Expanding opportunities 
through acquisitions
Helios Underwriting plc
Annual report and financial statements 2014
Helios Underwriting plc Annual report and financial statements 2014 Our strategic objective remains 
to underwrite at Lloyd’s with 
superior capital efficiency, lower risk 
and higher return. 
Acquisitions in 2014
16  
January
Acquisition of 
Nomina No 380 LLP
27 
March
Acquisition of  
Bernul Limited
2  
May
Acquisition of 
Nomina No 372 LLP
16  
September
Acquisition of 
Dumasco Limited
Helios Underwriting plc provides access to a 
limited liability direct investment into the 
Lloyd’ s insurance market through listed securities. S Strategic report Annual report and financial statements 2014 | Helios Underwriting plc | 01
Gross premium written (£’000)
Operating profit (£’000)
NAV per share (£)
Profit after tax (£’000)
+43%
2014 17,062
2013 11,938
2012 9,141
-4%
2014 1,230
2013 1,280
2012 681
+7%
2014 1.23
2013 1.15
2012 1.07
+43%
2014 1,043
2013 731
2012 763
Gross premium written during the period totalled £17.1m
Operating profit before tax of £1,230,000
Profit after tax of £1,043,000
Earnings per share of 12.23p
Net asset value increase to £10.5m
Net asset value per share of £1.23
2012 underwriting year of account profit return on capacity of 13.01%
Operating profit return on net asset value of 11.73%
Recommended total dividend for this year of 5.1p per share
Parent Company adjusted net assets plus Humphrey & Co valuation 
of the Group’s underwriting subsidiaries of £14.7m or £1.72 per share
Highlights
Visit our investor website at www.huwplc.com  
for the latest Company news and announcements.
Strategic report
01 Highlights
02 Chairman’s statement
03 Chief Executive’s review
08 Lloyd's Advisers' report – Hampden Agencies
Governance
12 Board of Directors
13 Report of the Directors
14 Corporate governance statement
15 Statement of Directors’ responsibilities
Financial statements
16 Independent auditors’ report
17 Consolidated income statement
18 Consolidated statement of financial position
19 Parent Company statement of financial position
20 Consolidated statement of cash flows
21 Parent Company statement of cash flows
22 Statements of changes in shareholders’ equity
23 Notes to the financial statements
52 Registered officers and advisers
S
G
F
12 13 14
12 13 14
12 13 14
14
12 13 02 | Helios Underwriting plc | Annual report and financial statements 2014
Following a successful year the 
board is pleased to recommend 
a final dividend of 1.5p per 
share together with a special 
dividend of 3.6p per share.
Chairman’s statement
Positive results
Summary
Your Board is pleased to report another set 
of encouraging results for 2014. The profit 
after tax for the year of £1,043,000 shows a 
significant improvement on 2013 of £731,000 
and represents our best year to date. Net assets 
have increased to £10.5m from £9.8m at 
31 December 2013, a growth of 6.71%. 
The results were helped by an excellent result 
from the 2012 underwriting account of 13.01% 
on our net underwriting capacity of £21.1m 
compared to the 2011 account, which produced 
7.58% on underwriting capacity of £15.9m. 
Shareholders will note that the profit after 
tax is considerably greater than the previous 
year, but the operating profit was down by 
some 4%. This is largely due to negative 
goodwill emanating from our program of 
acquisitions which had a beneficial effect 
combined with increased operating costs 
(reduced for 2015). The Board recognises 
that it is important to grow and continues 
to explore various options. T o do so does 
inevitably increase costs, such as professional 
and advisers fees, which accounts for much 
of the reduced operating profit.
Following the precedent set last year we are 
once again reporting the Parent Company's 
adjusted net assets, plus the independent 
valuation of the Group's Limited Liability Vehicles 
as produced by Humphrey & Co, which is the 
market's primary provider of vendor valuations. 
This has increased to £1.72 per share from 
£1.64 per share (restated) in 2013, or total 
net assets of £14.7m (2013: £14.0m).
During 2014 we acquired four vehicles at 
acceptable prices and have made a further 
three purchases already this year with one 
more still to complete. These all should show 
satisfactory results on the open years of 
2013 and 2014.
Including the three new acquisitions in 2015, 
our gross premium income limit underwritten for 
the 2015 year of account is £23.0m compared 
to £25.6m for 2014, £23.9m for 2013 and 
£23.7m for 2012. The reduction is explained by 
the continuing programme of “quality control”, 
compulsory de-emptions and syndicate 
cessations. We continue with our strategy of 
reinsuring a significant portion of the youngest, 
least mature year, such that reinsurance has 
now risen to 70% from 50%. The gross 
premium figure nets down, after reinsurance, 
to £6.9m for 2015, £10.7m for 2014, £17.5m for 
2013 and £23.7m for 2012. However, we have 
a significant war chest which can be utilised to 
purchase more vehicles if they become available 
at reasonable prices. Should such purchases 
be achieved, the net underwriting figure will rise 
considerably on all accounts between now and 
the time they come to close.
