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Annual Report
& Accounts 2024
S Y N D I CAT E
2232
Page
DirectorsandAdministration..................................................................................................................................2
ReportoftheDirectorsoftheManagingAgent......................................................................................................3
StatementofManagingAgent’sResponsibilities...................................................................................................10
IndependentAuditor'sReporttotheMemberofSyndicate2232.........................................................................11
ProfitandLossAccount:TechnicalAccount-GeneralBusiness.............................................................................15
ProfitandLossAccount:Non-TechnicalAccount...................................................................................................16
StatementofComprehensiveIncome.....................................................................................................................17
BalanceSheet-Assets.............................................................................................................................................18
BalanceSheet-Liabilities........................................................................................................................................19
StatementofChangesinMember'sBalances.........................................................................................................20
StatementofCashFlows.........................................................................................................................................21
NotestotheFinancialStatements..........................................................................................................................22
CONTENTS
AlliedWorldManagingAgencyLimited 1
Syndicate2232|AnnualReportandAccounts2024
ManagingAgent
ManagingAgent
TheimmediateholdingcompanyofAllied World Managing Agency Limited ("AWMA"orthe"ManagingAgent")is
AlliedWorldEuropeHoldings,Ltd,whichisincorporatedinBermuda.AWMA'sultimateparentandtowhichthe
resultsofAWMAareconsolidatedintoisFairfaxFinancialHoldingsLimited("Fairfax").
Directors
PFord
KGraves(IndependentNon-Executive)(Appointed26thApril2024)
THennessy(IndependentNon-Executive)(Appointed22ndNovember2024)
SHunter(IndependentNon-ExecutiveChairperson)
SLiversidge(IndependentNon-Executive)
NMacmillan(IndependentNon-Executive)(Resigned31stMay2024)
EMoresco
M O'Leary
MWalsh
Companysecretary
SNewton(Secretary)
ASandhu(AssistantSecretary)
Managingagent’sregisteredoffice:
19thFloor
20FenchurchStreet
London
EC3M3BY
Managingagent’sregisterednumber
07249776
Syndicate
Activeunderwriter
SKamath
Bankers
CitibankNA-London,NewYorkandSingapore
RBCDexia-Toronto
Independentauditors
PricewaterhouseCoopersLLP
Appointedactuary
KPMGLLP
DIRECTORSANDADMINISTRATION
AlliedWorldManagingAgencyLimited 2
Syndicate2232|AnnualReportandAccounts2024
TheDirectorsofAWMA,themanagingagent,acompanyregisteredinEnglandandWales,presenttheirreportand
auditedannualaccountsforSyndicate2232 ("theSyndicate")fortheyearended31December2024 .Theregistered
addressofAWMAis19thFloor,20FenchurchStreet,London,EC3M3BY.
BasisofPreparation
ThisAnnualReportandAccounts2024arepreparedusingtheannualbasisofaccountingasrequiredbyStatutory
Instrument No.1950 of 2008, the Insurance Accounts Directive (Lloyd's Syndicate and Aggregate Accounts)
Regulations2008("the2008Regulations"),andtheLloyd’sSyndicateAccountsInstructionsVersion2.0asmodified
bytheFrequentlyAskedQuestionsVersion1.1issuedbyLloyd’s.
PrincipalActivities
The principal activity of the Syndicate is the transaction of general insurance and reinsurance business. The
Syndicateunderwritesabroadrangeofclassesofbusinessconcentratingmainlyonpropertyandcasualtybusiness
written on both a direct and reinsurance basis. The Syndicate's capacity for the 2024 year was £435.3m (2023:
£330.0m).
TheDirectorshaveareasonableexpectationthattheSyndicateandAWMAhaveadequateresourcestocontinue
inoperationalexistencefortheforeseeablefuture.Thereforetheycontinuetoadoptthegoingconcernbasisof
accountinginpreparingthefinancialstatements.
Results
Theresultfortheyearended31December2024wasaprofitontheTechnicalAccountof£55.9m(2023:£54.8m)
withanetcombinedratioof84.4%(2023:85.8%).Theincreaseinmember'sbalanceto£79.0m(2023:£42.0m)is
reflectiveofthestrongunderwritingperformanceintheyear.
TheSyndicate’skeyfinancialperformanceindicatorsduringtheyearwereasfollows:
2024
£000
2023
£000
Grosspremiumswritten
472,464 416,751
Grosspremiumseared
436,153 384,608
Netpremiumearned
270,383 238,910
Balanceontechnicalaccount
55,946 54,818
Member'sbalance 79,019 42,033
2024
%
2023
%
Grosscombinedratio
87.9 88.9
Netcombinedratio 84.4 85.8
ReviewoftheBusiness
TheSyndicate’sbusinessisproducedthroughtheLloyd’sbrokernetworkandwritteninthesubscriptionmarket,in
eitheraleadorfollowcapacity.TheSyndicateisamemberoftheLloyd'sAsiaplatforminSingaporethroughAllied
WorldSyndicateServices(Singapore)Pte.,LtdandalsooperatesthroughservicecompaniesinMiami,AlliedWorld
ReinsuranceManagementCompany,andBermuda,AlliedWorldSyndicateServices(Bermuda),Ltd.Wearealsoan
activemarketparticipantinLloyd’sEurope(“LIC”)servicingourEUclientsonthisplatform.
REPORTOFTHEDIRECTORSOFTHEMANAGINGAGENT
AlliedWorldManagingAgencyLimited 3
Syndicate2232|AnnualReportandAccounts2024
ReviewoftheBusiness(continued)
TheSyndicatehasusedtheopportunitiesthattheLloyd’sbrandprovidestopursuetargetedgrowthinlinewiththe
followingstrategicgoals:
• SyndicateOversight:maintainour“outperforming”statuswithLloyd’s
• Profitability:targetacombinedratioof95%orloweronawholeaccountbasis
• Capital:maximiseourcapitalemployedbyhavingawell-balancedportfolio,withincreaseddiversification
whichwillultimatelyincreaseourreturnoncapital.
• Underwritingfocus: underwriteclasses ofbusinesswhere‘underwritingmatters’,asopposed tofocusing
onhighvolumeorcash-flowunderwritingopportunities.
• Underwritingcycle:managegrowthandprofitabilityacrosstheunderwritingcycle.
• Marketposition:continuetogrowasaninfluentialandmeaningfulLloyd’smarket-participantinourcore
classesofbusiness,forwhichourunderwritershaveamaturebusinessproposition.
• Distribution: continue to develop meaningful, diverse and cost-competitive distribution strategies and
channels,withrenewedemphasisonmakingiteasierandsimplerforcustomerstoaccessourproductsand
services.
• Human resources: continue to attract and retain the best talent in the market, while maintaining our
inclusive,diverseandinnovativeculture.
• Technology:investin technology thatmakesdoing business easier, servicingclaimsfaster and increasing
efficiencywhilereducingcostsinadigitalisedplatform.
• ESG: advance our Environmental Social and Governance (“ESG”) sustainability ambitions through the
guidanceanddirectionofourESGstrategyandgovernanceframework.WewillcontinuetosupportLloyd’s
intheirESGjourney.
AWMA continues to support the Lloyd’s Blueprint II market modernisation initiatives and are fully engaged with
Lloyd’sinitsjourneytowardsdigitalisation.WeareworkingwithVelonetic,ourthirdpartyvendorsandthemarket
toparticipatefullyinthetestingthatwillberequiredduring2025toensureoursystemsandprocessesarereadyfor
thecutover to the newplatform.We expect anorderlytransitionand are workingwithour Lloyd’s engagement
partners to enable the necessary changes for an easier transition to the new digital services. We are excited by
futureefficiencyimprovementsthatwillcomeasthemarkettransitionstothisnewtechnology.
REPORTOFTHEDIRECTORSOFTHEMANAGINGAGENT(CONTINUED)
AlliedWorldManagingAgencyLimited 4
Syndicate2232|AnnualReportandAccounts2024
ReviewoftheBusiness(continued)
UnderwritingResult
TheSyndicatereportedaprofitonthetechnicalaccountof£55.9m(2023:£54.8m),afterexpensesandinvestment
returnbutbeforeforeignexchangeadjustments,andacombinedratioof84.4%(2023:85.8%).
Grosspremiumwrittenfortheyearwas£472.5m,comparedto£416.8mfortheprioryear,anincreaseof£55.7m.
The increase in premium written was driven primarily by our decision to participate in a best-in-class London
marketplacementfacility,generating£28.4mofnewbusinessincomecoupledwithcontinuedgrowthwithinour
Casualtyclasses.TheSyndicatecontinuestodevelopmeaningfulanddiversedistributionstrategiesandchannels,
withanemphasisonmakingiteasierandsimplerforcustomerstoaccesstheSyndicate'sproductsandservices.
The profit on the technical account of £55.9m (2023: £54.8m) and a combined ratio of 84.4% (2023: 85.8%)
reflectedourexpertanddisciplinedunderwritingcoupledwithcontinuedlowerlevelsoffrequencyandseverityin
catastropheandlargelossevents.
Netprioryearreservereleasesof£16.4m(2023:reservereleasesof£7.0m)improvedthenetcombinedratioby
6.0%(2023:improvementof2.9%),withreleasesonourTreatyPropertyReinsurance,CyberandCasualtyclassesof
business.
The result for the financial year increased member's balances by £55.4m, this was partially offset by the profit
distributionontheclosed2021yearofaccount.Overallmember'sbalancesincreasedby£37.0mto£79.0m(2023:
increasedby£30.5mto£42.0m).
Expenses
Thelevelsofgrossbrokerageandcommissionsandotheracquisitioncosts(whichtypicallyincludeoverseastaxes
andlevies)whenexpressedasaratioofgrosspremiumwrittenremainedat22.9%(2023:22.9%).
Theadministrativeexpenseratiohasdecreasedto11.2%(2023:12.4%).Invalueterms,expensesare£0.6mabove
prioryearandreflecthighercostsinlinewiththescalablegrowthofthebusiness.
Member’spersonalexpensesincludeCentralFundcontributionsandLloyd’ssubscriptions.
Investmentreturn
Thetotalvalueofinvestments,cashandcashequivalentsreached£621.4mbytheendoftheyear(2023:£532.6m)
and generated an investment return of £13.7m (2023: £20.9m). The Syndicate investment portfolio remains
conservatively positioned, with a large allocation to fixed income securities. The portfolio has shifted to long
durationholdingswhencomparedtotheprioryear.
Foreignexchange
Theforeignexchangegainof£0.1m(2023:£1.4mloss)wasdrivenbythetranslationoftransactionalcurrenciesto
USDollars,theSyndicate’sfunctionalcurrency.
REPORTOFTHEDIRECTORSOFTHEMANAGINGAGENT(CONTINUED)
AlliedWorldManagingAgencyLimited 5
Syndicate2232|AnnualReportandAccounts2024
ReviewoftheBusiness(continued)
Technicalresultbyclassanddistribution
2024
Grosswritten
premium
£000
2024
Underwriting
profit/(loss)
£000
2023
Grosswritten
premium
£000
2023
Underwriting
profit/(loss)
£000
LONDON(inclMiami&Bermuda):
Aviation(inclLiability&Hull)
— 166 2 (834)
PropertyDirect&Facultative
13,731 3,858 12,792 2,622
TreatyProperty
19,865 13,602 17,909 13,450
TreatyCasualty
26,887 7,498 25,963 5,593
Marine
23,109 5,224 20,433 5,790
Casualty(inclGeneral,Bespoke)
77,514 25,535 63,116 16,474
Construction
26,629 531 25,743 106
ProfessionalLines(inclE&O,D&O)
95,520 16,423 90,380 24,144
Cyber
53,835 23,660 50,099 13,912
PortfolioSolutions
32,419 2,027 — —
TotalLondon
369,509 98,524 306,437 81,257
ASIA
TreatyProperty
34,850 8,247 38,257 11,742
TreatyCasualty
842 940 1,397 607
Marine
61 4 — (49)
ProfessionalLines(inclE&O,D&O)
24,390 7,224 30,590 6,113
Construction
121 30 206 58
TotalAsia
60,264 16,445 70,450 18,471
EUROPE
PropertyDirect&Facultative
345 131 (262) (80)
Marine
1,178 320 700 417
Casualty(inclGeneral,Bespoke)
376 (143) 442 219
ProfessionalLines(inclE&O,D&O)
34,271 7,886 37,501 5,688
Cyber
1,926 593 1,483 416
PortfolioSolutions
4,595 505 — —
TotalEurope
42,691 9,292 39,864 6,660
TOTALSYNDICATE
472,464 124,261 416,751 106,388
Allocatedinvestmentreturn
13,736 20,906
Netsyndicateoperatingexpenses,including
netacquisitioncostsandforeignexchange
movements
(78,506) (69,585)
Member'spersonalexpenses
(3,544) (2,891)
Balanceonthetechnicalaccount
55,947 54,818
REPORTOFTHEDIRECTORSOFTHEMANAGINGAGENT(CONTINUED)
AlliedWorldManagingAgencyLimited 6
Syndicate2232|AnnualReportandAccounts2024
ReviewoftheBusiness(continued)
Geographicsegmentation
Ageographicanalysisofgrosspremiumwrittenbyterritoryoforiginalinsured,forinsurancebusinessandtreaty
businessisshownbelow:
2024
£000
2023
£000
UK
97,651 86,136
EUmemberstates
45,551 40,180
EuropeexcludingEUmemberstates
6,049 5,335
UnitedStatesofAmerica
98,061 86,498
Canada
39,891 35,187
AsiaPacific
143,132 126,253
Central&SouthAmerica
17,095 15,079
MiddleEast&Africa
25,034 22,083
Total 472,464 416,751
Principalrisksanduncertainties
TheprincipalrisksanduncertaintiesfacingtheSyndicateasdetailedinnotes3and4tothefinancialstatements
areasfollows:
• Underwritingrisk
• Reserverisk
• Reinsurancerisk
• Marketrisk
• Pricerisk
• Currencyrisk
• Interestraterisk
• Creditrisk
• Liquidityrisk
• Operationalrisk
• Strategicrisk
• Grouprisk
• Sustainability/Climatechangerisk
• Geopoliticalrisk
Note4alsocontainsadescriptionofthepoliciesinplacefortheaboveriskcategories,undertheauspicesofan
overarchingRiskManagementStrategyandGovernanceFrameworkdocument.
Futuredevelopments
Theobjectiveisto manageour corebusinessinordertomaximiseprofitabilitythroughfuturemarketcycles.In
addition,AWMAseekstodevelopaselectnumberofinitiativestoexpandourgeographicdistributionandproduct
mix,withacontinuedfocusonprofitablegrowth.
Stampcapacityforthe2025yearofaccounthasincreasedby9.7%to£477.5m(2024yearofaccount£435.3m).
REPORTOFTHEDIRECTORSOFTHEMANAGINGAGENT(CONTINUED)
AlliedWorldManagingAgencyLimited 7
Syndicate2232|AnnualReportandAccounts2024
ReviewoftheBusiness(continued)
RatingAgencies
AllLloyd'sSyndicatesbenefitfromLloyd'scentralresources,includingtheLloyd'sbrand,itsnetworkof
globallicencesandtheCentralFund.TheSyndicatebenefitsfromthefollowingratingsheldbyLloyd's:
A+(Superior)byA.M.BestCompany,AA-(VeryStrong)byStandard&Poor'sandAA-(VeryStrong)by
Fitchratingagency.
Directors
TheDirectorssetoutinthetablebelowhaveheldofficeforthewholeyearfrom1January2024tothe
dateofthisreportunlessstatedotherwise.
