td>19<\/td>\n<\/tr>\n
            SUBTOTAL<\/span><\/td>7,894,708<\/td>6,107,323<\/td>71.2%<\/td>73.6%<\/td>134<\/td>130<\/td>\n<\/tr>\n
            Non-LASLI Insurers<\/b><\/td><\/td><\/td><\/td><\/td><\/td><\/td>\n<\/tr>\n
            Lloyd's Syndicates<\/span><\/td>1,567,284<\/td>1,304,853<\/td>14.1%<\/td>15.7%<\/td><\/td><\/td>\n<\/tr>\n
            US Insurers<\/span><\/td>1,035,810<\/td>592,991<\/td>9.3%<\/td>7.1%<\/td><\/td><\/td>\n<\/tr>\n
            Non-US Insurers<\/span><\/td>532,928<\/td>242,885<\/td>4.8%<\/td>2.9%<\/td><\/td><\/td>\n<\/tr>\n
            Others (Suspense, Unknown Insurer, etc.)<\/span><\/td>13,565<\/td>6,495<\/td>0.1%<\/td>0.1%<\/td><\/td><\/td>\n<\/tr>\n
            SUBTOTAL<\/span><\/td>3,149,588<\/td>2,147,224<\/td>28.4%<\/td>25.9%<\/td><\/td><\/td>\n<\/tr>\n
            TOTAL - LASLI\/Non-LASLI Insurers<\/td>11,044,296<\/td>8,254,546<\/td>99.5%<\/td>99.5%<\/td><\/td><\/td>\n<\/tr>\n
            Taxable Fees<\/td>50,468<\/td>40,860<\/td>0.5%<\/td>0.5%<\/td><\/td><\/td>\n<\/tr>\n
            TOTAL - Premium And Fees Registered \u00b9<\/td>11,094,764<\/td>8,295,406<\/td>100.0%<\/td>100.0%<\/td><\/td><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n\n\n\n\n

            1<\/sup> Totals may not equal the sum of components due to rounding.<\/sup><\/p>\n\n\n\n

            Note: The breakdown of premium registered for prior year by insurer type is based on insurers\u2019 status as of the prior year.<\/sup><\/p>\n\n\n\n

            The LASLI company insurer count includes all companies on the LASLI regardless of whether they had premium registered.<\/sup> <\/p>\n\n\n\n

            • Total premium and fees registered through August 2022 increased 33.8% year-to-date compared to the same period prior year.<\/li>
            • Premium registered from LASLI insurers is primarily from US ($7.5 billion) versus Non-US ($0.3 billion) companies.<\/li>
            • As of August 31, 2022, the count of LASLI insurers is up by four from August 31, 2021, to 134.<\/li>
            • Premium registered from Non-LASLI insurers continue to be led by Lloyd\u2019s syndicates ($1.6 billion, up 20.2% from $1.3 billion in the same period for 2021).  <\/li>
            • Besides Lloyd\u2019s, the following Non-LASLI insurers had significant premiums registered: Associated Electric & Gas Insurance Services Ltd. (Non-US; $219.2 million), Blue Hill Specialty Insurance Company Inc. (US; $189.2 million), Kinsale Insurance Company (US; $131.4 million), and Trisura Specialty Insurance Company (US; $110.1 million).<\/li>
            • SLA Financial Analysis Department monitors LASLI insurers closely\u2014a benefit to the broker community as well as to the California home state insureds. Non-LASLI insurers with a significant California market presence are monitored, though reviews are more cursory.<\/li><\/ul>\n\n\n\n


              <\/strong><\/p>\n\n\n\n

              LASLI Applicants<\/h6>\n\n\n\n\n\n\n\t\n\t\n\t\n\t\n\t\n\t\n\t\n\t\n\t\n\t\n\t\n\t\n\t\n\t
              Insurer<\/td>Ultimate Parent<\/td>Application Status<\/td>\n<\/tr>\n
              Professional Security Insurance Company<\/td>MAG Mutual Holding Company<\/td>Added to the LASLI on 6\/3\/2022<\/td>\n<\/tr>\n
              QBE Europe SA\/NV<\/td>QBE Insurance Group Limited<\/td>Added to the LASLI on 6\/3\/2022<\/td>\n<\/tr>\n
              Clear Blue Specialty Insurance Company<\/td>PBRA (Cayman) Company<\/td>Added to the LASLI on 6\/27\/2022<\/td>\n<\/tr>\n
              American Inter-Fidelity Exchange<\/td>American Inter-Fidelity Corporation<\/td>Pending CDI CAB's review<\/td>\n<\/tr>\n
              Transverse Specialty Insurance Company <\/td>Virgo Transverse Core, LLC<\/td>Pending CDI CAB's review<\/td>\n<\/tr>\n
              Third Coast Insurance Company<\/td>Blue Cross Blue Shield of Michigan Mutual Insurance Company<\/td>SLA review in progress<\/td>\n<\/tr>\n
              Harleysville Insurance Company of New York<\/td>Nationwide Mutual Insurance Company<\/td>SLA review in progress<\/td>\n<\/tr>\n
              Summit Specialty Insurance Company<\/td>McCarthy Group, LLC<\/td>SLA review in progress<\/td>\n<\/tr>\n
              Trisura Specialty Insurance Company<\/td>Trisura Group Ltd.<\/td>SLA review in progress<\/td>\n<\/tr>\n
              Homesite Insurance Company<\/td>American Family Insurance Group<\/td>SLA review in progress<\/td>\n<\/tr>\n
              Fireman's Fund Indemnity Corporation<\/td>Allianz SE<\/td>SLA review in progress<\/td>\n<\/tr>\n
              Spinnaker Specialty Insurance Company<\/td>Hippo Holdings Inc<\/td>SLA review in progress<\/td>\n<\/tr>\n
              Texas Insurance Company<\/td>AU Holding Company, Inc.<\/td>Application withdrawn on 9\/9\/2022<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n\n\n\n\n
              • CDI is reviewing two LASLI application and the SLA is reviewing seven other LASLI applications.<\/li>
              • Three LASLI applications were added to the LASLI in June 2022.<\/li><\/ul>\n\n\n\n
                LASLI Withdrawals Since NRRA in 2011<\/h6>\n\n\n\n\n\n\n\t\n\t\n\t\n\t\n\t\n\t
                Insurer Type<\/td>Total<\/td>Withdrew Due to NRRA<\/td>Withdrew from Surplus Line Market<\/td>Withdrew for Other Reasons<\/td>\n<\/tr>\n
                Non-US<\/td>20<\/td>10<\/td>7<\/td>3<\/td>\n<\/tr>\n
                US<\/td>19<\/td>1<\/td>4<\/td>14<\/td>\n<\/tr>\n
                SUBTOTAL<\/div><\/td>
                		39<\/td>11<\/td>11<\/td>17<\/td>\n<\/tr>\n
                Lloyd's Syndicates<\/td>78<\/td>78<\/td>0<\/td>0<\/td>\n<\/tr>\n
                TOTAL<\/div><\/td>
                		117<\/td>89<\/td>11<\/td>17<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n\n\n\n\n
                •  No LASLI withdrawals during the eight months of 2022.<\/li><\/ul>\n\n\n\n
                  Premium Registered by AM Best Financial Strength Rating Year-to-Date 2022 (January through August)<\/h6>\n\n\n