The Board considers that the risks attaching 
to the open accounts of 2014 and prior are 
sufficiently well developed that no further 
protection is required. However, the market 
remains very competitive and we continue to 
take advantage of the availability of reasonably 
priced stop loss reinsurance to mitigate any 
losses that may arise on the 2015 account.
Following a successful year the Board is pleased 
to recommend a final dividend of 1.5p per share 
together with a special dividend of 3.6p per 
share payable to all shareholders on the register 
at 5 June 2015. In aggregate these amount 
to a total of £457,000, compared to £384,000 
in 2014. Furthermore the Board also intends to 
put in place a Scrip Dividend Scheme to give 
shareholders the opportunity to elect to receive 
dividends in the form of new ordinary shares 
instead of cash and an appropriate resolution 
will be proposed at the 2015 Annual General 
Meeting to give the Board the requisite authority. 
The terms and conditions of the proposed Scrip 
Dividend Scheme will be set out in a circular 
to be sent to shareholders shortly.
If approved the dividend will be made in a single 
payment or share issue on 3 July 2015.
Sir Michael Oliver
Non-executive Chairman
22 May 2015
Profit after tax increase of 43%
Group adjusted net assets at £1.72 
per share
Acquisition of four new vehicles during 
the year
Three new acquisitions of vehicles 
in 2015
Final dividend of 1.5p per share plus 
special dividend of 3.6p per share
The profit after tax for the year of £1,043,000 shows a significant 
improvement on 2013 of £731,000 and represents our best 
year to date.
Sir Michael Oliver
Non-executive Chairman Annual report and financial statements 2014 | Helios Underwriting plc | 03 S Strategic report
Chief Executive’s review
Continuing to grow
Highlights
Syndicate profit distributions
Profit distributions from Helios Underwriting’s 
(“HUW”) portfolio of syndicates continue to be 
made by reference to the traditional three-year 
Lloyd’s accounting. Using this measure of 
performance, Helios Underwriting’s portfolio 
significantly outperformed the Lloyd’ s result 
as a percentage of capacity on the 2012 
account at 31 December 2014 with a profit 
of 13.01% (Lloyd’ s: 11.93%) and is estimated 
to outperform Lloyd’ s on the 2013 account with 
a profit of 8.5% at the mid-point estimate 
after eight quarters (Lloyd’s: 4.8%).
At this early stage of development on the 2014 
account, a complete set of published estimates 
is not available until the end of May 2015. In 
March 2015 Hampden Agencies updated its 
forecast profit for the 2014 year from its initial 
range of 0%–7.5% to 2.5%–10% for clients 
of Hampden Agencies on average. 
2012 year of account produced a profit of 
£2,744,000, representing a profit of 13.01% 
on 2012 capacity
Over 87% of capacity supporting 
syndicates rated either “AA”, “A” or “B” 
by Hampden Agencies Limited 
Helios Underwriting's combined ratio 
outperformed both the Lloyd's market 
and a peer group
Good news for buyers of reinsurance has 
enabled Helios Underwriting to buy more 
reinsurance while underlying catastrophe 
reinsurance exposures have reduced 
for 2015
Recommended total dividend for this year 
of 5.1p per share
Our strategic objective remains to underwrite at Lloyd’s with 
superior capital efficiency, lower risk and higher return.
Nigel Hanbury
Chief Executive
Source: 
HUW & Lloyd's stock exchange estimates 
at 2014 Q4 result before members' agent's 
charges as a percentage of capacity.
HUW’s 2012 account result and 2013 
account estimate compared with 
Lloyd’s (%)
� HUW 
� Lloyd's
11.9
13.0
4.8
8.5
2012 2013
HUW's aggregate current and historic quarterly progression 
of mid-point estimates (%)
20
Return on premium limit (%)
15
10
5
0
-5
2012 YOA 2013 YOA
Q5 Q6 Q7 Q8 Q9 Q10 Q11 Q12
2011 YOA 2010 YOA 2009 YOA 2008 YOA 04 | Helios Underwriting plc | Annual report and financial statements 2014
Chief Executive’s review continued 
Strategic objective and 
risk management strategy
2014 has been a year during which we have 
carried through our stated strategy. The returns 
give us confidence that the strategy is working, 
under difficult market conditions, for the benefit 
of the shareholders.
During the year Helios successfully purchased 
four vehicles and, following the year end, were 
able to purchase three more with a fourth 
subject to completion. This succession of 
vehicles purchased exceeded our expectations. 