PFord
KGraves(IndependentNon-Executive)(Appointed26thApril2024)
THennessy(IndependentNon-Executive)(Appointed22ndNovember2024)
SHunter(IndependentNon-ExecutiveChairperson)
SLiversidge(IndependentNon-Executive)
NMacmillan(IndependentNon-Executive)(Resigned31stMay2024)
EMoresco
MO'Leary
MWalsh
DirectorsofAWMAarecoveredbyaqualifiedthirdpartyprofessionalindemnityprovision.Thishasbeeninplace
forthedurationof2024anduptothedateofthisreport.
CompanySecretary
ASandhu(AssistantSecretary)
SNewton(Secretary)
REPORTOFTHEDIRECTORSOFTHEMANAGINGAGENT(CONTINUED)
AlliedWorldManagingAgencyLimited 8
Syndicate2232|AnnualReportandAccounts2024
ReviewoftheBusiness(continued)
ProvisionofCapital
The Syndicate is wholly aligned with a single capital provider, Allied World Capital (Europe) Limited. The
capital is held at a member level. Accordingly, all of the assets less liabilities of the Syndicate, as
representedinthemembersbalancesreportedon thebalance sheetonpage19,aretakenintoaccount
whendeterminingthemembersLloyd’scapitalrequirements.
DisclosureofInformationtotheAuditors
TheDirectorsofAWMAwhoheldofficeatthedateofapprovalofthisreportconfirmthat,sofarasthey
areeachaware,thereisnorelevantauditinformationofwhichtheSyndicate’sauditorsareunaware;and
eachDirectorhastakenallthestepsthattheyoughttohavetakenasadirectortomakethemselvesaware
of any relevant audit information and to establish that the Syndicate’s auditors are aware of such
information.
IndependentAuditors
PricewaterhouseCoopersLLP("PwC"),CharteredAccountantsandStatutoryAuditFirm,wereappointedby
theBoard,asauditors,inaccordancewithSection14(2)ofSchedule1oftheInsuranceAccountsDirective
(Lloyd's Syndicate and Aggregate Accounts) Regulations 2008. PwC have indicated their willingness to
continueinoffice.
MWalsh
ManagingDirector
04March2025
REPORTOFTHEDIRECTORSOFTHEMANAGINGAGENT(CONTINUED)
AlliedWorldManagingAgencyLimited 9
Syndicate2232|AnnualReportandAccounts2024
The Managing Agent is responsible for preparing the Syndicate annual report and financial statements in
accordancewithapplicablelawandregulations.
The Insurance Accounts Directive (Lloyd’s Syndicate and Aggregate Accounts) Regulations 2008 (‘the 2008
Regulations’)requiretheManagingAgenttoprepareSyndicateannualaccountsforeachfinancialyear.Underthe
2008RegulationstheManagingAgenthaselectedtopreparethefinancialstatementsinaccordancewithUnited
Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law).
UndercompanylawtheManagingAgentmustnotapprovethefinancialstatementsunlesstheyaresatisfiedthat
theygiveatrueandfairviewofthestateofaffairsoftheSyndicateandoftheprofitorlossoftheSyndicatefor
thatperiod.
InpreparingthoseSyndicateannualaccounts,theManagingAgentisrequiredto:
• Select suitable accounting policies whichareapplied consistently, subject to changesarising on the
adoptionofnewaccountingstandardsintheyear;
• Makejudgementsandestimatesthatarereasonableandprudent;
• Statewhetherapplicableaccountingstandardshavebeenfollowed,subjecttoanymaterialdeparturesdisclosed
andexplainedinthefinancialstatements;and
• Preparethe annualaccountson the basisthatthe Syndicate willcontinueto write futurebusinessunless it is
inappropriatetopresumetheSyndicatewilldoso.
TheManagingAgentisresponsibleforkeepingproperaccountingrecordswhichdisclosewithreasonableaccuracy
at any time the financial position of the Syndicate and enable it to ensure that the Syndicate annual accounts
complywiththe2008Regulations.ItisalsoresponsibleforsafeguardingtheassetsoftheSyndicateandhencefor
takingreasonablestepsforpreventionanddetectionoffraudandotherirregularities.
TheManagingAgentisresponsibleforthemaintenanceandintegrityofthecorporateandfinancialinformation
includedonthebusiness’website.LegislationintheUnitedKingdomgoverningthepreparationanddissemination
ofannualaccountsmaydifferfromlegislationinotherjurisdictions.
TheManagingAgentisresponsibleforthepreparationandreviewoftheiXBRLtaggingthathasbeenapplied
totheSyndicateAccountsinaccordancewiththeinstructionsissuedbyLloyd’s,includingdesigning,implementing
and maintaining systems, processes and internal controls to result in tagging that is free from material non-
compliancewiththeinstructionsissuedbyLloyd’s,whetherduetofraudorerror.
STATEMENTOFMANAGINGAGENT'SRESPONSIBILITIES
AlliedWorldManagingAgencyLimited 10
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INDEPENDENTAUDITORS'REPORTTOTHEMEMBEROF
SYNDICATE2232
Reportontheauditofthesyndicateannualaccounts
Opinion
Inouropinion,Syndicate2232’ssyndicateannualaccounts:
• giveatrueandfairviewofthestateofthesyndicate’saffairsasat31December2024andofitsprofit
andcashflowsfortheyearthenended;
• havebeenproperlypreparedinaccordancewithUnitedKingdomGenerallyAcceptedAccountingPractice
(UnitedKingdomAccountingStandards,includingFRS102“TheFinancialReportingStandardapplicable
intheUKandRepublicofIreland”,andapplicablelaw);and
• havebeenprepared in accordancewiththe requirements ofTheInsurance Accounts Directive(Lloyd’s
SyndicateandAggregateAccounts)Regulations2008andtherequirementswithintheLloyd’sSyndicate
Accounts Instructions version 2.0 as modified by the Frequently Asked Questions issued by Lloyd’s
version1.1(“theLloyd’sSyndicateInstructions”).
We have audited the syndicate annual accounts included within the Annual Report and Accounts (the “Annual
Report”),whichcomprise:theBalanceSheet–AssetsandBalanceSheet–Liabilitiesasat31December2024;the
Profit and Loss Account: Technical Account – General business, the Profit and Loss account: Non-
technicalaccount,theStatementofComprehensiveIncome,thestatementofcash flows,andthestatementof
changes in member’s balances for the year then ended; and the notes to the syndicate annual accounts,
which include adescriptionofthesignificantaccountingpolicies.
Basisforopinion
WeconductedourauditinaccordancewithInternationalStandardsonAuditing(UK)(“ISAs(UK)”),TheInsurance
Accounts Directive (Lloyd’s Syndicate and Aggregate Accounts) Regulations 2008, the Lloyd’s Syndicate
Instructionsandotherapplicablelaw.OurresponsibilitiesunderISAs(UK)arefurtherdescribedintheAuditors’
responsibilities for the audit of the syndicate annual accounts section of our report. We believe that the audit
evidencewehaveobtainedissufficientandappropriatetoprovideabasisforouropinion.
Independence
Weremainedindependentofthesyndicateinaccordancewiththeethicalrequirementsthatarerelevanttoour
auditofthesyndicateannualaccountsintheUK,whichincludestheFRC’sEthicalStandard,asapplicabletoother
entities of public interest, and we have fulfilled our other ethical responsibilities in accordance with these
requirements.
To the best of our knowledge and belief, we declare that non-audit services prohibited by the FRC’s Ethical
Standardwerenotprovided.
Otherthanthosedisclosedinnote8,wehaveprovidednonon-auditservicestothesyndicateintheperiodunder
audit.
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INDEPENDENTAUDITORS'REPORTTOTHEMEMBEROF
SYNDICATE2232(continued)
Conclusionsrelatingtogoingconcern
Basedonthe work wehaveperformed, wehavenot identified anymaterialuncertainties relatingtoeventsor
conditionsthat,individuallyorcollectively,maycastsignificantdoubtonthesyndicate’sabilitytocontinueasa
goingconcernforaperiodofatleasttwelvemonthsfromwhenthesyndicateannualaccountsareauthorisedfor
issue.
Inauditingthesyndicateannualaccounts,wehaveconcludedthattheManagingAgent’suseofthegoingconcern
basisofaccountinginthepreparationofthesyndicateannualaccountsisappropriate.
However,becausenotallfutureeventsorconditionscanbepredicted,thisconclusionisnotaguaranteeastothe
syndicate'sabilitytocontinueasagoingconcern.
OurresponsibilitiesandtheresponsibilitiesoftheManagingAgentwithrespecttogoingconcernaredescribedin
therelevantsectionsofthisreport.
Reportingonotherinformation
The other information comprises all of the information in the Annual Report other than the syndicate annual
accounts and our auditors’ report thereon. The Managing Agent is responsible for the other information. Our
opinion on the syndicate annual accounts does not cover the other information and, accordingly, we do not
expressanauditopinionor,excepttotheextentotherwiseexplicitlystatedinthisreport,anyformofassurance
thereon.
Inconnectionwithourauditofthesyndicateannualaccounts,ourresponsibilityistoreadtheotherinformation
and, in doing so, consider whether the other information is materially inconsistent with the syndicate annual
accountsorourknowledgeobtainedintheaudit,orotherwiseappearstobemateriallymisstated.Ifweidentify
anapparentmaterialinconsistencyormaterialmisstatement,wearerequiredtoperformprocedurestoconclude
whether there is a material misstatement of the syndicate annual accounts or a material misstatement of the
otherinformation.If,basedontheworkwehaveperformed,weconcludethatthereisamaterialmisstatementof
this other information, we are required to report that fact. We have nothing to report based on these
responsibilities.
With respect to the Report of the Directors of the Managing Agent (the “Managing Agent’s Report”), we also
considered whether the disclosures required by The Insurance Accounts Directive (Lloyd’s Syndicate and
AggregateAccounts)Regulations2008havebeenincluded.
Basedonourworkundertakeninthecourseoftheaudit,TheInsuranceAccountsDirective(Lloyd’sSyndicateand
AggregateAccounts)Regulations2008requiresusalsotoreportcertainopinionsandmattersasdescribedbelow.
ManagingAgent’sReport
Inouropinion,basedontheworkundertakeninthecourseoftheaudit,theinformationgivenintheManaging
Agent’sReportfortheyearended31December2024isconsistentwiththe syndicateannualaccountsandhas
beenpreparedinaccordancewithapplicablelegalrequirements.
Inlightoftheknowledgeandunderstandingofthesyndicateanditsenvironmentobtainedinthecourseofthe
audit,wedidnotidentifyanymaterialmisstatementsintheManagingAgent’sReport.
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INDEPENDENTAUDITORS'REPORTTOTHEMEMBEROF
SYNDICATE2232(continued)
Responsibilitiesforthesyndicateannualaccountsandtheaudit
ResponsibilitiesoftheManagingAgentforthesyndicateannualaccounts
AsexplainedmorefullyintheStatementofManagingAgent’sResponsibilities,theManagingAgentisresponsible
forthepreparationofthesyndicateannualaccountsinaccordancewiththeapplicableframeworkandforbeing
satisfiedthattheygiveatrueandfairview.TheManagingAgentisalsoresponsibleforsuchinternalcontrolas
theydetermineisnecessarytoenablethepreparationofsyndicateannualaccountsthatarefreefrommaterial
misstatement,whetherduetofraudorerror.
Inpreparingthesyndicateannualaccounts,theManagingAgentisresponsibleforassessingthesyndicate’sability
to continue as a going concern, disclosing as applicable, matters related to going concern and using the going
concern basis of accounting unless it is intended for the syndicate to cease operations, or it has no realistic
alternativebuttodoso.
Auditors’responsibilitiesfortheauditofthesyndicateannualaccounts
Ourobjectivesaretoobtainreasonableassuranceaboutwhetherthesyndicateannualaccountsasawholeare
freefrommaterialmisstatement,whetherduetofraudorerror,andtoissueanauditors’reportthatincludesour
opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in
accordancewithISAs(UK)willalwaysdetectamaterialmisstatementwhenitexists.Misstatementscanarisefrom
fraudorerrorandareconsideredmaterialif,individuallyorintheaggregate,theycouldreasonablybeexpected
toinfluencetheeconomicdecisionsofuserstakenonthebasisofthesesyndicateannualaccounts.
Irregularities,includingfraud,areinstancesofnon-compliancewithlawsandregulations.Wedesignproceduresin
line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities,
including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud, is
detailedbelow.
Basedonourunderstandingofthesyndicateandindustry,weidentifiedthattheprincipalrisksofnon-compliance
withlawsandregulationsrelatedtobreachesofregulatoryprinciples,suchasthosegovernedbythePrudential
RegulationAuthorityandtheFinancialConductAuthority,andthoseregulationssetbytheCouncilofLloyd’s,and
weconsideredtheextenttowhichnon-compliancemighthaveamaterialeffectonthesyndicateannualaccounts.
Wealsoconsideredthoselawsandregulationsthathaveadirectimpactonthesyndicateannualaccountssuchas
The Insurance Accounts Directive (Lloyd’s Syndicate and Aggregate Accounts) Regulations 2008 and the Lloyd’s
SyndicateInstructions.Weevaluatedmanagement’sincentivesandopportunitiesforfraudulentmanipulationof
thesyndicateannualaccounts(includingtheriskofoverrideofcontrols),anddeterminedthattheprincipalrisks
wererelatedtoriskoffraudinrevenuerecognitionandmanagementoverrideofcontrols,includingthepostingof
inappropriate journal entries and the potential for management bias in significant accounting estimates,
particularly in relation to the valuation of incurred but not reported losses within claims outstanding and
estimateswithingrosswrittenpremium.Auditproceduresperformedbytheengagementteamincluded:
• Inspectingrelevantmeetingminutes,including those of the Board, Risk Committee and Non-Executive
DirectorCommitteeof the Managing Agent,andcorrespondencewith regulatory authorities,including
theCouncilofLloyd’s,thePrudentialRegulationAuthorityandtheFinancialConductAuthority;
• Discussions with the Board, management, risk function and internal audit function of the Managing
Agent, including consideration of known or suspected instances of fraud and/or non-compliance with
lawsandregulations;
• Testing and challenging where appropriate the assumptions and judgements made by management in
their significant accounting estimates, particularly in relation to the estimation of incurred but not
reportedlosseswithinclaimsoutstandingandestimateswithingrosspremiumwritten;
• Identifyingandtestingjournalentriesbasedonrisk-basedcriteria;and
• Designingauditprocedurestoincorporateunpredictabilityaroundthenature,timingandextentofour
testing.
AlliedWorldManagingAgencyLimited 13
Syndicate2232|AnnualReportandAccounts2024
INDEPENDENTAUDITORS'REPORTTOTHEMEMBEROF
SYNDICATE2232(continued)
Thereareinherentlimitations in the audit proceduresdescribedabove.We are less likely to becomeawareof
instances of non-compliance with laws and regulations that are not closely related to events and transactions
reflectedinthesyndicateannualaccounts.Also,theriskofnotdetectingamaterialmisstatementduetofraudis
higherthantheriskofnotdetectingoneresultingfromerror,asfraudmayinvolvedeliberateconcealmentby,for
example,forgeryorintentionalmisrepresentations,orthroughcollusion.
AfurtherdescriptionofourresponsibilitiesfortheauditofthesyndicateannualaccountsislocatedontheFRC’s
websiteat:www.frc.org.uk/auditorsresponsibilities.Thisdescriptionformspartofourauditors’report.
