Beazley Share Discussion Threads

[essentialinvestor] 15/3/2022 16:32

The investment case looks a tad more complicated now, not sure I would buy
back in a hurry unless there is clarification - my view is often too cautious tbf,

[tournesol] 15/3/2022 16:25

HarleyMax & Effortless

Thanks

I stand corrected.

T

[harleymaxwell] 15/3/2022 16:13

aviation war policies include coverage for confiscation - airline leasing companies would buy cover for this very kind of event . there may be some mitigation if planes were allowed to enter russia knowing that embargoes were imminent ....

[effortless cool] 15/3/2022 15:23

tournesol,

Your surprise is noted, but harleymaxwell is correct. I suggest that you research political violence and aviation war insurance coverages.

[tournesol] 15/3/2022 15:20

Harleymax

Are you saying that Bez insures its policy holders against acts by foreign governments?

I'd be very surprised if so.

Would be even more surprised if they provide insurance for acts of war.

Cyber attacks might be exception to above. Obviously cyber specific cover can hardly exclude acts of foreign governments whether in pursuit of war or otherwise. It's almost impossible to attribute such events to an identified perpetrator.

[harleymaxwell] 15/3/2022 08:55

yes in the insurance press yesterday cud be a 10b$ insured loss as aircraft are nationalised by russia

[thesasquatch] 09/3/2022 20:46

Beazley have a sizeable aviation war book, and there are some 500 commercial planes grounded in Ukraine / Russia which could be considered lost

[harleymaxwell] 04/3/2022 09:13

maybe exposed to political risk / war lines if business

[essentialinvestor] 28/2/2022 13:48

Russia and possible cyber attacks an increasing market concern now?.
No longer have any sector exposure because of Russia developments.

[medieval blacksmith] 28/2/2022 12:29

Strix Group Plc (AIM: KETL), the global leader in the design, manufacture and supply of kettle safety controls and other complementary water temperature management components, reports that it has recently been the subject of a cyber incident of Russian origin in its business.

On becoming aware of the incident, which mainly impacted Strix's Isle of Man and UK servers, the Group immediately engaged external specialists and took precautionary measures with its IT infrastructure, including taking its systems offline whilst it investigated the nature and extent of the incident and implemented its business continuity plan. These systems are now restored and fully operational. There has been no impact on customer orders or sales, with all businesses within the Group remaining operational.

The Company has also appointed cyber security experts to continue to monitor and support the Group with this incident as well as report on the attack and make recommendations to further enhance and refine the Group's processes and procedures. These recommendations will be implemented.

The Group is fully aware of its obligations and is working with its professional advisers, the police and relevant regulatory authorities and will provide further updates as and when appropriate.

[battyliveson] 18/2/2022 09:51

Hopefully the storms currently impacting UK will remind insurers to keep rates firm as historically too many have been too keen to chase business at uneconomic rates.

B

[medieval blacksmith] 14/2/2022 12:24

With cyber insurance you are effectively taking a bet that company IT workers and system designers can stay one step ahead of the hackers. Personally I wouldn't want to carry that risk for many reasons. Sure you can educate to mitigate risk but exposure to ransomware relies on good system design, good systems, competent IT managers, knowledgeable and disciplined staff and appropriate IT budgets. Yes, a big ask! For that reason I stay clear of Beazley. Lancashire are expanding quickly and one questions whether this is appropriate. They still manage to issue equity to pay employee incentives. Not something I like to see when they raise money (£7.00?) and here we are a couple of years later and they are still selling jam tomorrow. These storm events are probably here to stay and so it will rely on clever underwriting and waiting for society to catch up to minimise storm damage costs. For this reason I'd be more inclined to invest in an insurer more conservative with growth ambitions and steady long-term, diverse risk such as Hiscox. ATM though I just hold Conduit - risky, but with some very very good 'start up' management who are prepared to put their money where their mouths are and buy up stock.

[harleymaxwell] 14/2/2022 11:56

all good sense. yes i work in the industry and there are a lot of fears around cyber mainly because it's such a young product and there is no history as to how claims may play out .think it's a target as a very well run business should be ...

[essentialinvestor] 14/2/2022 11:46

The general insurers like AV tend to be be hit hard on risk off days,
treated more like financials.

Outlook looks good here but as mentioned you take a lot on trust.

As a PI how could I make an assessment on the value or quality of the BEZ cyber ecosystem?. Perhaps if you work in the industry or have some great sector insight - which I don't on either count !.

[harleymaxwell] 14/2/2022 11:36

do u see any other blue insurers today? agree on cyber - systemic peril and could be the next asbestos style crisis for the insurance market sometime in the future

[essentialinvestor] 14/2/2022 11:28

oddly? - countercyclical.

[harleymaxwell] 14/2/2022 11:27

oddly blue . must be in the sights of M and A - maybe an Aviva would buy them ...

[essentialinvestor] 11/2/2022 17:01

Key looks to be claims experience on BEZ cyber book, which reading
the FY looks to be continuing to benefit from their inhouse ecosystem
and more selective underwriting in this area.

Perhaps a lot needs to be taken on trust re cyber,
however they have a long history.

[topvest] 11/2/2022 16:39

Results were good. Might have been a bit of a negative reaction to just having a single annual dividend. I think this is a high quality company and will always perform relatively well so happy to hold.

[medieval blacksmith] 11/2/2022 11:05

"Longer term should help sector"

What do you think capital requirements are there for? Yes it helps the sector until the sector needs help. lol

There is no such thing as a free lunch.

[battyliveson] 11/2/2022 08:08

I see general press comment on Sol II relaxation for UK insurers to allow wider investment and lower capital requirements. Longer term should help sector, and hopefully BEZ, although many will be operation through EU subsidiaries and will not benefit fully.

B

[ttny2004] 10/2/2022 16:25

Yes, strange day.Sure, they will recover and move off 500p towards 600p target. Look at MicroFocus 450p before results day ended day down nearly to 400p. Two days later 480p and climbing.Hard sometimes to understand these markets.Strong revenue growth, growing profits and a growing dividend resumption will only lead to an increase in share price over time IMHO.

[blackdown2] 10/2/2022 12:20

Shares quite tightly held. Leads to exaggerated movements on reasonably small volumes.

[npp62] 10/2/2022 11:42

Picking up now ...