However at the time of going to press 
a quieter period seems to be upon us. Given 
the age profile of potential vendors it seems 
reasonable to assume that mortality will ensure 
further sales, although a satisfactory price can 
never be guaranteed. It is important to point 
out that the main threat to our strategy is that 
we are unable to secure sufficient purchases 
at acceptable prices.
Our strategic objective remains to underwrite 
at Lloyd’s with superior capital efficiency, 
lower risk and higher return. In order to 
achieve this the Company announced in 
2012 that it was purchasing quota share 
reinsurance. One of the reasons it did so 
was in response to deteriorating market 
conditions. These conditions have continued 
to worsen and we have re-examined our 
strategy to ensure that it remains appropriate. 
I am pleased to say that we believe that 
is the case. The essential features of the 
strategy constitute an increased purchase 
of quota share to 70%, from 50% initially, 
on the youngest year of account. The quota 
share cover is collateralised by letters of 
credit up to the amount of the indemnity. 
HUW’s 2014 underwriting result
The traditional method for comparing the 
performance of competing (re)insurance 
companies is an analysis of the combined 
ratio, which is the sum of net claims and 
expenses divided by net earned premium. 
I am delighted to report that the combined 
ratio of Helios Underwriting’s portfolio for 
2014 was 87.6% with the underwriting 
result benefiting from another benign year 
for catastrophe losses. Using this measure 
of performance, Helios Underwriting 
outperformed both the Lloyd’ s market combined 
ratio of 88.1% (by 0.5 percentage points) and 
a peer group of eleven competitor insurance 
and reinsurance companies whose average 
combined ratio was 93.1% (by 5.5 percentage 
points). Helios Underwriting has outperformed 
both the Lloyd’s market and the competitor 
group in each of the past four financial years. 
HUW’s capital position
Net tangible assets per share fell marginally 
by 3% during 2014, principally as a result 
of the four acquisitions made in the year. 
Year-end net tangible assets were £6.7m 
(£6.9m at year end 2013) with the balance 
of Lloyd’s minimum capital requirement 
in November 2014 of £13.1m (£11.1m 
in November 2013, being supplied by 
letters of credit from quota share 
reinsurance capital providers from 
which we benefit from both a fee 
and profit commission).
Combined ratio compared with Lloyd’s and peer group: 
2010–2014 (%)
Source: 
Lloyd's – Lloyd's pro forma Financial Statements 31 December 2014.
Competitor group formed of eleven companies operating in the US, European 
and Bermudan markets. These companies are Ace, AIG, Arch, Everest Re, 
Hannover Re, Mapfre, Munich Re, Partner Re, SCOR, Swiss Re and XL Re.
2010 2011 2012 2013 2014
� HUW 
� Lloyd's
�  Peer group of Lloyd's
2014 has been a year during 
which we have carried through 
our stated strategy. The returns 
give us confidence that the 
strategy is working, under 
difficult market conditions, for 
the benefit of the shareholders.
Growth in premium capacity through acquisitions (%)
 
 Start of year 
Acquired
 2008
 2009
 2010
 2011
 2012
 2013
 2014
25
20
15
10
5
0
2008 2009 2010 2011 2012 2013 2015 2014
Underwriting year of account
93.3
102.1
97.5
106.8
105.7
104.6
91.1
96.7
89.6
88.1
93.1
87.6
86.8
93.3
83.5 Annual report and financial statements 2014 | Helios Underwriting plc | 05 S Strategic report
Chief Executive’s review continued 
We retain the maximum possible exposure 
to older, more mature years of account which, 
generally speaking, show a consistent pattern 
of improvement and, in our view, have a lower 
risk attaching to them although, for example, 
at the time of going to press, 2014 still 
contains significant unprotected (by us) risk. 
Furthermore we will receive an annual fee 
from this arrangement as well as a profit 
commission if appropriate. 
I am pleased to report that the quota share 
arrangement has been renewed for the 2015 
account with all three reinsurers.
To further protect the Company from 
underwriting losses, Helios purchases regular 
stop loss reinsurance from Hampden Insurance 
PCC (Guernsey) Limited, a Guernsey Protected 
Cell which is reinsured 100% with a very large 
A+ rated international reinsurer. 
We buy the maximum available to us with 
the ultimate aim that all vehicles are covered, 
although for various reasons some are not 
covered in the short term; for example, 
quotes might not be available for a recent 
LLV purchase, in which case we will run 
that risk until such time as it can be included. 
We buy cover in excess of a 10% of overall 
premium limit (“OPL”) deductible, which is 
designed to contain any possible loss at 
an acceptable figure.
