Randall & Quilter Investment Holdings Ltd.

Program Management Update

22 February 2021

Randall & Quilter Investment Holdings Ltd, (AIM-RQIH)  ("R&Q"), the leading non-life global speciality insurance company focussing on Program Management and Legacy Insurance businesses, announces a performance update for its Program Management business, for the twelve months ended 31 December 2020.

Highlights

·      Gross Written Premium of $538.9 million (2019 $369.3 million), a 46% increase

·      Economic Commission Revenue of $22.7 million (2019: $12.9m), a 76% increase

·      18 new programs contracted bringing the total number of active programs to 48 (2019: 30) increasing Contracted Premium to $1,281 million (2019 $842 million) a 52% increase

·      Entered the US Excess & Surplus (E&S") Program Management Market in Q4 2020

Commenting on the Program Management developments, Alan Quilter, Group Chief Executive Officer, said:

"In 2020, our Program Management business trading under the Accredited banner continued its strong growth. Our brand and growing reputation in Europe and the US is affording us many opportunities and, with our strong underwriting teams in place across many sectors we look forward to further growth in 2021.

With the launch of our US E&S capability in 2020 Accredited is a now a comprehensive program management solutions provider in all its markets."

Outlined below are the 5 most recent partnerships agreed in Q4 2020.

Accredited Surety and Casualty: 

Accredited Surety and Casualty Company Inc ("ASC"), a wholly owned subsidiary of R&Q and a Florida domiciled insurance company licensed in all 50 states to write admitted business, and is A.M. Best A- (Excellent) rated, has recently  completed three new program partnerships.

·      Tradesman Program Managers (Workers Compensation Insurance)

·      Comprehensive Real Estate Solutions (Real Estate Errors & Omission Insurance)

·      Novum Underwriting Partners (Multiple line Lumber & Wood Products Manufacturing Program

Todd Campbell, President and CEO of ASC, commented: "We see these three new Programs as continued evidence of our growing presence in the market. ASC has a strong pipeline of new partnerships and we are excited to be delivering on our mission to be the program underwriter of choice for US MGAs, MGUs, program owners and their capital partners."

Accredited Insurance (Europe):

Accredited Insurance (Europe) Ltd. ("AIEL"), a wholly owned subsidiary of R&Q, which is licensed to write all non-life classes in all EU member states and the UK, and is A.M. Best A- (Excellent) rated,  has recently completed two new program underwriting partnerships.

The partnerships are with:

·      Global Litigation Limited :(After the Event Insurance) and

·      Optio Underwriting Limited :(Professional Indemnity Insurance)

Colin Johnson, CEO of AEIL, commented: ''We are excited about these two additions to our MGA stable; it continues to highlight the diverse nature of our business.  Our new partners have very strong reputations in their respective markets, and we look forward to working with them.  Whilst both are written out of our UK Branch, we are seeing a number of exciting opportunities across Europe and expect to announce further partnerships in the near future.''

Notes

Economic Commission Revenue represents the Commission Revenue from insurance policies already bound (written), regardless of the length of the policy period (earned).We believe Economic Commission Revenue is a more appropriate measure of the revenue of the business during periods of high growth, due to the larger than normal gap between Gross Written and Gross Earned (IFRS) Premium, and the corresponding fees.

Contracted Premium for Program Management is the Gross Premium that our existing distribution partners believe their programs will generate over a period of time. We expect a significant portion of Contracted Premium to become Gross Premium Written.

Ends

Notes to Editors:

About R&Q 

R&Q is a non-life global speciality insurance company operating two core, highly complementary, businesses: Program Management and Legacy Insurance. Both these businesses are leaders in markets with high barriers to entry and significant growth opportunities. Legacy Insurance generates profits and capital extractions from expert management of legacy non-life insurance portfolios. Program Management generates commission income from its licensed (and rated) carriers in the US, EU and the UK, writing niche and profitable program business, largely on behalf of highly rated reinsurers.

Legal Entity Identifier (LEI): 2138006K1U38QCGLFC94

Website: www.rqih.com