Argenta Syndicate Management Limited (ASML) has provided us with year-end results for Syndicate 2121. The uncertainty created by the Covid-19 pandemic and the impact on potential claims has caused the Board of ASML to decide that an equitable closure of the 2018 year of account is not possible at this stage and the account therefore remains open as at 31 December 2020 for the time being.

The forecast loss on the 2018 year of account has deteriorated to a range of 5% to 15% of capacity, a movement of 1.5 percentage points on the forecast as at 30 September, which was a range of loss between 3.5% and 13.5% of syndicate capacity. ASML adds that the estimated net loss arising out of Covid-19 claims is 5.8% of capacity.

The 2019 year has also deteriorated, and the revised range is now for a loss between 5% and 20% of capacity. The range published at 30 September was between a profit of 2.5% and a loss of 12.5%. Covid-19 loss estimates account for losses of 8.7% of capacity.

The Syndicate has recorded a 2020 calendar year loss of £37.1m, with a combined ratio of 113%. Excluding Coivid-19 claims, the combined ratio for 2020 is 94%. In 2019, the Syndicate recorded a loss of £8.5m and a combined ratio of 105%.

We will be writing to clients on Syndicate 2121 shortly.

As ever, all syndicate results and forecasts are expressed as a percentage of allocated capacity and are after all standard personal expenses, but before members’ agents’ fees.