It is our judgement that should a single loss 
or series of losses strike the insurance market 
then the strategy outlined above will position us 
satisfactorily for the opportunities which would 
no doubt become apparent. However, if the 
timing of those losses are further out than 
might be expected, this strategy should 
continue to produce satisfactory profits 
within an acceptable risk profile.
Classes of business for 2015
The final important piece of the risk 
management matrix is to ruthlessly 
focus on quality syndicates which have 
traditionally outperformed in difficult times. 
Helios Underwriting’ s portfolio for 2015 continues 
to provide a good spread of business across 
managing agents and classes of business with 
motor and liability providing a balance to the 
catastrophe-exposed reinsurance and property 
business, as well as contributing through 
diversification to lower capital requirements. 
The two largest classes of business remain 
reinsurance and US dollar property insurance. 
Currently, the balance of risk and reward has 
now shifted from net sellers of reinsurance to 
net buyers of reinsurance. Reinsurance exposure 
based on syndicate business plans has therefore 
reduced for 2015 to 24.0% from 30.9% in 2014 
while US$ property insurance exposure has 
increased to 17.6% from 16.0% in 2014.
We continue to actively increase our exposure 
to higher quality syndicates and ended the year 
with 54% of our capacity supporting syndicates 
rated either “AA” (excellent) or “A” (very good), 
the top two out of four syndicate ratings 
according to Hampden. HUW’s portfolio for 
2015 continues to provide a good spread of 
business across managing agents and classes 
of business. 24.6% of the capacity is in the 
two syndicates rated “AA” by Hampden 
Agencies, being Syndicates 609 and 2791, 
while Kiln Syndicate 510, rated “B”, is the 
largest holding at 17.1% of capacity. The 
top ten syndicates comprise 82.5% of the 
portfolio. Apart from a small participation on 
a life syndicate through a Nameco acquisition, 
one new syndicate was joined for 2015 
which writes catastrophe-exposed US middle 
market commercial insurance risks.
In our view there is a correlation between 
quality and the price these syndicates are 
likely to achieve at auction, which leaves 
us exposed to a drop in value which would 
certainly occur if there were a very significant, 
market-changing catastrophe. Our weighted 
average value of capacity is £7.8m and it 
is not inconceivable that this could reduce 
significantly in a major crisis. Shareholders 
should be aware that such a reduction would 
affect our adjusted net asset value at least in 
the short term.
Syndicate rating for 2015 (%)
D 0.0%
AA 24.6%
C 12.5%
B 33.6%
A 29.4%
% of total  
capacity
Classes of business for 2015 (%)
Non-US$ liability 8.4%
US$ liability 10.5%
Motor 7.5%
Energy 5.4%
Marine general 6.6%
Pecuniary loss 3.7%
Aviation 3.3%
Accident and health 3.7%
24.0% Reinsurance
0.5% Life
17.6% US$ property
8.9% Non-US$ property
% of total gross 
premiums 06 | Helios Underwriting plc | Annual report and financial statements 2014
Chief Executive’s review continued 
Top ten syndicates for 2015
Syndicate Managing agent
2015
syndicate
capacity
£'000
2015 HUW 
portfolio
capacity
 £'000
2015 HUW 
portfolio
 % of total Largest class
510 T okio Marine Kiln Syndicates Limited 1,064,046  3,510 17.1 US$ property
2791 Managing Agency Partners Limited 400,000  2,839 13.9 Reinsurance
623 Beazley Furlonge Limited 230,479  2,258 11.0 US$ non-marine liability
609 Atrium Underwriters Limited 420,863  2,194 10.7 US$ property
33 Hiscox Syndicates Limited 1,000,000  1,730 8.5 US$ property
6111 Catlin Underwriting Agencies Limited 104,365  1,148 5.6 Reinsurance
218 ERS Syndicate Management Limited 350,099  921 4.5 Motor
6104 Hiscox Syndicates Limited 65,210  863 4.2 Reinsurance
2014 Pembroke Managing Agency Limited 100,000  800 3.9 Reinsurance
6117 Asta Managing Agency Limited 38,290  641 3.1 Reinsurance
Subtotal 16,904 82.5 
Other 3,556 17.5
Total 2015 HUW portfolio 20,460 100.0 
Source: 2015 syndicate capacities sourced from Lloyd's.
Principal risks and uncertainties
The principal risks and uncertainties to the 
Group’s future cash flows will arise from the 
Group’s participation in the results of Lloyd’s 
syndicates. These risks and uncertainties are 
mostly managed by the syndicate managing 
agents. The Group’s role in managing these 
risks and uncertainties, in conjunction with 
Hampden Agencies Limited, is limited 
to a selection of syndicate participations, 
monitoring the performance of the syndicates 
and the purchase of appropriate member 
level reinsurance.