Useofthisreport
Thisreport,includingtheopinions,hasbeenpreparedforandonlyforthesyndicate’smemberinaccordancewith
part2ofTheInsuranceAccountsDirective(Lloyd’sSyndicateandAggregateAccounts)Regulations2008andfor
nootherpurpose.Wedonot,ingivingtheseopinions,acceptorassumeresponsibilityforanyotherpurposeorto
anyotherpersontowhomthisreportisshownorintowhosehandsitmaycomesavewhereexpresslyagreedby
ourpriorconsentinwriting.
Otherrequiredreporting
Under The Insurance Accounts Directive (Lloyd’s Syndicate and Aggregate Accounts) Regulations 2008 we are
requiredtoreporttoyouif,inouropinion:
• wehavenotobtainedalltheinformationandexplanationswerequireforouraudit;or
• adequateaccountingrecordshavenotbeenkeptbytheManagingAgentinrespectofthesyndicate;or
• certaindisclosuresofManagingAgentremunerationspecifiedbylawarenotmade;or
• thesyndicateannualaccountsarenotinagreementwiththeaccountingrecords.
Wehavenoexceptionstoreportarisingfromthisresponsibility.
Othermatter
Wedrawattentionto the fact that this report maybeincludedwithina document to which iXBRL tagging has
been applied. This auditors’ report provides no assurance over whether the iXBRL tagging has been applied in
accordancewithsection2oftheLloyd’sSyndicateInstructionsV2.0.
AndrewLyttle(Seniorstatutoryauditor)
forandonbehalfofPricewaterhouseCoopersLLP
CharteredAccountantsandStatutoryAuditors
London
04March2025
AlliedWorldManagingAgencyLimited 14
Syndicate2232|AnnualReportandAccounts2024
PROFITANDLOSSACCOUNT:
TECHNICALACCOUNT-GENERALBUSINESS
FORTHEYEARENDED31DECEMBER2024
Note
2024
£000
2023
£000
Earnedpremiums,netofreinsurance
Premiumswritten:
Grosspremiumswritten 5 472,464 416,751
Outwardreinsurancepremiums (182,897 ) (156,813 )
Netpremiumswritten 289,567 259,938
Changeintheprovisionforunearnedpremiums:
Grossamount (36,313 ) (32,145 )
Reinsurers'share 17,129 11,117
Changeinthenetprovisionforunearnedpremiums (19,184 ) (21,028 )
Earnedpremiums,netofreinsurance 270,383 238,910
Allocatedinvestmentreturntransferredfromthenon-technical
account 13,736 20,906
Claimsincurred,netofreinsurance
Claimspaid:
Grossamount (131,633 ) (113,427 )
Reinsurers'share 50,124 41,350
Netclaimspaid (81,509 ) (72,077 )
Changeintheprovisionforclaims:
Grossamount (113,437 ) (108,542 )
Reinsurers'share 48,824 48,097
Netchangeinthenetprovisionforclaims 7 (64,613 ) (60,445 )
Claimsincurrednetofreinsurance (146,122 ) (132,522 )
Netoperatingexpenses 8 (82,050 ) (72,476 )
Balanceonthetechnicalaccountforgeneralbusiness 55,947 54,818
ComparativeinformationhasbeenrepresentedincompliancewiththeLloyd'sSyndicateAccountsInstructions.
Furtherdetailhasbeenprovidedwithinnotes1and20.
AlliedWorldManagingAgencyLimited 15
Syndicate2232|AnnualReportandAccounts2024
PROFITANDLOSSACCOUNT:
NON-TECHNICALACCOUNT
FORTHEYEARENDED31DECEMBER2024
Note
2024
£000
2023
£000
Balanceonthetechnicalaccountforgeneralbusiness 55,947 54,818
Incomefrominvestments 20,069 14,565
Realisedgains/(losses)oninvestments 1,676 (3,971 )
Investmentmanagementexpensesandcharges (1,353 ) (1,015 )
Unrealised(losses)/gainsoninvestments (6,656 ) 11,327
Netinvestmentreturn 11 13,736 20,906
Allocatedinvestmentreturntransferredtothetechnical
accountforgeneralbusiness
11 (13,736 ) (20,906 )
Foreignexchangegains/(losses) 53 (1,465 )
Profitforthefinancialyear 56,000 53,353
Alloperationsrelatetocontinuingactivities.
Thenotesonpages22to53formanintegralpartofthesefinancialstatements.
AlliedWorldManagingAgencyLimited 16
Syndicate2232|AnnualReportandAccounts2024
STATEMENTOFCOMPREHENSIVEINCOME
FORTHEYEARENDED31DECEMBER2024
2024
£000
2023
£000
Incomeforthefinancialyear 56,000 53,353
Othercomprehensiveincome:
Currencytranslationdifferences (580 ) (3,677 )
Totalcomprehensiveincomefortheyear 55,420 49,676
AlliedWorldManagingAgencyLimited 17
Syndicate2232|AnnualReportandAccounts2024
BALANCESHEET–ASSETS
ASAT31DECEMBER2024
Note
2024
£000
AsRestated
2023
£000
Investments
Otherfinancialinvestments 12 531,260 435,631
Depositswithcedingundertakings 1,687 1,956
532,947 437,587
Reinsurers'shareoftechnicalprovisions
Provisionforunearnedpremium 7 112,178 94,735
Claimsoutstanding 7 306,135 256,558
418,313 351,293
Debtors
Debtorsarisingoutofdirectinsuranceoperations 13 103,237 77,373
Debtorsarisingoutofreinsuranceoperations 13 72,748 66,152
Otherdebtors 13 22,614 17,828
198,599 161,353
Otherassets
Cashatbankandinhand 52,319 58,951
Otherassets 14 37,863 38,009
90,182 96,960
Prepaymentsandaccruedincome
Accruedinterestandrent 217 214
Deferredacquisitioncosts 7 51,496 45,997
51,713 46,211
Totalassets
1,291,754 1,093,404
Thenotesonpages22to53formanintegralpartofthesefinancialstatements.
AlliedWorldManagingAgencyLimited 18
Syndicate2232|AnnualReportandAccounts2024
BALANCESHEET–LIABILITIES
ASAT31DECEMBER2024
Note
2024
£000
2023
£000
Members'balance 79,019 42,033
Totalcapitalandreserves
79,019 42,033
Technicalprovisions
Provisionforunearnedpremium 7 252,339 220,422
Claimsoutstanding 7 726,503 624,405
978,842 844,827
Creditors
Creditorsarisingoutofdirectinsuranceoperations 15 33,937 14,716
Creditorsarisingoutofreinsuranceoperations 15 155,072 137,750
Othercreditorsincludingtaxationandsocialsecurity 15 1,665 18,683
190,674 171,149
Accrualsanddeferredincome 43,219 35,395
Totalliabilities 1,212,735 1,051,371
Totalmember'sbalanceandliabilities 1,291,754 1,093,404
ComparativeinformationhasbeenrepresentedincompliancewiththeLloyd'sSyndicateAccountsInstructions.
Furtherdetailhasbeenprovidedwithinnotes1and20.
Thenotesonpages22to53formanintegralpartofthesefinancialstatements.
Thefinancialstatementsonpages15to53wereapprovedbytheboardofDirectorsofAWMAandweresignedon
itsbehalfby:
MO'Leary
FinanceDirector
04March2025
AlliedWorldManagingAgencyLimited 19
Syndicate2232|AnnualReportandAccounts2024
STATEMENTOFCHANGESINMEMBER'SBALANCES
FORTHEYEARENDED31DECEMBER2024
2024
£000
2023
£000
Member'sbalanceat1January 42,033 11,494
Profitdistribution (18,434 ) (19,137 )
Totalcomprehensiveincomefortheyear 55,420 49,676
Member'sbalancescarriedforwardat31December 79,019 42,033
AlliedWorldManagingAgencyLimited 20
Syndicate2232|AnnualReportandAccounts2024
STATEMENTOFCASHFLOWS
FORTHEYEARENDED31DECEMBER2024
2024
£000
2023
£000
Cashflowsfromoperatingactivities
Profitforthefinancialyear 56,000 53,353
Adjustmentsfor:
Increaseingrosstechnicalprovisions 148,807 138,511
Increaseinreinsurer'sshareofgrosstechnicalprovision (65,491 ) (56,570 )
Increaseindebtors (43,115 ) (9,973 )
Increaseincreditors 20,759 34,509
Movementinotherassets/liabilities 506 (6,997 )
Investmentreturn (13,736 ) (20,906 )
Foreignexchange (8,641 ) (11,861 )
Netcashinflowsfromoperatingactivities 95,089 120,066
Cashflowsfrominvestingactivities
Purchaseofequityanddebtinstruments (296,126 ) (684,703 )
Saleofequityanddebtinstruments 194,306 563,795
Investmentincome 20,785 8,512
Other (586 ) (760 )
Netcashoutflowsfrominvestingactivities (81,621 ) (113,156 )
Cashflowsfromfinancingactivities
Transfertomembersinrespectofunderwritingparticipations (17,673 ) (19,407 )
Capitalcontributions/openyearcashcallsmade (761 ) 270
Netcashoutflowsfromfinancingactivities (18,434 ) (19,137 )
Netdecreaseincashandcashequivalents (4,966 ) (12,227 )
Cashandcashequivalentsat1January 58,951 74,080
Foreignexchangeoncashandcashequivalents (1,666 ) (2,902 )
Cashandcashequivalentsat31December 52,319 58,951
ComparativeinformationhasbeenrepresentedincompliancewiththeLloyd'sSyndicateAccountsInstructions.
Furtherdetailhasbeenprovidedwithinnotes1and20.
AlliedWorldManagingAgencyLimited 21
Syndicate2232|AnnualReportandAccounts2024
1.BasisofPreparation
The Directors of Allied World Managing Agency Limited ("AWMA" or "Managing Agent"), a company incorporated
in England and Wales, present their report and annual accounts for Syndicate 2232 for the year ended
31 December 2024. The registered address of AWMA is 19th Floor, 20 Fenchurch Street, London, EC3M 3BY.
These financial statements have been prepared in accordance with the Regulation 5 of the Insurance Accounts
Directive (Lloyd’s Syndicate and Aggregate Accounts) Regulations 2008, Financial Reporting Standard 102, The
FinancialStandardapplicableintheUK(FRS102)asissuedinAugust2014,andFinancialReportingStandard103
Insurance Contracts (FRS 103) in relation to insurance contracts, and the Lloyd’s Syndicate Accounts Instructions
Version2.0asmodifiedbytheFrequentlyAskedQuestionsVersion1.1issuedbyLloyd’s.
Thesefinancialstatementshavebeenpreparedunderthehistoricalcostconvention,asmodifiedbytherecognition
ofcertainfinancialassetsandliabilitiesmeasuredatfairvalue.Theannualbasisofaccountinghasbeenappliedto
allclassesofbusinesswrittenbytheSyndicate.
During2024,Lloyd'sintroducedchangestothesyndicateaccountsprocesstorationaliseandstandardisefinancial
reporting across the market. As a result, certain comparative information has been represented to ensure
consistencywithcurrent year presentation andcompliancewiththe Lloyd's Syndicate AccountsInstructions.The
changes comprise of reclassification changes and aggregation changes and are presented in further detail within
note20.
Goingconcern
In assessing the Syndicate’s going concern position as at 31 December 2024, the Directors of AWMA have
consideredallavailableinformationaboutthefuture,the possibleoutcomesof eventsandchanges inconditions.
The assessment focused on the capital structure, liquidity stress test scenarios, investment risk, reinsurance
structures,operationalresilienceandeconomicinflationchallengesalongwiththeongoingbusinessconsiderations
suchasfuturepremiumflowsandactualandplannedprofitabilitytargets.
TheDirectors ofAWMAhaveareasonable expectationthattheSyndicatehas adequateresourcestocontinueits
businessoperationsfor atleastthe next12months fromdateof thisreportand to continueas a goingconcern.
Accordingly,theycontinuetoadoptthegoingconcernbasisinpreparingthefinancialstatements.
2.AccountingPolicies
The principal accounting policies are described below. These accounting policies have been applied
consistentlythroughoutthecurrentandprecedingreportingperiod.
2(a)Premiumwrittenandreinsurancepremiumceded
Gross written and outwards reinsurance premium comprise premium on contracts incepting during the financial
year, and adjustments on prior year contracts. Written premium are disclosed gross of commission payable to
intermediariesandexcludetaxesanddutiesleviedonpremium.Outwardsreinsurancepremiumaredisclosedgross
of commissions and profit participations recoverable from reinsurers. Premium written includes estimates for
‘pipeline’ premium. Reinstatement premium related to property catastrophe reinsurance are estimated and
accruedbaseduponcontractualtermsappliedtotheamountoflossesexpectedtobepaid.
2(b)Unearnedpremium
Theprovisionforunearnedpremiumcomprisestheproportionofgrossandoutwardsreinsurancepremiumwritten,
which is estimated to be earned in the following or subsequent financial years, computed separately for each
insurance contract using the daily pro-rata method or established earning patterns for particular classes such as
construction.
2(c)Acquisitioncosts
Acquisitioncostscomprisealldirectandindirectcostsarisingfromtheacquisitionofinsurancecontracts.Deferred
acquisition costs represent the proportion of acquisition costs incurred which corresponds to the proportion of
grosspremiumwrittenwhichisunearnedatthebalancesheetdate.
NOTESTOTHEFINANCIALSTATEMENTS
FORTHEYEARENDED31DECEMBER2024
AlliedWorldManagingAgencyLimited 22
Syndicate2232|AnnualReportandAccounts2024
2.AccountingPolicies(continued)
2(d)Expenses
TheManagingAgenthaschargedtheSyndicate forthesupplyofserviceswhichrepresentsthevalueofservices
providedunder contractstothe extentthatthere isaright toconsiderationand is recordedat thevalueof the
consideration due. The charge is accounted for on an accrual basis and represents the costs incurred by the
ManagingAgentplus5%.
2(e)Claimsprovisionsandrelatedrecoveries
Theprovisionforclaimsandclaimsexpensesincludesestimatesforunpaidclaimsandclaimsexpensesonreported
lossesaswellasanestimateoflossesincurredbutnotreported("IBNR").Theprovisionisbaseduponindividual
claims, case reserves and other reserve estimates reported by insureds and ceding companies as well as
managementestimatesofultimatelosses.Inherentintheestimatesofultimatelossesareexpectedtrendsinclaims
severityandfrequencyandotherfactorswhichcouldsignificantlyvaryasclaimsaresettled.TheDirectorsofAWMA
considerthattheprovisionsforgrossclaimsandrelatedreinsurancerecoveriesarefairlystatedonthebasisofthe
informationcurrentlyavailabletothem.However,ultimatelossesmayvarymateriallyfromtheamountsprovided
in the financial statements as there is inherent uncertainty in relation to the ultimate liability as a result of
subsequent information. Ultimate loss estimates are reviewed regularly and, as experience develops and new
informationbecomesknown,thereservesareadjustedasnecessary.Suchadjustments,ifany,arereflectedinthe
financialstatementsofoperationsintheperiodinwhichtheybecomeknownandareaccountedforaschangesin
estimates.
Amountsrecoverablefromreinsurersarecalculatedinamannerconsistentwiththeclaimliabilityassociatedwith
the reinsured policies. The amounts recoverable from reinsurers are recorded net of bad debt provision for
estimateduncollectablerecoveries.
2(f)Unexpiredrisk
Provision is made for unexpired risks arising from general business where the expected value of the claims and
expensesattributabletotheunexpiredperiodsofpoliciesinforceatthebalancesheetdateexceedstheunearned
premiumprovisioninrelationtosuchpoliciesafterthedeductionofanyacquisitioncostsdeferred.Theprovision
forunexpiredrisksiscalculatedseparatelybyclassesofbusiness,aftertakingintoaccounttherelevantinvestment
return.
