Direct Line Insurance Share Discussion Threads

[covid 19 deal] 04/4/2023 12:08

Whats the point even to touch this ponzy scheme with a bargepole..its dying every second...

[wba1] 04/4/2023 12:04

Some of the board are worth having but others are deadwood. There is no need for 4 or 5 accountants on the board.

[pete160] 03/4/2023 22:32

Hopefully one of the first things the Board will need will be removal people - to clear their offices when they get taken over by a competent crew :-)

[wba1] 03/4/2023 22:27

There is one big issue regarding the NEDs and the chair, Danuta Gray, should be removed for failing to address it. There is no actuary on the board and only one on the Executive Group (the Chief Risk Officer, who is a recent appointment and technically a statistician - but as good as an actuary). With no actuary on the board it was always unlikely that anyone would question the reserving fiasco. An actuary free zone means that a dodgy CEO or senior execs are free to take whatever risks they choose in reserving and other matters requiring actuarial expertise. Gray's first move should have been to recruit an actuary to the board but instead it is top heavy with accountants (a very different skill set) and her recent board recruit is a retail and marketing expert. A top actuary on the board should be no1 priority.

[swiss paul] 03/4/2023 08:36

Yep and she got paid for her ineptness as well as not handing back any bonus. NEDs should be sacked as well. Hopefully MrLewis will get a grip

[pete160] 31/3/2023 22:45

Perhaps just a trust issue?DLG went from indicating to shareholders that the dividend was safe, to completely wiping it out, in a matter of weeks.That's either lying or incompetence.The fact they did not have sufficient reserves for a relatively only slightly out of turn set of claims, proves the point that it was down to their incompetence.I suspect that the majority of shareholders here are just waiting for a takeover to recover some of the losses imposed on us by inept management.

[cwa1] 31/3/2023 15:33

Good to see the news that Schroders have appeared on the register with a 5.67% holding:-

[jubberjim] 31/3/2023 15:30

Something's afoot but will wait a while longer

Not through choice

Dividends starting to roll in but bit of a time lapse to receipt

Will be just my luck if something breaks over the weekend

Will keep calm and carry on

[wba1] 31/3/2023 08:46

kibes; their profit disappeared largely due to the deterioration of the motor market and the discovery that their prior year reserves were not as strong as they thought - meaning releases from prior year reserves were unable to smooth profits.

Esure 2022 annual report was released today and their numbers look very similar to DLG. COR of 112%, accident year loss ratio for motor of 90%, solvency ratio of 149%. Yet despite only having £836m of GWP, less than half of the core motor and home GWP of DLG, and no profitable commercial business or rescue or accident workshops - they were valued at £1.21bn when taken over in 2018 (and when their performance issues were already clear). This compares with a current market value for DLG's core retail business (after deducting the value of the CL and rescue/other business) of about £800m - despite the DLG brands also being far more valuable. This does not make sense to me.

[kibes] 31/3/2023 08:21

They had around £149 million of weather related claims. As a result of which their normal profit around £500 million has completely disappeared. Does this make sense to anyone?

[carpingtris] 30/3/2023 17:18

Just googling that news and was known about 20th Feb?? From moneysupermaket apparently. Maybe a good choice to navigate price comparison sites?

[lawson27] 30/3/2023 16:08

Market seems to like the appointment, grabbed a few

[stoopid] 29/3/2023 09:59

They are on price comparison sites with other brands within the company- Churchill and Privilage.

[diku] 28/3/2023 22:19

Electric vehicles payout are expensive?...

[city1911] 28/3/2023 22:16

That is why they have the three other brands on aggregator sites. Churchill being the main one.

[wba1] 28/3/2023 21:08

Interesting to see today's RSA announcement of withdrawal from the UK personal motor market (which they mainly write through More Than. That takes £120m GPW out of the market. Capacity withdrawal is always a good sign for others, although it does not affect the extended time it takes to correct rating because of renewals and earning patterns. It will be interesting to see if any others follow (although I suspect they will be very small players if so).

[jonnybig] 28/3/2023 20:58

Direct line must lose an awful lot of business not being on a price comparison site. It's not as though it cost lots in commission either. Seems to be finally catching up on them.

[carpingtris] 28/3/2023 18:07

What is going on here? Absolute disaster..

[casino444] 28/3/2023 15:58

this ain't good on way to 120s ,when will this stop falling?

[diku] 28/3/2023 15:04

I thought DLG quote was always cheaper than Aviva from past...

[alfred] 28/3/2023 14:43

DLG own Churchill. I compared DLG's renewal quote with Go Compare's quote using
Churchill.The quotes were nowhere near comparable, DLG was hugely more expensive. Why?
DLG are just muddled. In the end I accepted a quote from Aviva for half the price. Oh, and I sold my shares!

[warrior boy] 28/3/2023 12:40

DLG had plenty of cash before the buybacks.

[wba1] 28/3/2023 11:18

fitton; mark to market movements are largely irrelevant as they unwind to maturity. DLG has plenty of cash. The interesting questions are three;
* what is the sum of parts. NIG and the other operations than motor and home make this very material
* when will the rating recover sufficiently to help the price. 2024 will show some recovery but full will be 2025.
* how will they manage the solvency ratio. They have already done some and could do more of the same. I would be surprised by a capital raise from shareholders. Alternatives include taking capital from another player - an approach which paired Allianz and Hartford in the financial crisis. But hopefully unnecessary.

[jugears] 28/3/2023 09:49

Looking like £1 coming fast.