The Group benefits from strategic collateralised 
quota share arrangements on its 2013, 2014 
and 2015 years of account.
The 2013 year of account arrangement is in 
respect of 50% of its business with Bermudan 
reinsurer XL Re Limited (“XL Re”, part of global 
NYSE quoted insurer XL Group plc) through 
Hampden Insurance PCC (Guernsey) Limited 
– Cell 6 (“Cell 6”), a special purpose vehicle.
The 2014 year of account has a strategic 
collateralised quota share arrangement in 
respect of 50% of its business with XL Re, 
12.45% with Bermudan reinsurer Everest 
Reinsurance Bermuda Limited (“Everest”, 
part of global NYSE quoted insurer Everest 
Re Group, Ltd) and 7.55% with Guernsey 
reinsurer Polygon Insurance Co Limited 
(“Polygon”) through Cell 6.
The Group anticipates these arrangements 
as strategic long-term relationships. However, 
the contracts are annually renewable and the 
Group has a contingency plan in place in the 
event of non-renewal under both normal and 
adverse market conditions. Further information 
on risk management is disclosed in Note 3 
to the Financial Statements.
The biggest single risk faced by insurers is 
deficient loss reserves combined with inadequate 
pricing, which accounts for 44.3% of insurance 
failures according to AM Best in its latest 
review of insurer impairments in the US. 
Particularly for casualty business, where 
the period or “tail" for a claim to be paid may 
be many years after the receipt of premium, 
the feedback loop between reserving and 
pricing is critical. Under-reserving leads to 
inadequate pricing based on false profitability 
which then can be exacerbated by multiple 
years of underwriting losses before pricing 
can be corrected. Under-reserving usually 
arises due to unforeseen events such as 
legislative, social or economic changes but 
can also be due to risks which underwriters 
are aware of but which have not been fully 
priced into the premium charged.
Rapid growth is the third largest reason for 
insurer impairments, accounting for 12.3% 
of impairments, while investment problems 
(6.6%) and catastrophe losses (7.1%) play 
a much smaller role. Rapid growth can be 
associated with moving into new lines of 
business where there is limited or no prior 
experience and therefore could cause 
both increased pricing and reserving risk. 
Cyber liability has the potential to fall into 
this category if not managed carefully. 
The final important piece of 
the risk management matrix 
is to ruthlessly focus on 
quality syndicates which have 
traditionally outperformed 
in difficult times. Annual report and financial statements 2014 | Helios Underwriting plc | 07 S Strategic report
Chief Executive’s review continued 
Excessive growth in a softening/soft market 
when compared with peers is usually a warning 
signal since that growth is usually, by definition, 
accompanied by underwriting business at 
a lower rate than the previous carrier.
HUW approaches the management of portfolio 
risk by diversifying across classes of business, 
syndicates and managing agents and, with 
the advice of Hampden Agencies, understanding 
the cycle management and reserving strategy 
of each syndicate as well as the rate environment. 
We also assess the downside in the event of 
a major loss through monitoring the aggregate 
losses estimated by managing agents to realistic 
disaster scenarios (“RDSs") prescribed by Lloyd’ s. 
Risk is assessed in the context of potential 
return with catastrophe exposure being actively 
managed dependent on market conditions.
The RDS events comprise 16 compulsory 
events including a Florida hurricane, a Californian 
earthquake and a Japanese earthquake, together 
with six scenarios subject to de minimis reporting 
of the more difficult to model liability or political 
risk scenarios. The largest losses modelled 
for 2015 remain $125bn for a Florida windstorm 
in both Miami Dade and Pinellas. The largest 
earthquake loss modelled remains in California 
with a $78bn industry loss for both Los Angeles 
and San Francisco. Syndicates are also required 
by Lloyd’s to report two further realistic events 
(Alternative A and B) that represent potential 
material impact to the syndicate.
HUW’s largest modelled exposures net of 
reinsurance at syndicate level as a percentage 
of gross premiums have reduced for 2015 
compared with 2014 before taking into account 
HUW’s stop loss reinsurance and quota 
share reinsurance protections. This reflects 
a reduced reinsurance exposure which is 
consistent with the reduction in margins 
for peak zone catastrophe exposures. 
The largest for 2015 is the larger of two 
windstorm events consisting of a north-east 
US hurricane, immediately followed by a 
South Carolina hurricane at 28.2% of gross 
premium, net of reinsurance (32.2% in 2014). 
The next largest is the Gulf of Mexico 
windstorm at 25.1% net (30.4% in 2014).
All RDS exposures as a percentage of gross 
premium are within the 30% net of reinsurance 
Hampden Agencies guidelines.