2(g)Investments
Investmentsarecarriedattheircurrentfairmarketvalueasshowninnote12.
Fairvalueisthepricethatwouldbereceivedtosellanassetorpaidtotransferaliabilityinanorderlytransaction
betweenmarket participantsatthe measurementdate.The fair valueoffinancial assetsandliabilities tradedin
active markets is based on quoted market bid and ask price for both financial assets and financial liabilities
respectively.
Thefairvalueoffinancialassetsandliabilitiesthatarenottradedinanactivemarketisdeterminedbyobservable
inputs such as quoted prices for similar financial instruments exchanged in active markets, quoted prices for
identicalorsimilarfinancialinstrumentsexchangedinactivemarketsandothermarketobservableinputs.Where
thereareonlyunobservableinputsusedinthemeasurementoffinancialinstruments,managementisrequiredto
useitsownassumptionsandvaluationtechniques.
Gains and losses on investments designated as fair value are recognised through the profit and loss account.
Interestincomefrominvestmentsinbondsandshort-terminvestmentsisrecognisedattheeffectiveinterestrate.
2(h)Investmentreturn
Investment return comprises income received and receivable on fixed income securities, interest earned and
accruedoncash,realisedgainsondisposalofinvestmentsandunrealisedgainsorlossesoninvestmentsheld.
All investment return is initially recognised in the non-technical account. It is then transferred to the technical
accountasitallrelatestofundssupportingunderwritingbusiness.
NOTESTOTHEFINANCIALSTATEMENTS(CONTINUED)
FORTHEYEARENDED31DECEMBER2024
AlliedWorldManagingAgencyLimited 23
Syndicate2232|AnnualReportandAccounts2024
2.AccountingPolicies(continued)
2(i)Reportingcurrency
ThefunctionalcurrencyoftheSyndicateisUnitedStatesdollars($),asitisthecurrencyoftheprimaryeconomic
environment.ThepresentationalcurrencyisUnitedKingdompoundsterling(£)asitismarketpracticetopresent
theSyndicatereportandaccountsinthefunctionalcurrencyoftheLloyd’smarketaggregatedaccounts.
2(j)ForeignExchange
Monetaryassetsandliabilitiesdenominatedinforeigncurrenciesaretranslatedattheexchangeratesrulingatthe
balance sheet date. Revenues and costs are translated at the exchange rates ruling at the dates of the
transactions.Profitsandlossesarisingfromforeigncurrencytranslationandonsettlementofamountsreceivable
andpayableinforeigncurrenciesaredealtwiththroughtheprofitandlossaccount.Profitsandlossesarisingfrom
the translation from functional to presentational currency are dealt with through the statement of other
comprehensiveincome.
2(k)Taxation
UnderSchedule19oftheFinanceAct1993,managingagentsarenotrequiredtodeductbasicrateincometaxfrom
tradingincome.Inaddition,allUKbasicrateincometaxdeductedfromSyndicateinvestmentincomeisrecoverable
byManagingAgents and consequentlythe distribution madetothe member isgrossof tax. Capitalappreciation
fallswithintradingincomeandisalsodistributedgrossoftax.
No provision has been made for any United States Federal Income Tax payable on underwriting results or
investmentearnings.AnypaymentsonaccountmadebytheSyndicateduringtheyearareincludedinthebalance
sheetundertheheading‘otherdebtors’.Noprovisionhasbeenmadeforanyoverseastaxpayablebymemberson
underwritingresults.
2(l)Baddebts
Provision is made for bad debts on overdue receivables or where specific information is available to suggest a
debtormaybeunableorunwillingtosettleitsdebttotheSyndicate.
2(m)Reinsurers'commissionsandprofitparticipations
Reinsurers'commissionsandprofitparticipations,whichincludereinsuranceprofitcommissionandoverriders,have
beentreatedasacontributiontoexpenses,ratherthanasapremiumadjustment.
2(n)Depositswithcedingundertakings
Depositswithcedingundertakingsaremeasuredatcostlessallowanceforimpairment.
2(o)Criticalaccountingestimatesandjudgmentsandkeysourcesofuncertainty
In preparing these financial statements and in the application of the Syndicate’s accounting policies, which are
described above, the Directors of AWMA are required to make critical accounting estimates, judgments and
assumptionsthataffecttheapplicationoftheSyndicate'saccountingpoliciesandthereportedamountsofassets,
liabilitiesandexpenses.Theestimates,judgementsandassociatedassumptionsarebasedonhistoricalexperience
andotherfactorsthatareconsideredtoberelevant.Actualresultsmaydifferfromtheseestimates.Estimatesand
underlyingassumptionsarereviewedonanongoingbasis.Revisionstoestimatesarerecognisedprospectively.
Thekeyareaofuncertaintywhichrequirestheuseofaccountingestimatesandjudgmentsarelistedasfollows:
Claimsprovisions
The most critical estimate included within the syndicate’s balance sheet is the estimate for insurance losses
incurred but not reported ("IBNR") which is included within gross technical provisions and reinsurer’s share of
technicalprovisionsinthebalancesheet.Thisestimateissignificantasitoutlinesthecurrentliabilityforpotential
future incurred claims. The technical provisions estimates as at 31 December 2024 are included within claims
outstandinginthebalancesheetandareseparatelydisclosedinnote7.
NOTESTOTHEFINANCIALSTATEMENTS(CONTINUED)
FORTHEYEARENDED31DECEMBER2024
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Syndicate2232|AnnualReportandAccounts2024
2.AccountingPolicies(continued)
2(o)Criticalaccountingestimatesandjudgmentsandkeysourcesofuncertainty(continued)
Claimsprovisions(continued)
The reserve for IBNR losses and loss expenses relate primarily to unreported events that, based on industry
information,management’sexperienceandactuarialevaluation,canreasonablybeexpectedtohaveoccurredand
are reasonablylikelytoresultinalosstotheSyndicate. IBNR reserves also relate to estimated developmentof
reported events that, based on industry information, management’s experience and actuarial evaluation, can
reasonablybeexpectedtoreachtheSyndicate’sattachmentpointandarereasonablylikelytoresultinaloss.Asa
result,reservesforlossesandlossexpensesincludesignificantestimatesforIBNRreserves.
TheSyndicatefactorsintoIBNRreserveseconomicinflationbyassuminganinflationrateconsistentwithhistorical
andcurrenttrends.TheIBNRreservesarecalculatedastheultimateamountoflossesandlossexpensesless
cumulative paid losses and loss expenses and outstanding losses. The Syndicate’s actuaries employ generally
acceptedactuarialmethodologiestodetermineestimatedultimatelossreserves.
The Syndicate believes that its current estimates of liabilities appropriately reflect its current knowledge of the
business and the prevailing market, social, legal and economic conditions while giving due consideration to
historicaltrendsandvolatilityevidencedintheliabilitiesoverthelongerterm.Althoughmanagementbelievesthat
theIBNRreserves aresufficientto cover losses,therecan be noassurancethat losses willnotdeviate from the
Syndicate’sreserves,possiblybymaterialamounts.
In general, the methods and related assumptions used for estimating the reserve for losses and loss expenses,
includingIBNR,arepredicatedonwhetherthelineofbusinessfallsintooneofthefollowingtwocategories:
short-taillineorlong-tailline.
Inshort-taillinesofbusiness,claimsaregenerallyreportedandpaidwithinarelativelyshortperiodoftimeduring
andfollowingthepolicycoverageperiod. ThisgenerallyenablestheSyndicatetodeterminewithgreatercertainty
theestimateofultimatelossesandlossexpenses.
In long-tail lines of business, claims may be reported or settled several years after the coverage period has
terminated, which increases uncertainties of the reserve estimates in such lines. Due to the lengthy reporting
patternoftheselines,relianceisplacedonindustrybenchmarkssupplementedbytheSyndicate’sownexperience.
For expected loss ratio selections,theSyndicateconsidersitsexistingexperiencesupplementedwithanalysisof
losstrends,ratechangesandexperienceofpeers.
The Syndicate utilises a variety of standard actuarial methods in its analysis. The selections from these various
methodsarebasedonthelossdevelopmentcharacteristicsofthespecificlineofbusiness.Theactuarialmethods
utilisedbytheSyndicateincludePaidLossDevelopmentMethod,ReportedLossDevelopmentMethod,Expected
LossRatioMethod,Bornhuetter-FergusonPaidLossMethod,andBornhuetter-FergusonReportedLossMethod.
Theestimatesandjudgementsareappliedinlinewiththeoverallreservingphilosophyandseektostatetheclaims
provisionsonabestestimate,undiscountedbasis.Aactuarialprudencemarginisalsoappliedoverandabovethe
actuarialbestestimatetoallowfortheinherentuncertaintywithinthebestestimatereserveposition.
NOTESTOTHEFINANCIALSTATEMENTS(CONTINUED)
FORTHEYEARENDED31DECEMBER2024
AlliedWorldManagingAgencyLimited 25
Syndicate2232|AnnualReportandAccounts2024
2.AccountingPolicies(continued)
2(o)Criticalaccountingestimatesandjudgmentsandkeysourcesofuncertainty(continued)
Premiumswritten
Premiumswrittenincludesestimatesforpremiumsduebutnotyetreceivedornotified,alsodefinedasbusiness
whichhasanattachmentdatepriortotheendofthereportingperiodbutwhichhasnotyetbeenprocessedinto
thesystemsutilisedbytheSyndicate.
Forinwardtreatyreinsurancebusiness,keypremiumestimatesofrecognisingpremiumoverthelifeofthecontract
are made. The premium written is initially based on the estimated premium income (“EPI”) of each inward
reinsurance treaty. The EPI is pro-rated across the treaty period on a straight-line basis unless the underlying
writing pattern from the prior period indicates the actual underlying writing pattern is materially different.
ManagementadjusttheEPIestimatesasthetreatylevelaseachcontractmatures.Atatotalsegmentlevelthisis
consideredtoprovideareasonableestimateofpremiumincomeforthefullyear.
Fordelegatedauthoritybusiness,managementestimatepremiumsduebutnotyetreceivedforeacharrangement
basedonhistoricinformationandcurrentmarketconditions.Theestimateisassessedforreasonablenessafterthe
financialyear-endwiththeresultingvariationhistoricallynotbeingsignificant.
Thepremiumdebtorsreceivableheldat31December2024isdisclosedinnote13oftheseaccounts.
2(p)Correctionofpriorperioderror
During the year management identified a misclassification of debtors arising out of insurance and reinsurance
operations. The impact of the error was to overstate debtors arising out of insurance operations by £8.1m and
understate debtors arising out of reinsurance operations by the same amount. Comparative figures in these
financialstatementshavebeenrestatedaccordingly.
Thepresentationofthebalancesheetasat31December2023 ,creditrisknotes(note4)andthedebtors(note13)
havebeenrestated,withdebtorsarisingoutofinsuranceoperationsreducedby£8.1manddebtorsarisingoutof
reinsuranceoperationsincreasedby£8.1m.
3.CapitalandRiskManagement
CapitalManagement
In order to meet the Society of Lloyd’s requirements, the Syndicate is required to calculate its solvency capital
requirements(“SCR”) for theprospectiveunderwritingyear.TheSCRfor theSyndicate isbasedonthemodelled
output of the economic capital model ("ECM"). This amount must be sufficient to cover a "1 in 200" year loss,
reflecting uncertainty in the ultimate run-off of underwriting liabilities. Lloyd’s applies a 35% capital uplift to the
members’capitalrequirement,knownastheEconomicCapitalAssessment(“ECA”).Thepurposeofthisuplift,which
isaLloyd’srequirementandnotaSolvencyIIrequirement,istomeetLloyd’sfinancialstrength,licenceandratings
objectives.
TheECMisalsousedforinternalreportingandoutputsareprovidedtotheBoardofDirectorsofAWMAandits
committees.ECM outputsareincluded intheSyndicate’s OwnRiskSolvencyAssessment("ORSA") report,which
willbesubmittedtoLloyd’sonorbefore31March,2025.
AlthoughLloyd’scapitalsettingprocessesuseacapitalrequirementsetatSyndicatelevel,therequirementtomeet
Solvency II and Lloyd’s capital requirements apply at member level only. Accordingly the capital requirement in
respect of the Syndicate is not disclosed in these financial statements. The level of FAL which supports the
Syndicate’sunderwritingactivitiesandmember'sdeficitisdisclosedinnote18.
NOTESTOTHEFINANCIALSTATEMENTS(CONTINUED)
FORTHEYEARENDED31DECEMBER2024
AlliedWorldManagingAgencyLimited 26
Syndicate2232|AnnualReportandAccounts2024
3.CapitalandRiskManagement(continued)
InsuranceRiskManagement
Insuranceriskisdefinedastheriskoffluctuationsinbenefitspayabletopolicyholdersincludingunderwritingrisk
(which covers catastrophe and non-cat risk), reserve risk and reinsurance risk. Thus it includes the risk of loss
arisingfromprospectiveunderwritingandthedevelopmentofprioryearsandalsoencompassesrisksassociated
withpotentialforincreasedoperatingexpenses.
Theelementsofinsurancerisk(underwriting,reservingandoutwardsreinsurance)aremutuallydependent.They
aredescribedasfollows:
a)UnderwritingRisk(PremiumRisk)
Thisissplitintotwoparts-(i)Theriskthatactuallossesandexpensesonafutureunderwritingyeararegreater
thanthepremiumincomeand(ii)Theriskthatactuallossesandexpensesonunearnedinceptedbusiness,whichis
associatedwithfuturepremiumforpoliciespreviouslywritten,willdifferfromtheexpectedlossesandexpenses.
Thisisfurtherdividedintobothcatastropheriskandnon-catastropheelements.Catastropheriskistheriskthata
single event (or series of events) of major magnitude, usually over a short period of time, leads to a significant
deviationinactualclaimsfromthetotalexpectedclaims.
b)ReserveRisk
Thisistheriskthatactualreservesandexpenses,associatedwithpoliciespreviouslywrittenandearned,willdiffer
fromthebestestimateexpectedreservesorprovetobeinadequateasperthetechnicalprovisions.
c)ReinsuranceRisk
Reinsuranceriskisdefinedastheinabilitytoobtainreinsurancecoverageattheappropriatetimeforareasonable
cost.Theassessmentofreinsuranceriskrelatestorisksarisingfrommismatch,disputeandexhaustion.
StressTestingandSensitivityAnalysis
StresstestingisanimportantriskmanagementtoolutilisedbyAWMAaspartofitsinternalriskmanagementandis
alsoakeypartoftheOwnRiskandSolvencyAssessment("ORSA")process.Stresstestingprovidesmanagement
with information on adverse unexpected outcomes related to a variety of risks and provides an idea of relative
importanceandimpetusformanagementactionasnecessary.Moreover,stresstestingisatoolthatsupplements
otherriskmanagementapproachesandmeasuressuchasriskprofilemonitoringandexposuremanagement.
Stresstestingcoversthefollowingcategories:
a) Scenario Tests - assessing the financial impact on the business of possible future scenarios, e.g, a large
catastrophiceventormultipleevents
b) Sensitivity Tests - assessing the implication of possible alternative assumptions, e.g, variations in premium
incomeandinparticulartheirimpactoncapitalrequirements
c) Reverse Stress Tests - Assessing the impact and management actions for scenarios where the Syndicate has
becomeinsolvent.
NOTESTOTHEFINANCIALSTATEMENTS(CONTINUED)
FORTHEYEARENDED31DECEMBER2024
AlliedWorldManagingAgencyLimited 27
Syndicate2232|AnnualReportandAccounts2024
3.CapitalandRiskManagement(continued)
StressTestingandSensitivityAnalysis(continued)
InsuranceRisk-Scenariotests
TheSyndicaterunsseveralinsuranceriskscenarioteststoassessthefinancialimpactofpossiblefuturescenarios.