Corporate, social and 
environmental responsibility
The Group aims to meet the expectations 
of its shareholders and other stakeholders 
in recognising, measuring and managing 
the impacts of its business activities. The 
majority of the Group’s business activities 
are carried out by the syndicates in which 
activities, including employment of syndicate 
staff, are the responsibility of the syndicate 
managing agents. Each managing agent 
also has responsibility for the environmental 
activities of each syndicate although, by their 
nature, syndicates do not produce significant 
environmental emissions.
For the reasons described above, the Board 
of Directors does not consider it appropriate 
to monitor or report any performance 
indicators in relation to corporate, 
social or environmental matters.
Outlook
2014 has shown that our strategy works 
under current conditions. We aim to do 
more of the same for 2015. We can see 
encouraging possibilities under most 
circumstances, but the threat remains 
that the satisfactory flow of target vehicles 
either dries up or the price to acquire 
them becomes unaffordable. We believe 
neither is likely but the possibility remains.
Nigel Hanbury
Chief Executive
22 May 2015
Realistic disaster scenarios – gross and net reinsurance (%)
Two events –  
NE windstorm
Gulf of Mexico 
windstorm
Florida 
windstorm 
– Pinellas
San Francisco 
earthquake
Two events 
– Carolina 
windstorm
Los Angeles 
earthquake
Florida 
windstorm 
– Miami
European 
windstorm
New Madrid 
earthquake
Japanese 
earthquake
�  Final net loss as 
percentage of 2015 
gross stamp premiums
�   Gross loss as 
percentage of 2015 
gross stamp premiums
Note: The chart only shows the top ten net losses, not all RDSs.
Source: 2015 Syndicate Business Forecasts.
51.7
21.7
58.8
24.6
65.1
28.2
31.5
18.1 
46.5
23.8
64.6
25.1
31.6
17.6
24.9 
14.8
55.8
23.2
59.7
24.8 08 | Helios Underwriting plc | Annual report and financial statements 2014
Lloyd's Advisers' report – Hampden Agencies
Good news for reinsurance buyers
We expect that Lloyd’ s will continue to underwrite 
profitably in 2015, although current competitive 
market conditions, particularly in reinsurance, 
make Lloyd’ s more vulnerable to above average 
catastrophe losses. Going forward, we forecast 
that the amplitude of the underwriting cycle 
will be lower than in previous cycles due to 
two factors. First, the claims paying ability of 
both insurers and reinsurers has seldom been 
stronger when capital is compared with 
premium income, which is likely to limit the 
upside in good years. Second, in an era of low 
investment returns and declining yields on the 
traditional bond investments favoured by insurers, 
the long-term loss of investment return remains 
a force for underwriting discipline and should 
limit the downside in each cycle trough.
However, the reduction in bond investment 
yields has contributed to a significant influx 
of alternative capital into the catastrophe 
reinsurance sector as institutional third party 
investors supply capital to the reinsurance 
sector in a “search for yield”. Alternative 
capital has contributed to reduced rates for 
reinsurance and a consequent reduction 
in prospective underwriting returns from 
reinsurance. Today, the risk reward ratio 
favours net buyers of reinsurance as 
opposed to net sellers of reinsurance, with 
syndicates able to buy significantly better 
reinsurance cover and stop loss reinsurance 
being available again to clients of Hampden 
for the 2014 and 2015 accounts. Our target 
result for the 2015 three-year account is 
a modest profit in the range of 0% to 5% 
of capacity assuming an average year 
for major losses.
Lloyd’s competitive position 
remains strong
Lloyd’s competitive position remains strong 
as we enter 2015. Underwriting discipline is 
evidenced by the fact that 27.5% of syndicates 
have de-empted their underwriting capacity 
for 2015 compared with 12.6% of syndicates 
de-empting for 2014. T otal market underwriting 
capacity at 1 January 2015 reduced by just 
under 1% to £26.2bn. In June 2014 Fitch Ratings 
upgraded Lloyd’ s to “AA-” (very strong) reflecting 
its expectation that Lloyd’s future cross cycle 
underwriting performance will be more favourable 
than that achieved by Lloyd’s historically, both 
in absolute terms and compared with peers.
Catastrophe losses have been 
benign in both 2013 and 2014
Reported financial results for both insurers 
and reinsurers in 2013 and 2014 have benefited 
from below average catastrophe losses with 
Swiss Re Sigma estimating total insured 
losses (natural catastrophe and man-made) 
of $35bn in 2014 compared with $45bn in 2013. 
Insured catastrophe losses in 2014 were 45% 
lower than the ten-year average to 2013 of 
$64bn a year and 22% lower than in 2013. 
Benign catastrophe losses have contributed 
to an artificially rosy picture of financial results 
and also played a part in increasingly competitive 
underwriting conditions, particularly in the 
reinsurance sector. 
In 2014 the North Atlantic hurricane season 
was relatively mild with no major hurricane 
making landfall in the US, the ninth year running 
that this has happened. However, Mexico was 
impacted by $1.6bn of insured losses from 
Hurricane Odile in September 2014, making 
Odile the second most costly catastrophe 
event in Mexico after Hurricane Wilma in 2005. 
The largest losses for the year were a spate 
of strong storms with hailstones in mid-May 
hitting many parts of the US over a five day 
period, resulting in insured losses of $2.9bn. 
The next largest losses were in Europe in June 
with wind and Hailstorm Ela, which caused 
significant damage to properties and vehicles 
in France, Germany and Belgium, resulting 
in overall insured losses of $2.7bn. 
Lloyd’ s net ultimate claims for 2014 major losses 
at 31 December 2014 were only £670m, which 
compares with Lloyd’s 15-year average 
(excluding 2014) of £1,617m a year indexed 
for inflation to 2014. In 2014 Lloyd’s issued 
ten major loss codes with three of those affecting 
the aviation war market where exposed policies 
were underwritten into the 2013 underwriting 
year of account. These aviation war losses 
included the Malaysia Airlines loss, MH370, 
on 8 March 2014 where the whole loss 
has been shared equally between the hull 
underwriters and the aviation war underwriters, 
and the second Malaysia Airlines loss, MH017, 
over Ukraine on 17 July 2014. The largest 
insured event was a terrorist attack at Tripoli 
Airport in Libya between 13 July and 22 July 
2014 where various aircraft were damaged 
during fighting, with Willis reporting that the 
hull war reserve for the losses is estimated 
at $407m. 
Late in the year, on 28 December 2014, the 
Air Asia loss led by Allianz is estimated at $100m 
to $140m and will affect the 2014 year of 
account. Aviation losses during 2014 dominated 
Lloyd’s major losses on an annual accounting 
basis costing £310m, net of reinsurance out 
of a total of £670m of major losses.
Alternative capital is the most significant 
trend to affect the reinsurance market
The most significant trend to affect the 
reinsurance industry in recent years has been 
the development and growing acceptance 
of alternative “third party” sources of capital 
provided by institutional investors in the 
form of catastrophe bonds, “sidecars” and 
collateralised structures. During 2014 the 
growth in alternative capital accelerated 
compared with 2012 and 2013 with reinsurance 
broker Guy Carpenter estimating that a further 
$15bn of alternative capital was raised during 
the year. T otal alternative capital is now $60bn, 
which is equivalent to 18% of total reinsurance 
capital compared with 15% at year end 2013. 
Aon Benfield estimates that $100bn of new 
alternative capital will have entered the market 
in the six years from 2013 to 2018. This would 
bring total alternative capital close to $150bn 
by year end 2018. As recently as 2008, alternative 
capital totalled only 8% of total reinsurance 
capital compared with 18% at year end 2014.
The impact of alternative capital on the property 
catastrophe sector of the reinsurance market 
has been dramatic. Its influence is particularly 
significant for low probability loss events such 
as one expected every 250 years, or a series 
of events with the same probability, where it 
now has a market share according to broker 
Aon Benfield of between 40% and 50%. 
The impact on pricing has been significant. 
Willis Re estimates that the expected return 
(the difference between the coupon and the 
expected loss from catastrophe bonds with 
US wind exposures) fell by 26% from 6.18% 
in 2013 to only 4.5% in 2014. 
The balance of risk and reward has now 
shifted from net sellers of reinsurance to 
net buyers of reinsurance. The scale of 
the impact on traditional reinsurance profit 
margins is analysed by Dowling & Partners, 
which expects a 90% combined ratio 
(equivalent to a 10% underwriting profit) 
on Florida business at June 2015 compared 
with 60% in June 2012. This represents 
a 75% reduction in profits over three years. Annual report and financial statements 2014 | Helios Underwriting plc | 09 S Strategic report
Lloyd's Adviser's report – Hampden Agencies continued 
Supply – continues to outpace demand
Reinsurance capital grew to $540bn by the 
end of 2013, an increase of 7% or $40bn 
since the end of 2012, according to reinsurance 
broker Aon Benfield. At the end of 2014 there 
was a further increase of 6% or $35bn to a 
record $575bn including $64bn of deployed 
alternative capacity. Reinsurance capital has 
increased by 70% since year end 2008 when 
it was $340bn. The policyholders’ surplus of 
the US property casualty insurance industry, 
a proxy for underwriting capacity, grew by 11.3% 
to a record $653.3bn at year end 2013. 