Thefollowingaresomeofthescenariosconsidered:
• Thecostimpact assumingtheSyndicate experiencesthe samelevelof naturalcatastropheactivity asinthe
worsthistoricnaturalcatastropheyears
• The impact of non-natural catastrophe losses. The financial impact on the Syndicate of disaster scenarios,
includingLloyd'sdefinedrealisticdisasterscenariosareassessed
• Theimpactofnaturalcatastrophelosses.ThefinancialimpactontheSyndicateofdisasterscenarios,including
Lloyd'sdefinedrealisticdisasterscenarios,areassessed
• Theeffectsofsevereweathereventindustryloss
• Theimpactofclimatechangescenariosleadingtoseverephysicalrisks
• Reserveunderstatement.Thesetestsmaycovercertaincorrelatingclasses,e.g,allCasualtyclasses
• Theeffect ofaprotractedincreasedinflationary environment,which assumesthatinflationrateswould be
higherthanthecurrentmarketexpectationlevelsforalongerperiod
InsuranceRisk-SensitivityAnalysis
• Mis-pricingofrisks/incorrectlossratioassumptions.A5%deviationinlossratiosmaybepostulated,either
upwardsordownwards
• Thetoleranceforvariationsinexpenses,includingindirectcosts,suchasoverheads
• ErrorsinCatastrophePMLcalculations
The following table presents the profit and loss impact of the sensitivity of the value of insurance liabilities
disclosedintheaccounts.Theamountdisclosedinthetablerepresentstheprofitorlossimpactofanincreaseor
decreaseinthegrossandnetclaimsoutstandingasaresultofapplyingthesensitivity.Theamountdisclosedfor
theimpact onclaims outstanding–netofreinsurancerepresentstheimpacton boththe profitand lossforthe
yearandmemberbalance.
Claimsoutstanding
Grossofreinsurance Netofreinsurance
2024 2023 2024 2023
5%Sensitivity £000 £000 £000 £000
Increase 36,325 31,220 21,018 18,392
Decrease (36,325) (31,220) (21,018) (18,392)
ConcentrationsofInsuranceRisk
Concentrationsofriskcanoccurthroughanumberofsources,includingbutnotlimitedto:
• Naturalcatastrophe.
• Non-naturalcatastrophe.
• Territorialexposures.
• Outwardsreinsurancecounterparties.
• Brokerbalancesorover-relianceononebrokeragefirm/sourceofbusiness.
• Assetholdingsbycurrency,classorcounter-party.
• Highdependenceacrossriskcategories.
NOTESTOTHEFINANCIALSTATEMENTS(CONTINUED)
FORTHEYEARENDED31DECEMBER2024
AlliedWorldManagingAgencyLimited 28
Syndicate2232|AnnualReportandAccounts2024
3.CapitalandRiskManagement(continued)
ConcentrationsofInsuranceRisk(continued)
TheECMasemployedbyAWMAcapturesallelementsofconcentrationrisk,mostnotablythepotentialforaclash
between categoriesof risk. Diversificationeffectsarealso allowed for. Capital model outputs are reported on a
quarterlybasistotheBoardandmanagementcommittees.
NaturalandNon-naturalCatastropheexposurearethekeyareasofconcentrationriskwithinthebroaderinsurance
riskdefinition.Thisexposureiscapturedviatheexposuremanagementprocess,whichenablesthecalculationof
probablemaximumLoss(PMLs)andrealisticdisasterscenarios(RDSs).
Withregardstonaturalcatastropherisks,keyregionperilexposuresareidentifiedandunderlyingriskdatautilised
todetermineprobabilisticlosspotential.Externalnaturalcatastrophemodelsareusedforpricingandprobabilistic
loss aggregation to determine gross and net of outwards reinsurance loss potential, by region and by peril.
Deterministicscenariotestingisalsousedtomeasurenaturalcatastropherisk,includingLloyd’sRealisticDisaster
Scenarios.
Withregardstonon-naturalcatastropherisks,keyCyberexposuresareidentifiedandunderlyingriskdatautilised
to determine probabilistic loss potential. An external Cyber catastrophe model is used for probabilistic loss
aggregationtodeterminegrossandnetofoutwardsreinsuranceloss potential.Deterministicscenariotestingis
alsousedto measure Cyber,Liabilityand other non-naturalcatastropherisks, includingLloyd’sRealistic Disaster
Scenarios.
ResultsarepresentedonaquarterlybasistotheBoardandmanagementcommittees.
Theabovecriteriahasresultedin13classesofbusiness(forthe2024YearofAccount)whichhaveconcentrations
orpoolsofrisksthathavecommoncharacteristicsandaresimilarinnature.
COBCode ClassofBusiness
COB10
PropertyDirect&Facultative
COB30
TreatyCasualty
COB40
Errors&Omissions
COB50
Directors&Officers
COB60
GeneralCasualty
COB80
TreatyProperty-CAT
COB90
TreatyProperty-NonCAT
COB100
Marine
COB150
OnshoreConstruction
COB170
Bespoke
COB180
Cyber
COB190
ICX
COB200
PortfolioSolutions
NOTESTOTHEFINANCIALSTATEMENTS(CONTINUED)
FORTHEYEARENDED31DECEMBER2024
AlliedWorldManagingAgencyLimited 29
Syndicate2232|AnnualReportandAccounts2024
3.CapitalandRiskManagement(continued)
InsuranceRisk
RiskTransfer:
• Outwards reinsurance: There is cover in place to protect AWMA from concentrations of risk (e.g.
catastropheloss),singlelargeeventsandvolatilityinresults.Strictcontrolsareappliedintermsofsecurity
ratingsofallapprovedreinsurers.
RiskAcceptance:
• TheAWMAstrategyistoemployaprudentapproachtounderwritingandriskselection.
• Abusinessplanissetandadherencetothisismonitored.
• Capitalmodellingprocesses(economiccapitalmodel)areusedtoensurethatAWMAhassufficientcapital
resourcestosupportitsinsurancerisks.
RiskLimitation:
• Catastropheprobable maximumlosses (‘PMLs’)are limitedby definedcapitaltolerancelevelsatthe1in
250yearevent.
• Therearegeographical/regionallimitsinplacebylineofbusinesstolimitconcentrationrisk.
• Underwritershavesetlinesizelimitations.
• Maximumconcentrationlimitsforthirdpartiesareinplace
RiskAvoidance:
• AWMAwritesbusinessonlywithinitsriskappetites.
4.FinancialRiskManagement
TheSyndicate'sfinancial instruments include investmentsinsecurities at fair valuethroughthe profit and loss,
other receivables, cash and cash equivalents, other payables, accruals and liabilities. The risks associated with
thesefinancialinstrumentsincludemarketrisk(currencyrisk,inflationrisk,interestrateriskandpricerisk),credit
riskand liquidityrisk.TheSyndicatealso hasinsurance-related assetsand liabilitieswhichhave similarfinancial
risks.
Thepoliciesonhowtomitigatetheserisksaresetoutbelow.Managementmonitorstheseexposurestoensure
appropriatemeasuresareimplementedinatimelyandeffectivemanner.
Marketrisk
Pricerisk,currencyrisk,interestraterisk,creditriskandliquidityriskareallgroupedundermarketriskwhichis
definedasthe risk arisingfromfluctuations in valuesof,or income from,investedassets includingfluctuations
duetomovementsininterestrates,foreignexchangerates,creditspreadsorcreditdefaults.
Pricerisk
TheSyndicateisexposedtopriceriskarisingfromfluctuationsinthevalueoffinancialinstrumentsasaresultof
changes in the market prices and the risks inherent in all investments. The Syndicate has no significant
concentrationof pricerisk.The riskis managedbythe Syndicatebymaintaining anappropriate mixoflow-risk
debtsecuritiesandotherfixedincomesecurities.
NOTESTOTHEFINANCIALSTATEMENTS(CONTINUED)
FORTHEYEARENDED31DECEMBER2024
AlliedWorldManagingAgencyLimited 30
Syndicate2232|AnnualReportandAccounts2024
4.FinancialRiskManagement(continued)
Currencyrisk
The Syndicate's exposure to currency risk arises primarily from the currency mismatch in assets and liabilities
primarilydrivenbyinsurancedebtorsandinsurancecreditorsdenominatedincurrenciesotherthanthefunctional
currency.Managementmonitorsforeignexchangeexposureandwillconsiderhedgingsignificantforeigncurrency
exposurewhentheneedarises.
CarryingamountsoftheSyndicate'smaterialforeigncurrencydenominatedassetsandliabilitiesareshownbelow,
thisexcludesmembersbalances:
2024
GBP
£000
USD
£000
EUR
£000
CAD
£000
AUD
£000
OTH
£000
Total
£000
Financialinvestments 45,063 287,321 51,995 64,327 84,241 — 532,947
Reinsurer'sshareoftechnical
provisions 30,988 342,012 6,810 14,051 24,452 — 418,313
Insuranceandreinsurance
receivables 3,812 138,614 24,517 7,753 23,903 — 198,599
Otherassets 6,243 11,556 4,581 31,065 10,786 25,951 90,182
Prepaymentsandaccruedincome 4,248 31,764 2,561 5,037 8,103 — 51,713
Totalassets 90,354 811,267 90,464 122,233 151,485 25,951 1,291,754
Technicalprovisions (182,905) (532,345) (33,952) (78,827) (150,813) — (978,842)
Insuranceandreinsurance
payables (12,842) (188,994) (1,241) (10,280) (10,727) — (224,084)
Accrualsanddeferredincome 1,056 (11,391) 31 69 426 — (9,809)
Totalliabilities (194,691) (732,730) (35,162) (89,038) (161,114) — (1,212,735)
Totalcapitalandreserves (104,337) 78,537 55,302 33,195 (9,629) 25,951 79,019
2023
GBP
£000
USD
£000
EUR
£000
CAD
£000
AUD
£000
OTH
£000
Total
£000
Financialinvestments 22,078 262,438 32,859 76,428 43,784 — 437,587
Reinsurer'sshareoftechnical
provisions 25,708 288,856 1,856 12,826 22,047 — 351,293
Insuranceandreinsurance
receivables 7,037 108,270 19,898 3,599 22,549 — 161,353
Otherassets 13,839 13,546 10,101 14,460 20,248 24,766 96,960
Prepaymentsandaccruedincome 3,700 27,445 3,203 3,975 7,888 — 46,211
Totalassets 72,362 700,555 67,917 111,288 116,516 24,766 1,093,404
Technicalprovisions (163,560)(449,402) (21,318) (69,825) (140,722) — (844,827)
Insuranceandreinsurance
payables (9,841)(177,430) 1,019 (5,356) (7,893) — (199,501)
Accrualsanddeferredincome 12 (6,015) 14 47 (1,101) — (7,043)
Totalliabilities (173,389)(632,847) (20,285) (75,134) (149,716) — (1,051,371)
Totalcapitalandreserves (101,027) 67,708 47,632 36,154 (33,200) 24,766 42,033
NOTESTOTHEFINANCIALSTATEMENTS(CONTINUED)
FORTHEYEARENDED31DECEMBER2024
AlliedWorldManagingAgencyLimited 31
Syndicate2232|AnnualReportandAccounts2024
4.FinancialRiskManagement(continued)
Currencyrisk(continued)
Sensitivitytochangesinforeignexchangerates
Thetablebelowgivesanindicationoftheimpactonresultofapercentagemovementintherelativestrengthof
US dollars, the functional currency of the Syndicate, against the value of all other currencies including the
Syndicate'smajorcurrencies,Sterling,Canadiandollar,EuroandAustraliandollarsimultaneously.Theanalysisis
basedontheinformationat31Decemberofeachyearend:
Impactonresultforthe
financialyearandnetassets
USdollarweakens
2024
£000
2023
£000
10%againstothercurrencies (49) 2,562
20%againstothercurrencies (97) 5,124
USdollarstrengthens
10%againstothercurrencies 49 (2,562)
20%againstothercurrencies 97 (5,124)
Interestraterisk
ThefixedincomesecuritiesintheSyndicate'sinvestmentportfolioaresubjecttointerestraterisk.Anychangesin
interestrateshaveadirecteffectonthemarketvaluesoffixedincomesecurities.Asinterestratesrise,themarket
valuesfallandviceversa.
Thesensitivityoftheresultsandnetassetstochangestotheinvestmentyieldsissetoutinthetablebelow.This
representsmanagement'sassessmentofthereasonablypossiblechangeininterestratesoverthenextyear.
Impactonresultforthe
financialyearandnetassets
2024
£000
2023
£000
Impactof50basispointincreaseonnetresultsandnetassets (3,068) (2,634)
Impactof50basispointdecreaseonnetresultsandnetassets 3,068 2,634
Impactof100basispointincreaseonnetresultsandnetassets (6,137) (5,269)
Impactof100basispointdecreaseonnetresultsandnetassets 6,137 5,269
TheSyndicate'smethodforassessinginterestratefluctuationshasnotchangedsignificantlyoverthefinancialyear.
NOTESTOTHEFINANCIALSTATEMENTS(CONTINUED)
FORTHEYEARENDED31DECEMBER2024
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Syndicate2232|AnnualReportandAccounts2024
4.FinancialRiskManagement(continued)
Creditrisk
Credit risk arises out of the failure of a counter party to perform according to the terms of the contract. The
Syndicate'smajor areas ofcreditrisk are inrelationto itsinvestmentportfolio, its reinsuranceprogram and the
amountsduefrompolicyholdersandintermediaries.
TheSyndicate'sinvestmentportfolioismanagedpursuanttoguidelinesthatfollowtheprudentpersonprinciples.
Theguidelineslimit theallowableholdings ofasingleissue andissuer.The Syndicatebelievesthat thereareno
significantconcentrationsofcreditriskassociatedwithitsinvestmentportfolio.
The Syndicatepurchasesreinsurancein order to limit its maximum loss, to protectagainstconcentrationof risk
within the portfolio and to manage exposure to catastrophic events. Because the ceding of insurance does not
dischargetheSyndicatefromitsprimaryobligationtotheinsureds,theSyndicateremainsliabletotheextentthat
its reinsurers do not meet their obligations under the reinsurance agreements. Therefore, the Syndicate
evaluatesthefinancialconditionofitsreinsurersandmonitorsconcentrationofcreditrisk.Nomaterialprovision
hasbeenmadeforunrecoverablereinsuranceasof31December2024astheSyndicatebelievesthatreinsurance
balanceswillberecovered.
Insurancebalancesreceivableprimarilyconsistofnetpremiumduefrominsuredsandreinsureds.TheSyndicate
believesthatthecounterpartiestothesereceivablesareabletomeet,andwillmeet,alloftheirobligations.The
Syndicate'screditriskis furtherreducedbythe contractualrighttooffsetlossobligations orunearned premium
against premium receivable or to cancel policies as per the cancellation clause in all policies for non-payment.
Consequently,theSyndicatehasnotincludedanymaterialprovisionforunrecoverableaccountsreceivable.
Thefollowingtableshowaggregatedcreditriskexposureforassetsbycreditrating:
2024 AAA AA A
BBBor
less
Not
rated
Total
£000 £000 £000 £000 £000 £000
Sharesandothervariableyieldsecurities 1,941 1,404 23,805 — 1,403 28,553
Debtsecuritiesandotherfixedincomesecurities
384,993
73,373 41,702 — — 500,068
Reinsurer'shareofclaimsoutstanding — 41,657 255,212 — 9,266 306,135
Syndicateloanstocentralfund — — — — 2,639 2,639
Depositswithcedingundertakings — — — — 1,687 1,687
Otherinvestments 10,697 1,325 2,739 6,082 17,019 37,863
Cashatbankandinhand — 52,319 — — — 52,319
Debtorsarisingoutofdirectinsuranceoperations — — — — 103,237 103,237
Debtorsarisingoutofreinsuranceoperations — 5,588 39,328 — 27,832 72,748
Otherdebtorsandaccruedinterest — — — — 22,831 22,831
Totalcreditrisk
397,631
175,666 362,786 6,082 185,914 1,128,080
NOTESTOTHEFINANCIALSTATEMENTS(CONTINUED)
FORTHEYEARENDED31DECEMBER2024
AlliedWorldManagingAgencyLimited 33
Syndicate2232|AnnualReportandAccounts2024
4.FinancialRiskManagement(continued)
Creditrisk(continued)
2023 AAA AA A
BBBor
less
Not
rated
As
Restated
Total
£000 £000 £000 £000 £000 £000
Sharesandothervariableyieldsecurities 2,115 1,461 42,846 — 4,284 50,706
Debtsecuritiesandotherfixedincomesecurities 312,895 43,834 25,113 — — 381,842
Reinsurer'shareofclaimsoutstanding — 95,504 139,981 — 21,074 256,559
Syndicateloanstocentralfund — — — — 3,084 3,084
Depositswithcedingundertakings — — — — 1,956 1,956
Otherinvestments 12,721 722 2,114 5,117 17,335 38,009
Cashatbankandinhand — 58,951 — — — 58,951
Debtorsarisingoutofdirectinsuranceoperations — — — — 77,373 77,373
Debtorsarisingoutofreinsuranceoperations — 2,583 37,961 — 25,609 66,153
Otherdebtorsandaccruedinterest — — — — 18,040 18,040
Totalcreditrisk 327,731 203,055 248,015 5,117 168,755 952,673
Thefollowingtableshowsthecarryingvalueofassetsthatareneitherpastduenorimpaired,theageingofassets
thatarepastduebutnotimpairedandassetsthathavebeenimpaired.Thefactorsconsideredindeterminingthe
value of the impaired assets were: analysis of impairment, ageing of balances, past loss experience, current
economicconditionsandotherrelevantcircumstances.
2024
Neither
duenor
impaired
Pastdue
less
than90
days
Past
due91
to180
days
Pastdue
181to
365days
Pastdue
more
than365
days
Total
pastdue
nor
impaired
Total
£000 £000 £000 £000 £000 £000 £000
Sharesandothervariableyield
securities
28,553 — — — — — 28,553
Debtsecuritiesandotherfixed
incomesecurities
500,068 — — — — — 500,068
Otherinvestments
37,863 — — — — — 37,863
Depositswithcedingundertakings 1,687 — — — — — 1,687
Reinsurer'shareofclaims
outstanding
306,135 — — — — — 306,135
Syndicateloanstocentralfund 2,639 — — — — — 2,639
Debtorsarisingoutofdirect
insuranceoperations 72,509 22,954 6,350 1,424 30,728 103,237
Debtorsarisingoutofreinsurance
operations 69,799 1,157 1,405 387 — 2,949 72,748
Cashatbankandinhand
52,319 — — — — — 52,319
Otherdebtors
22,831 — — — — — 22,831
Totalcreditrisk
1,094,403
24,111 7,755 1,811 — 33,677
1,128,080
NOTESTOTHEFINANCIALSTATEMENTS(CONTINUED)
FORTHEYEARENDED31DECEMBER2024
AlliedWorldManagingAgencyLimited 34
Syndicate2232|AnnualReportandAccounts2024
4.FinancialRiskManagement(continued)
Creditrisk(continued)
2023
Neither
duenor
impaired
Pastdue
lessthan
90days
Pastdue
91to
180days
Pastdue
181to
365days
Pastdue
more
than365
days
Total
pastdue
nor
impaired
As
Restated
Total
£000 £000 £000 £000 £000 £000 £000
Sharesandothervariableyield
securities
50,706 — — — — — 50,706
Debtsecuritiesandotherfixed
incomesecurities
381,842 — — — — — 381,842
Otherinvestments
38,009 — — — — — 38,009
Depositswithcedingundertakings 1,956 — — — — — 1,956
Reinsurer'shareofclaims
outstanding
256,559 — — — — — 256,559
Syndicateloanstocentralfund 3,084 — — — — — 3,084
Debtorsarisingoutofdirect
insuranceoperations 40,836 20,622 13,922 1,993 — 36,537 77,373
Debtorsarisingoutofreinsurance
operations 63,543 723 968 919 — 2,610 66,153
Cashatbankandinhand
58,951 — — — — — 58,951
Otherdebtors
18,040 — — — — — 18,040
Totalcreditrisk 913,526 21,345 14,890 2,912 0 39,147 952,673
Liquidityrisk
TheSyndicatefollowsaprudentpersonprincipleinvestmentstrategy.Thestrategyisdesignedtoemphasisethe
preservation of invested assets, and provide adequate liquidity for the prompt payment of claims as well as
attractivereturnsforthemember.
To help ensureadequateliquidityforthepaymentof claims, the Syndicate takes into account the maturity and
durationofitsinvestmentportfolioanditsliabilityprofile.Insettinginvestmentguidelines,theSyndicateconsiders
theimpact ofvarious catastrophicevents towhichtheSyndicatemaybeexposed.Themajority ofits assetsare
investedinthefixedincomemarkets.Therearerestrictionsonthemaximumamountofitsinvestmentportfolio
that may be invested in alternative investments (such as hedge funds and private equity vehicles) as well as a
minimumamountthatmustbemaintainedininvestmentgradefixedincomesecuritiesandcash.Therearealso
restrictionsontheportfolio'scomposition,includinglimitsonthetypeofissuer,sectorlimits,creditqualitylimits,
portfolioduration,limitsontheamountofinvestmentsinapprovedcountriesandpermissiblesecuritytypes.
For several asset classes the Syndicate has engaged outside investment managers to provide us certain
discretionaryinvestmentmanagementservices.AWMAhasagreedtopayinvestmentmanagementfeesbasedon
themarketvaluesofthe investmentsintheportfolio.The fees,whichvarydependingon theamountofassets
under management, are included as a deduction to net investment income. These investment management
agreementsmaygenerallybeterminatedbyeitherpartyupon30dayspriorwrittennotice.
TheSyndicatehasalsodevelopedinvestmentguidelinesthatincluderestrictionsonthepermissiblesecuritytypes
theinvestmentmanagersmayincludeintheportfoliosthattheymanage.TheSyndicatemaydirectitsinvestment
managerstoinvestsomeoftheinvestmentportfolioincurrenciesotherthanUSdollarbasedonthebusinessthe
Syndicate has written, the currency in which our loss reserves are denominated on our books or regulatory
requirements.
NOTESTOTHEFINANCIALSTATEMENTS(CONTINUED)
FORTHEYEARENDED31DECEMBER2024
AlliedWorldManagingAgencyLimited 35
Syndicate2232|AnnualReportandAccounts2024
4.FinancialRiskManagement(continued)
Liquidityrisk(continued)
The following table summarises the maturity profile of the Syndicate’s financial liabilities based on remaining
undiscountedcontractualobligations,includingoutstandingclaimliabilitiesandothercreditors.Theoutstanding
claimliabilitiesarebasedontheestimatedtimingofclaimpaymentsresultingfromrecognisedclaimliabilities.
2024
No
stated
maturity 0-1year
1-3
years
3-5
years >5years Total
£000 £000 £000 £000 £000 £000
Claimsoutstanding
— 194,869 254,369 155,388 121,877 726,503
Creditors
— 190,675 — — — 190,675
Total
— 385,544 254,369 155,388 121,877 917,178
2023
No
stated
maturity 0-1year
1-3
years
3-5
years
>5
years Total
£000 £000 £000 £000 £000 £000
Claimsoutstanding
— 174,776 217,856 130,057 101,716 624,405
Creditors
— 171,149 — — — 171,149
Total — 345,925 217,856 130,057 101,716 795,554
Operationalrisk
Operational risk is the loss resulting from inadequate or failed internal processes, people and systems. It also
includes legal risks that arise from failure to comply with relevant laws or regulations, risks arising from
inadequatecontingencyplansasaddressedintheSyndicate'sbusinesscontinuityplansandtherisksarisingfrom
theinabilitytorespondandadapttooperationaldisruptionsleadingtoharmbeingcausedtocustomers.
AWMA has developed and implemented a risk register and risk governance system to ensure effective risk
managementofoperationalrisk is carried out. Managementreceivesregular operational risk updatesandthe
BoardofDirectorsoverseestheriskframework.
AWMAhasdevelopedandimplementedanoperationalresilienceframework,whichisoverseenbytheBoardof
Directors.
AWMA has entered into a number of outsourcing arrangements in accordance with outsourcing policies and
procedures,therisksandperformanceofthataremonitoredbymanagement.
TheSyndicate relieson informationtechnologyinvirtuallyall aspectsof itsbusiness.A significantdisruption or
failureoftheSyndicate'sinformationtechnologycouldresultinlossofassetsandcriticalinformation,potential
breachofprivacylaws,exposetheSyndicatetoremediationcostsandreputationaldamage,andadverselyaffect
theSyndicate'sresultsofoperations,financialconditionandliquidity.Cyber-attackscouldfurtheradverselyaffect
the Syndicate's ability to operate facilities, information technology and business systems, or compromise
confidentialcustomerandemployeeinformation.Cyber-attacksresultinginpolitical,economic,socialorfinancial
market instability or damage to or interference with the Syndicate's assets, or its customers or suppliers may
resultinbusinessinterruptions,lostrevenue,highercommodityprices,disruptioninfuelsupplies,lowerenergy
consumption, unstable markets, increased security and repair or other costs, any of which may affect the
Syndicate'sconsolidatedfinancialresults.
NOTESTOTHEFINANCIALSTATEMENTS(CONTINUED)
FORTHEYEARENDED31DECEMBER2024
AlliedWorldManagingAgencyLimited 36
Syndicate2232|AnnualReportandAccounts2024
4.FinancialRiskManagement(continued)
Operationalrisk(continued)
TheSyndicatehas taken steps intendedtomitigatethese risks, includingimplementationof cyber security and
cyberresiliencemeasures,businesscontinuityplanning,disasterrecoveryplanningandbusinessimpactanalysis,
andregularlyupdatestheseplansandsecuritymeasures,however,therecanbenoassurancethatsuchstepswill
beadequatetoprotecttheSyndicatefromtheimpactsofacyberattack.
Itis criticalforAWMA thatthekeyresourcesrequired tosupport itsunderwritingand otheressential business
activities continue to be available. A number of contingency plans are in place to mitigate any loss of key
resourcesfromdisruptingtheongoingoperationsoftheSyndicateandAWMA.
The Syndicate is required to comply with the requirements of a number of regulators including the Financial
ConductAuthority("FCA"),PrudentialRegulationAuthority("PRA"),MonetaryAuthoritySingapore("MAS"),The
OfficeoftheSuperintendentofFinancialInstitutions("OFSI"),AustralianPrudentialRegulationAuthority("APRA")
and Lloyd’s. Lloyd’s requirements include those imposed on the Lloyd’s market by overseas regulators,
particularlyinrespectofUSsitusbusiness.
Strategicrisk
This relates to the risk of not achieving the Syndicate's short and long term objectives due to any inability to
implementappropriatebusinessplansandstrategies,makedecisions(especiallyinthecontextofriskmitigation),
allocatecapitalorresources,oradapttochangesinthebusinessenvironment.AWMAmanagesthisriskthrough
the regular measuring, monitoring and reporting of established risk appetite metrics to AWMA’s Board Risk
Committee.
Grouprisk
Group risk refers to the potential impact of risk events, of any nature, arising in or from membership of a
corporategroup.PotentialnegativeimpactsontheactivitiesoftheSyndicatebyAlliedWorldAssuranceCompany
Holdings,Ltd,anditssubsidiaries(collectively,the"Group").
Sustainabilityandclimatechangerisk
Climate-relatedrisksandopportunitieshaveincreasedinrecentyearsandunderstandingandmanagingclimate
change risk is of fundamental importance to the business. Climate change exposes AWMA to a range of risks
whichcanbegroupedintothreemaincategories:
Physicaldamage
Physical damage climate change risks may arise from increased frequency and/or severity of climate related
eventsbeyondanticipated. Physical risksmaychallengeour ability to effectivelyunderwrite,model and price
catastropheriskparticularly if thefrequencyand severity of catastrophiceventssuch as hurricanes,tornadoes,
floods,wildfiresandwindstormsandothernaturaldisastersmaybeexacerbatedglobally.
Allied World review and assess their view of catastrophe risk based on the latest catastrophe models and
aggregateexposuresandusetheoutputoftheanalysiswithintheirpricingmodelstominimisetheriskoflosses
beinggreaterthananticipated.
NOTESTOTHEFINANCIALSTATEMENTS(CONTINUED)
FORTHEYEARENDED31DECEMBER2024
AlliedWorldManagingAgencyLimited 37
Syndicate2232|AnnualReportandAccounts2024
4.FinancialRiskManagement(continued)
Sustainabilityandclimatechangerisk(continued)
Transitionalrisk
Transitional risks may arise from the effort to transition towards a lower-carbon economy, such as changes in
governmentpolicy,technologychanges,reputationalrisks,changesinconsumerdemandandupdatingofglobal
infrastructurewhichmayleadtoareductioninthevalueofcertainassets.
Assetvolatilitymayincreaseifassetsareinvestedwithashort-termviewnothavingtakenintoconsiderationthe
potential longer-term climate change related impacts. AWMA have minimised this risk by taking a longer-term
view when investing in assets and thus currently have no assets invested in fossil fuel mining or producers or
majorusersoffossilfuelssuchasairorshippingtransportation,chemicalmanufacturersetc.andthusthisriskis
consideredtobelow.AWMAwillcontinuetomonitorthisriskasitdevelopshoweveritiscurrentlyalowriskto
theportfolio.
Liabilityrisk
Liabilityrisksarerisksthatarisefromthirdpartiesseekingcompensationfromtheeffectsofclimatechange,such
ascompaniesbeinglitigatedagainstduetotheimpactoftheirgreenhouseemissions.TheSyndicatereviewsits
portfoliocompositionand where aliabilityor reputational riskisexpectedto emergeunderwiritingactions are
takentoreduceormitigatethisrisk.
Climate change presents risk of financial loss to AWMA. For example, losses resulting from actual policy
experiencemaybeadverseascomparedtotheassumptionsmadeinproductpricingandourabilitytomitigate
ourexposuremaybereduced.Climatechange-relatedrisksmayalsoadverselyimpactthevalueofthesecurities
that we hold or lead to increased credit risk of other counterparties we transact business with, including
reinsurers.
AWMAhasaclimatechangestrategywhichoutlinestheSyndicate’sclimatechangeambitionandagovernance
structureisinplacetosupportthemonitoringofclimatechangedevelopmentsandpotentialimpactofclimate
changeonthebusiness.AWMAutilizesthegovernanceframeworktodriveenhanceddecisionmakingrelatingto
climate change. Additionally, AWMA has explored the resilience and vulnerabilities of the business model,
throughmodellingofarangeofclimatechangescenarioswithintheORSA,toinformstrategicplanning.AWMA
continues to develop its climate change risk modelling capabilities, however, we cannot predict the long-term
impactsofclimatechangeonourbusinessandresultsofoperations.
Geopoliticalrisk
Therisks ofadverse effectsfrom geopoliticalevents appearto beincreasing inrecent years,through economic
andmilitaryconflictsinvolvingcountriesinseveralpartsoftheworld.Geo-politicalrisks,alreadyelevatedin2023
from both the conflict in Ukraine and the armed conflict between Hamas-led Palestinian militant groups and
Israeli military forces, continued to remain high in 2024. Government policies and actions taken, including
responses of other governments to such actions, may adversely affect the Company’s financial position and
performance through reduced sales and/or increased costs and may impact the Company’s operational
performance through restricted supply chains, physical damage to our properties and loss of life of our
employees.
AreviewoftheSyndicate'sexposuretobothoftheaboveconflictshasbeenconducted.Theresultsindicatethat
the Syndicate has limited exposure to claims directly arising from the conflicts. However, as these are ongoing
eventsitisdifficulttopredictthelongertermimpactonthewiderglobalgeo-politicallandscapeandhencethe
potentialadverseimpactonourbusinessandresultsofoperationsovertime.
NOTESTOTHEFINANCIALSTATEMENTS(CONTINUED)
FORTHEYEARENDED31DECEMBER2024
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Syndicate2232|AnnualReportandAccounts2024
4.FinancialRiskManagement(continued)
Policiesandprocesses
Policies specific to the Syndicate are in place for all of the above risk categories, under the auspices of an
overarchingRiskManagementStrategyandGovernanceFrameworkdocument.Thesedocumentsarereviewedby
theBoardonanannualbasis,withtheresponsibilitydelegatedonanoperationalbasistotheriskmanagement
functionundertheleadershipoftheChiefRiskOfficer.
InaddressingallrisktypestheSyndicateaimstoensurethat:
• Allsignificantinsurancerisksareidentified,measured,assessed,managedandmonitoredinaconsistent
andeffectivemanner;
• Appropriateandreliableriskmanagementtoolsaredeployedtosupportriskmanagement,particularly
managementreporting,decisionmakingandcapitalassessment;
• AllDirectors,managementandstaffareaccountableformanagingriskinlinewiththerolesand
responsibilitieswhicharesetoutindetailinthepolicy;and
• Aneffectivegovernanceframeworkisinplacetoensurethatriskmanagementisembeddedinbusiness
activity.Thegovernancestructureisbasedonathreelinesofdefencemodel.
TheriskmanagementmethodologyemployedbytheSyndicatereflectstherelevantelementsidentifiedintherisk
register. Risks relating to underwriting (including business planning and pricing risk), reserving and outwards
reinsuranceareidentified,alongwithrelevantemergingrisksareidentified,measured,monitoredandreported.
Dependenciesbetweeninsurancerisksaswellasbetweenriskcategoriesaretakenintoaccount,inparticularas
regardscapitalrequirements.
Risksaremonitoredonaregularandtimelybasisbasedonsuitablemanagementinformation.Risksatallrelevant
levelsandoverappropriategeographicalareasaremeasuredregularly.Thisinformationcanthenbereportedto
appropriateparties,suchascommitteesandBoardofDirectorsofAWMAatasuitablelevelofaggregationandon
aregularbasis,typicallyquarterly.Keyriskindicatorsareusedtomeasureexposureagainstriskappetite,based
ontolerancecriteriawhicharesetbeforehandbytheBoardofAWMA.
NOTESTOTHEFINANCIALSTATEMENTS(CONTINUED)
FORTHEYEARENDED31DECEMBER2024
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Syndicate2232|AnnualReportandAccounts2024
5.AnalysisofUnderwritingResult
Ananalysisoftheunderwritingresultbeforeinvestmentreturnissetoutbelow:
2024
Gross
premium
written
£000
Gross
premium
earned
£000
Gross
claims
incurred
£000
Gross
operating
expenses
£000
Reinsurance
balance
£000
Total
£000
DirectInsurance:
Accidentandhealth 139 226 (59) (192) 0 (25)
Motor(thirdpartyliability) 526 391 (955) (83) 0 (647)
Motor(otherclasses) 13,536 12,150 (3,943) (4,652) (80) 3,475
Marine,AviationandTransport 19,055 19,575 (14,051) (5,686) 2,453 2,291
Fireandotherdamagetoproperty 49,052 36,005 (15,711) (4,307) (7,741) 8,246
Third-partyliability 221,934 206,363 (112,509) (71,156) (2,451) 20,247
Miscellaneous 220 491 1,360 (110) (725) 1,016
DirectInsurance 304,462 275,201 (145,868) (86,186) (8,544) 34,603
Reinsurance
168,002 160,950 (99,202) (50,368) (3,773) 7,607
Total 472,464 436,151 (245,070) (136,554) (12,317) 42,210
2024
Gross
premium
written
£000
Gross
premium
earned
£000
Gross
claims
incurred
£000
Gross
Operating
expenses
£000
Reinsurance
balance
£000
Total
£000
Additionalanalysis:
Fireandotherdamagetoproperty
ofwhichis:
Energy 3,852 2,250 (1,101) (196) (324) 629
NOTESTOTHEFINANCIALSTATEMENTS(CONTINUED)
FORTHEYEARENDED31DECEMBER2024
AlliedWorldManagingAgencyLimited 40
Syndicate2232|AnnualReportandAccounts2024
5.AnalysisofUnderwritingResult(continued)
2023
Gross
premium
written
£000
Gross
premium
earned
£000
Grossclaims
incurred
£000
Gross
operating
expenses
£000
Reinsurance
balance
£000
Total
£000
DirectInsurance:
Accidentandhealth 336 302 (235) (169) 0 (102)
Motor(thirdpartyliability) 206 183 (1,438) (72) 0 (1,327)
Motor(otherclasses) 11,933 10,035 (4,409) (4,087) (19) 1,520
Marine,AviationandTransport 17,911 15,106 (13,458) (4,995) 3,277 (70)
Fireandotherdamagetoproperty 26,965 18,811 (15,540) (3,784) (579) (1,092)
Third-partyliability 194,495 188,962 (108,118) (62,512) (2,937) 15,395
Miscellaneous 42 522 2,745 (97) (2,048) 1,122
DirectInsurance 251,888 233,921 (140,453) (75,716) (2,306) 15,446
Reinsurance
164,863 150,685 (81,516) (44,250) (6,452) 18,467
Total 416,751 384,606 (221,969) (119,966) (8,758) 33,913
2023
Gross
premium
written
£000
Gross
premium
earned
£000
Gross
claims
incurred
£000
Gross
Operating
expenses
£000
Reinsurance
balance
£000
Total
£000
Additionalanalysis:
Fireandotherdamagetoproperty
ofwhichis:
Energy 540 464 (1,501) (173) (421) (1,090)
Of the £472.5m gross premium written (2023: £416.8m), £369.5m were underwritten in the UK (2023:
£306.4m),£60.3mwereunderwritteninAsia (2023:£70.5m)and£42.7mwereunderwritteninEurope (2023:
£39.9m).
NOTESTOTHEFINANCIALSTATEMENTS(CONTINUED)
FORTHEYEARENDED31DECEMBER2024
AlliedWorldManagingAgencyLimited 41
Syndicate2232|AnnualReportandAccounts2024
6.ClaimsDevelopment
Thefollowing tablesshowthe developmentof claimsoveraperiodof timeonboth agross andnetof reinsurance
basis.Thetophalfofthetableshowshowtheestimatesoftotalclaimsforeachunderwritingyeardevelopovertime.
Thelowerhalfofthetablereconcilesthecumulativeclaimstotheamountappearinginthebalancesheet.
CumulativeclaimsestimatesandcumulativepaymentsaretranslatedintoPoundsSterlingattheperiodendrateasat
31December2024.
Asthesetablesareonanunderwritingyearbasis,thereisanapparentlargeincreasefromamountsreportedforthe
endoftheunderwritingyeartooneyearlaterasalargeproportionofpremiumsareearnedintheyearofaccount’s
secondyearofdevelopment.
Analysisofclaims
development-
Gross
2015
£005
2016
£000
2017
£000
2018
£000
2019
£000
2020
£000
2021
£000
2022
£000
2023
£000
2024
£000
Total
£000
Estimatesofgross
claims
Endof
underwritingyear
78,791 66,931
193,030
80,668 80,773 71,961 64,191 69,830 86,499
105,636
898,310
Oneyearlater
112,954
141,157
225,951
160,229
138,579
133,952
171,216
190,704
207,051
— 1,481,793
Twoyearslater
141,044
146,752
235,982
178,284
142,046
132,888
173,315
199,858
— — 1,350,169
Threeyearslater
142,792
149,017
242,251
176,527
134,137
125,622
156,131
— — — 1,126,477
Fouryearslater
151,607
143,444
234,184
180,010
128,779
122,296
— — — — 960,320
Fiveyearslater
159,270
140,728
235,151
190,122
129,280
— — — — — 854,551
Sixyearslater
160,167
135,701
244,996
194,098
— — — — — — 734,962
Sevenyearslater
159,186
137,058
250,574
— — — — — — — 546,818
Eightyearslater
166,391
135,708 — — — — — — — — 302,099
Nineyearslater
166,777
— — — — — — — — — 166,777
Estimateofgross
claimsreserve
166,777
135,708
250,574
194,098
129,280
122,296
156,131
199,858
207,051
105,636
1,667,409
Provisioninrespect
ofprioryears
13,823
Lessgrossclaims
paid
151,951
121,143
217,820
148,470
93,400 64,062 67,136 53,706 29,927 7,114 954,729
Grossclaims
reserve
14,826 14,565 32,754 45,628 35,880 58,234 88,995
146,152
177,124
98,522 712,680
NOTESTOTHEFINANCIALSTATEMENTS(CONTINUED)
FORTHEYEARENDED31DECEMBER2024
AlliedWorldManagingAgencyLimited 42
Syndicate2232|AnnualReportandAccounts2024
6.ClaimsDevelopment(continued)
Analysisofclaims
development-
Net
2015
£000
2016
£000
2017
£000
2018
£000
2019
£000
2020
£000
2021
£000
2022
£000
2023
£000
2024
£000
Total
£000
Estimatesofnet
claims
Endof
underwritingyear
66,611 43,412 104,230 52,289 50,294 42,117 38,678 44,671 52,935 66,844 562,081
Oneyearlater
97,168 89,488 127,856 97,366 84,630 74,981 106,479 125,892
125,677
— 929,537
Twoyearslater
117,492
90,282 144,695 106,368 88,915 76,249 108,019 124,412 — — 856,432
Threeyearslater
117,446
91,182 147,439 103,961 88,939 72,285 96,025 — — — 717,277
Fouryearslater
123,549
88,828 143,362 104,861 86,495 68,506 — — — — 615,601
Fiveyearslater
129,536
87,025 145,327 107,592 86,660 — — — — — 556,140
Sixyearslater
129,504
85,132 150,081 109,581 — — — — — — 474,298
Sevenyearslater
128,486
86,508 151,448 — — — — — — — 366,442
Eightyearslater
132,361
85,707 — — — — — — — — 218,068
Nineyearslater
131,457
— — — — — — — — — 131,457
Estimateofnet
claimsreserves
131,457
85,707 151,448 109,581 86,660 68,506 96,025 124,412
125,677
66,844
1,046,317
Provisionin
respectofprior
years
9,444
Lessnetclaims
paid
117,652
76,446 133,648 87,478 67,217 38,262 47,205 39,134 21,813 6,540 635,395
Netclaims
reserve
13,805 9,261 17,800 22,103 19,443 30,244 48,820 85,278
103,864
60,304 410,922
NOTESTOTHEFINANCIALSTATEMENTS(CONTINUED)
FORTHEYEARENDED31DECEMBER2024
AlliedWorldManagingAgencyLimited 43
Syndicate2232|AnnualReportandAccounts2024
7.TechnicalProvisions
Thechangeinnetprovisionforclaimsismadeupofthefollowing:
Gross Reinsurers'share Net
2024
£000
2023
£000
2024
£000
2023
£000
2024
£000
2023
£000
Unearnedpremiumreserve
At1January 220,422 196,934 (94,735) (87,793) 125,687 109,141
Premiumswrittenduringtheyear 378,532 327,308 (95,608) (83,648) 282,924 243,660
Premiumsearnedduringtheyear (342,220) (295,163) 78,480 72,531 (263,740) (222,632)
Foreignexchangemovements (4,395) (8,657) (315) 4,175 (4,710) (4,482)
Total 252,339 220,422 (112,178) (94,735) 140,161 125,687
Gross Reinsurers'share Net
2024
£000
2023
£000
2024
£000
2023
£000
2024
£000
2023
£000
Deferredacquisitioncosts
At1January 45,997 39,590 (28,352) (26,556) 17,645 13,034
Incurreddeferredacquisition
costs 108,078 95,482 (54,502) (47,492) 53,576 47,990
Amortiseddeferredacquisition
costs (101,442) (87,357) 49,566 44,439 (51,876) (42,918)
Foreignexchangemovements (1,137) (1,718) (123) 1,257 (1,260) (461)
Total 51,496 45,997 (33,410) (28,352) 18,085 17,645
Gross Reinsurers'share Net
2024
£000
2023
£000
2024
£000
2023
£000
2024
£000
2023
£000
Claimsoutstanding
At1January 624,405 533,793 (256,558) (218,789) 367,848 315,004
Claimspaidduringtheyear (131,633) (113,427) 28,194 19,770 (103,439) (93,657)
Expectedcostofcurrentyear
claims 266,519 230,293 (80,832) (71,017) 185,687 159,276
Changeinestimatesofprioryear
provisions (21,448) (8,324) 3,814 3,151 (17,634) (5,173)
Foreignexchangemovements (11,339) (17,930) (753) 10,328 (12,092) (7,602)
Total 726,503 624,405 (306,135) (256,558) 420,370 367,848
NOTESTOTHEFINANCIALSTATEMENTS(CONTINUED)
FORTHEYEARENDED31DECEMBER2024
AlliedWorldManagingAgencyLimited 44
Syndicate2232|AnnualReportandAccounts2024
8.NetOperatingExpenses
2024
£000
2023
£000
Acquisitioncosts 108,077 95,482
Changeindeferredacquisitioncosts (1,700) (5,072)
Administrativeexpenses 26,631 26,666
Member'sstandardpersonalexpenses 3,544 2,891
Reinsurers'commissionsandprofitparticipation (54,502) (47,491)
Total 82,050 72,476
AWMAdoesnotchargeaManagingAgencyfee,ithasrechargedvariousexpenseswhichhavebeenincurredonthe
Syndicate’sbehalf.Theseamountedto£17.7m(2023:£17.4m)forthefinancialyear.
Administrativeexpensesincludefeespayabletotheauditorsandtheirassociates(exclusiveofVAT).Ananalysisof
theauditors'remunerationisasfollows:
2024
£000
2023
£000
Auditfees:
FeespayabletotheSyndicate'sauditorsfortheauditofthese
financialstatements 318 290
Non-auditfees:
Otherservicespursuanttolegislationandtagging 199 175
OtherservicespursuanttolegislationincludefeesfortheSyndicatehalfyearreview,year-endauditofSolvencyII
balancesheet,iXBRLtaggingandfeesinrespectoftheSingaporeanregulatoryreturnannualaudit.
Totalcommissionsfordirectinsurancebusinessfortheyearamountedto:
2024
£000
2023
£000
Totalcommissionfordirectinsurancebusiness 68,952 59,487
NOTESTOTHEFINANCIALSTATEMENTS(CONTINUED)
FORTHEYEARENDED31DECEMBER2024
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Syndicate2232|AnnualReportandAccounts2024
9.StaffNumbersandCosts
TheaveragenumberoffulltimeequivalentemployeesemployedbytheAlliedWorldgroupofcompaniesworkingon
Syndicatemattersduringtheyearwasasfollows:
2024 2023
Administrationandfinance 37 34
Underwriting 32 31
Claims 17 13
Investments 1 1
Total 87 79
Thetableaboveincludes14(2023:14)employeeswhoareemployeddirectlybyAWMA.
ThefollowingamountswererechargedbyAWMAtotheSyndicateinrespectofpayrollcosts:
2024
£000
2023
£000
Wagesandsalaries 7,179 7,093
Socialsecuritycosts 1,858 1,588
Otherpensioncosts 955 947
Otherincentivescosts 3,759 4,040
Total 13,751 13,668
10.EmolumentsoftheDirectorsofAWMA
The Directors of AWMA received the following aggregate remuneration charged to the Syndicate and included
withinnetoperatingexpenses.
2024
£000
2023
£000
Directors'emoluments 1,273 1,103
The amount rechargedto the Syndicatein respectoftheaggregateremunerationoftheactiveunderwriteris as
follows:
2024
£000
2023
£000
Emoluments 443 355
NOTESTOTHEFINANCIALSTATEMENTS(CONTINUED)
FORTHEYEARENDED31DECEMBER2024
AlliedWorldManagingAgencyLimited 46
Syndicate2232|AnnualReportandAccounts2024
11.InvestmentReturn
2024
£000
2023
£000
Interestandsimilarincome
Fromfinancialinstrumentsdesignatedatfairvaluethroughprofitor
loss
Interestandsimilarincome 17,728 11,584
Interestoncashatbank 2,341 2,981
Otherincomefrominvestments
Fromfinancialinstrumentsdesignatedatfairvaluethroughprofitor
loss
Gainsontherealisationofinvestments 1,676 1,365
Lossesontherealisationofinvestments — (5,336)
Unrealisedgainsoninvestments 162 11,327
Unrealisedlossesontheinvestments (6,818) —
(4,980) 7,356
Investmentmanagementexpenses (1,353) (1,015)
Totalinvestmentreturn 13,736 20,906
Transferredtothetechnicalaccountfromthenon-technicalaccount 13,736 20,906
NOTESTOTHEFINANCIALSTATEMENTS(CONTINUED)
FORTHEYEARENDED31DECEMBER2024
AlliedWorldManagingAgencyLimited 47
Syndicate2232|AnnualReportandAccounts2024
12.OtherFinancialInvestments
Market
Value
2024
£000
Cost
2024
£000
Market
Value
2023
£000
Cost
2023
£000
Sharesandothervariable-yieldsecuritiesandunitsin
unittrusts 28,553 28,553 50,706 50,428
Debtsecuritiesandotherfixedincomesecurities 500,068 500,765 381,841 365,904
Syndicateloantocentralfund 2,639 2,763 3,084 3,361
Total
531,260 532,081 435,631 419,693
Alldebtsecuritiesandotherfixedincomesecuritiesarelistedonarecognisedstockexchangeandarevaluedat
fairvaluethroughprofitandloss.
TheSyndicateclassifiesitsfinancialinstrumentsheldatfairvalueinitsbalancesheetusingfairvaluehierarchy,as
follows:
• Level1-Quotedprices(unadjusted)inactivemarketsforidenticalassetsorliabilities
• Level2-Pricesbasedonrecenttransactionsinidenticalassets(eitherunadjustedoradjusted)
• Level3-Pricesdeterminedusingthevaluationtechnique
ValuationTechniques
Levelone
Fairvalueis theamountfor whichanassetorliabilitycouldbeexchangedbetweenwillingpartiesinanarm’s
lengthtransaction.Fairvaluesaredeterminedatpricesquotedinactivemarkets.
Leveltwo
Inputs include directly or indirectly observable inputs such as quoted prices for similar financial instruments
exchanged in active markets, quoted prices for identical or similar financial instruments exchanged in active
marketsandothermarketobservableinputs.
The fair value of the vast majority of the Syndicate investments in bonds are priced based on information
provided by independent pricing service providers while much of the remainder are based primarily on non-
bindingthirdpartybroker-dealerquotesthatarepreparedusingLevel2inputs.Wherethird-partybroker-dealer
quotes are used, typically one quote is obtained from a broker-dealer with expertise in the instrument being
priced.
Levelthree
Afairvaluethatcannotbedeterminedusingdirectobservablemarketinputsnorbasedonavailablemarketdata
butbasedonbestinformationavailable.
Lloyd’sintroducedSyndicateloanstotheCentralFundwitheffectfromthe2019yearofaccountandplannedto
continuetodosoinsubsequentyears,subjecttoPRAapprovaleachyear.During2020,twofurthertrancheswere
collected from the Syndicate on the 2020 year of account. No such loans were collected for the 2021 and
subsequentyearsofaccount.
NOTESTOTHEFINANCIALSTATEMENTS(CONTINUED)
FORTHEYEARENDED31DECEMBER2024
AlliedWorldManagingAgencyLimited 48
Syndicate2232|AnnualReportandAccounts2024
12.OtherFinancialInvestments(continued)
TheproceedsfromtheseloanswereusedtostrengthenLloyd’scentralresourcesandfacilitatedtheinjectionof
capitalintoLloyd’sInsuranceCompanyS.A.(Lloyd’sBrussels).Loanswillnotberepaidbefore5yearshave
elapsed.Interestthereonisdeterminedbyreferencetotherisk-freeyieldplusacreditspread,andwillnormally
bepaidannuallyonananniversaryoftheloan.Lloyd’spaidtheprincipalvalueoftheSyndicateloansforthe
2019yearofaccounton29March2024,andintendtorepaythevalueoftheSyndicateloansforthe2020year
ofaccountduring2025calendaryear,thefifthanniversaryofthecommencementoftheSyndicateloans,
subjecttoreceivingapprovalfromthePRA.
TheLloyd'sloanhasbeenclassifiedasLevel3inthefairvaluehierarchy.ThevalueoftheLloyd'sloanis£2.6m
(2023:£3.1m).
ThetablebelowanalysesfinancialinstrumentsheldatfairmarketvalueintheSyndicate'sbalancesheetatthe
reportingdatebyitslevelinthefairvaluehierarchy.
2024 Level1 Level2 Level3 Total
£000 £000 £000 £000
Sharesandothervariable-yield
securitiesandunitsinunittrusts 28,553 — — 28,553
Debtsecuritiesandotherfixed
incomesecurities 258,472 241,596 — 500,068
Syndicateloanstocentralfund — — 2,639 2,639
Otherinvestments 14,435 23,428 — 37,863
Total 301,460 265,024 2,639 569,123
2023 Level1 Level2 Level3 Total
£000 £000 £000 £000
Sharesandothervariable-yield
securitiesandunitsinunittrusts 50,707 — — 50,707
Debtsecuritiesandotherfixed
incomesecurities 232,995 148,846 — 381,841
Syndicateloanstocentralfund — — 3,084 3,084
Otherinvestments 14,307 23,702 — 38,009
Total 298,009 172,548 3,084 473,641
NOTESTOTHEFINANCIALSTATEMENTS(CONTINUED)
FORTHEYEARENDED31DECEMBER2024
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13.Debtors
2024
£000
AsRestated
2023
£000
Debtorsarisingoutofdirectinsuranceoperations:
Amountsduewithinoneyear 103,237 77,373
Total 103,237 77,373
Debtorsarisingoutofreinsuranceoperations:
Amountsduewithinoneyear 72,748 66,153
Total 72,748 66,153
Otherdebtors
Amountsduewithinoneyear 22,614 17,828
Total 22,614 17,828
14.OtherAssets
Other assets of £37.9m (2023: £38.0m) comprise funds of overseas deposits that are lodged as a condition of
conductingunderwritingbusinessincertaincountries.Certain overseasdepositsrelatingtoAustraliansitus
business previously funded by the Syndicate were replaced in 2013 by a letter of credit (LOC) funded by Allied
WorldAssuranceCompany,Ltd.TheamountofLOCprovidedasat31December2024was£39.4m(31December
2023:£30.1m).
15.Creditors
2024
£000
2023
£000
Creditorsarisingoutofdirectinsuranceoperations:
Amountsduewithinoneyear 33,937 14,716
Total 33,937 14,716
Creditorsarisingoutofreinsuranceoperations:
Amountsduewithinoneyear 155,072 137,750
Total 155,072 137,750
Othercreditors
Otherrelatedpartybalances(non-syndicate) 881 13,546
Otherliabilities 784 5,137
Total 1,665 18,683
Other creditors comprise mainly expense recharges from affiliated companies. Amounts due to group
undertakingsareunsecured,interestfree,havenofixeddatedofrepaymentandarerepayableondemand.
NOTESTOTHEFINANCIALSTATEMENTS(CONTINUED)
FORTHEYEARENDED31DECEMBER2024
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16.PostBalanceSheetEvents
There have been no post balance sheet events which require disclosure or an adjustment to the financial
statementsfortheyearended31December2024.
17.Distribution
Adistributiontomembersof£45.9mwillbeproposedinrelationtotheclosingyearofaccount2022(2023:£17.7m
distributioninrelationtotheclosingyearofaccount2021).
18.FundsatLloyd’s
The fixed interest securities are provided and managed by a subsidiary of Allied World Assurance Company
Holdings,Ltdviaathirdpartytrustdeed.
EverymemberisrequiredtoholdcapitalatLloyd'swhichisheldintrustandknownasFundsatLloyd's("FAL").
These funds are intended primarily to cover circumstances where Syndicate assets prove insufficient to meet
participatingunderwritingmembers'underwritingliabilities.
The level of FAL that Lloyd's requires a member to maintain is determined by Lloyd's based on UK regulatory
requirements.FALhasregardtoanumberoffactorsincludingthenatureandamountofrisktobeunderwritten
bythememberandtheassessmentofthereservingriskinrespectofbusinessthathasbeenunderwritten.
SinceFALisnotunderthemanagementofAWMA,noamounthasbeenshownintheseannualaccountsbyway
of such capital resources. However, AWMA is able to make a call on the member’s FAL to meet liquidity
requirementsortosettlelosses.
Asat31December2024,FALbalancewas£310.6m(31December2023:£295.4m).
19.ForeignExchangeRates
The functional currency of the Syndicate is US dollars . These financial statements are presented in Pounds
Thefollowingcurrencyexchangeratesillustratethemainforeigncurrencyratesofexchangewhichwereusedfor
currencytranslation.
2024
Startof
period
rate
2024
Average
rate
2024
Yearend
rate
2023
Startof
period
rate
2023
Average
rate
2023
Yearend
rate
Sterling 1.00 1.00 1.00 1.00 1.00 1.00
Euro 1.15 1.21 1.21 1.14 1.15 1.15
USdollar 1.27 1.25 1.25 1.20 1.24 1.27
Canadiandollar 1.69 1.80 1.80 1.64 1.68 1.69
Australiandollar 1.87 2.02 2.01 1.80 1.87 1.87
NOTESTOTHEFINANCIALSTATEMENTS(CONTINUED)
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20.RepresentationofComparativeInformation
During2024,Lloyd'sintroducedchangestothesyndicateaccountsprocesstorationaliseandstandardisefinancial
reporting across the market. As a result, certain comparative information has been represented to ensure
consistency with current year presentation and compliance with the Lloyd's Syndicate Accounts Instructions
Version2.0.
2023Represented
£000
2023
£000
PrimaryStatements Impactonfinancialstatements
Profit&LossTechnicalAccount
Netoperatingexpenses (72,476) (69,585)
Member'spersonalexpenses (2,891)
BalanceSheet-Liabilities
Reinsurersshareofdeferredacquisitioncosts
28,352
Accrualsanddeferredincome 7,043 35,395
StatementofCashFlows
Transfer(to)/frommembersinrespectofunderwritingparticipations
(19,407) (19,137)
Capitalcontributions/openyearcashcallsmade 270
NotestotheFinancial Statements that have beenrepresentedinclude sensitivity analysis (note 3), currencyrisk
(note 4), credit risk (note 4), analysis of underwriting result (note 5), claims development (note 6), technical
provisions(note7),netoperatingexpenses(note8),staffnumbersandcosts(note9),investmentreturn(note11),
otherfinancialinvestments(note12)andcreditors(note15).
NOTESTOTHEFINANCIALSTATEMENTS(CONTINUED)
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21.RelatedParties
Ultimateparentcompany
TheimmediateholdingcompanyofAWMAisAlliedWorldEuropeHoldings,Ltd,whichisincorporatedinBermuda.
AWMA’s ultimate parent and to which the results of AWMA are consolidated into is Fairfax Financial Holdings
Limited.
The Syndicate has entered into various reinsurance arrangements with affiliates of Fairfax Financial Holdings
Limited.Inrespectofinsuranceandcededoutwardsreinsuranceactivity,theseamountsareincludedaspartofthe
technicalaccountwithintheincomestatement.
Groupfinancialstatementsmaybeobtainedfrom95WellingtonStreetWest,Suite800,Toronto,Canada.
AlliedWorldManagingAgencyLimited("AWMA")
AWMAdoesnotchargeasetManagingAgentfeebutreceivesamark-uponexpensesrechargedtotheSyndicateof
5%. In respectofexpenserechargeactivity,these amounts are included as part of operating expenses. Expenses
recharged,includingmarkup,in2024were£17.7m(2023:£17.4m).Thecreditorbalanceasat31December2024
was£10.8m(2023:£10.3m).
AlliedWorldSyndicateServices(Singapore)Pte.Ltd("AWSS")
TheSyndicateunderwritesbusinessviatheLloyd'sAsiaSingaporeplatform.From1April2014,AWSShasactedas
the Lloyd's Asia service company to facilitate the Syndicate’s underwriting in Singapore. In respect of expense
recharge activity, these amounts are included as part of operating expenses. The fees charged by AWSS to the
Syndicate were £2.9m (2023: £3.1m). The creditor balance as at 31 December 2024 was £(0.7)m (2023: debtor
£0.7m).
AlliedWorldReinsuranceManagementCompany(“ARM”)
ARM acts as a cover-holder for the Syndicate underwriting business in Central and South America including the
Caribbean.Inrespectofinsuranceandcededoutwardsreinsuranceactivity,theseamountsareincludedaspartof
the technical account within the income statement. In respect of expense recharge activity, these amounts are
includedaspartofoperatingexpenses.ThefeeschargedbyARMwere£1.0m(2023:£1.1m).Thecreditorbalanceas
at31December2024was£(0.2)m(2023:£0.2m).
AlliedWorldSyndicateServices(Bermuda),Ltd(“AWSB”)
AWSBactsasacover-holderfortheSyndicateunderwritingbusinessinBermuda.Inrespectofinsuranceandceded
outwards reinsurance activity, these amounts are included as part of the technical account within the income
statement.Inrespectofexpenserechargeactivity,theseamountsareincludedaspartofoperatingexpenses.The
feeschargedbyAWSBwere£0.5m(2023:£0.5m).Thedebtorbalanceasat31December2024was£6.8m(2023:
£3.3m).
AlliedWorldAssuranceCompany(Europe)dac(“AWE”)
The Syndicate is serviced in terms of accommodation, staff and other overhead costs by AWE. The Syndicate is
chargeditsshareofthesecentralcosts.Inrespectofthecostsharingactivity,theseamountsareincludedaspartof
operatingexpenses.
AlliedWorldAssuranceCompany,Ltd(“AWA”)
The Syndicate participates in an intra-group reinsurance contract with AWA. In respect of insurance and ceded
outwards reinsurance activity, these amounts are included as part of the technical account within the income
statement.Theeffectofthiscontractontheprofitandlossaccountin2024wasacreditof£(4.1)m(2023:£(5.8)m).
NOTESTOTHEFINANCIALSTATEMENTS(CONTINUED)
FORTHEYEARENDED31DECEMBER2024
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