At 30 September 2014 policyholders’ surplus 
had grown by a further $20.6bn to $673.9bn, 
a rise of 3.2%. US insurers’ capital has increased 
by 48% since year end 2008. The premium 
to surplus ratio, a measure of the claims paying 
ability of the industry, fell to a near record low 
of $1 of surplus for every $0.73 of net written 
premium (a ratio of 1 is strong; a lower ratio 
is even stronger).
Supply measured by excess capital presents 
a significant challenge to insurance and 
reinsurance company managements. 
Reinsurance companies are particularly 
challenged in today’s environment by the 
commoditisation of the market for peak 
property catastrophe reinsurance. Barriers 
to entry are higher for insurance lines of 
business, particularly casualty, although 
Aon Benfield speculates that alternative 
capital’s “next most likely disruptive 
move will be in property insurance and 
business interruption”.
Choices faced by company managements 
are centred on four key strategies. Our favoured 
strategy is capital management with excess 
capital being repaid to shareholders through 
share buy-backs or special dividends. 
A second approach is organic growth but 
this is difficult to achieve in today’s competitive 
rating environment other than in selected 
lines such as cyber liability. A third approach 
and an alternative to organic growth is to 
acquire, and in part this explains the increased 
merger and acquisition activity we have seen 
in the industry in 2014 and 2015. 2014 saw 
the first annual increase in transaction volume 
since 2011 with a 21% increase in mergers 
and acquisitions in the global insurance 
industry, rising from 319 transactions in 2013 
to 384 in 2014. Like M&A in other sectors, 
insurance industry, M&A has had mixed 
results. A KPMG survey suggested that just 
17% of M&A deals added value, 30% made 
no difference, while 53% destroyed values. 
The fourth approach is to be patient and 
wait for better underwriting opportunities.
Demand – opportunity to 
absorb risk from cyber liability
Insurance demand is a combination of two 
factors. First is exposure growth which is driven 
mainly by economic and demographic growth. 
During the great recession of 2007–2009 US 
net written insurance premiums fell by an 
aggregate 6.8%, the first three-year decline 
since 1930–1933. Growth in overall net 
premiums, a proxy for demand, began to 
recover in 2010, accelerating to 4.6% in 
2013. In the first nine months of 2014 US 
net written premiums rose by 3.9% over 
the same period in 2013. The second is 
rate. During calendar year 2014 US property 
and casualty rates stabilised with rates up 
marginally in the first and third quarters but 
down marginally in the second and fourth 
quarters. The main impetus for net written 
premium growth is the recovering US economy 
as the number and value of insurable interests 
such as property, employment and liability 
risks increase. However, the recovery from 
the 2007–2009 worldwide great recession 
has been weak with an annual average in the 
US of 2.3% real GDP gains from the trough 
in 2009. This is around half the level of 
economic growth which would normally 
occur after a recession. 
US nominal GDP growth has averaged just 
3.5% per annum in the last seven years which 
is well below its 6.6% per annum average 
since World War Two. With low inflation rates 
across the globe in 2015 nominal growth 
is not going to be boosted by inflation. 
As of January 2015 14 of the OECD list 
of 34 major economies have year-on-year 
consumer price inflation (“CPI”) changes 
of zero or less while another 13 are less than 
1%. Lloyd’s remains heavily dependent on 
US income as a source of business with 44% 
of income being US and Canada domiciled 
and an estimated 60% of income being 
US dollar denominated in 2014 based 
on year and exchange rates.
Lloyd’s is well placed to take advantage of 
its leading position in the excess and surplus 
(“E&S”) lines segment of the US insurance 
market where non-standard insurance risks 
are placed. In 2013, according to A M Best, 
Lloyd’s had an 18.8% share (18.0% in 2012) 
of the US E&S market with its next biggest 
competitor being AIG with 12.8% (14.5% 
in 2012). Lloyd’s total E&S premium grew 
to $7.1bn in 2013, a rise of 13%, having 
benefited from a combination of GDP 
growth, reduced competition from AIG and 
an increased flow of business as admitted 
carriers moved away from underwriting more 
difficult risks. Lloyd’s reports a further 
increase of 15% to over $8bn in 2014.
Lloyd’s remains committed to developing its 
business in emerging markets, although income 
in many of these countries will be affected 
in sterling terms by depreciating currencies 
as well as the fact that the main engine for 
growth in insurance premiums in emerging 
countries remains auto insurance, where 
Lloyd’s has limited involvement. One potential 
bright area of innovation where Lloyd’s is 
a leading player is the market for cyber 
insurance. The leading player in the Lloyd’s 
market is Beazley, whose Breach Response 
product is the fastest growing class of 
business for Beazley – Syndicate 623 
is the third largest syndicate in Helios 
Underwriting’s portfolio. While great care 
needs to be taken in managing exposures 
in a class of business where actuarial data 
is limited, US cyber insurance income for 
all carriers is estimated to have risen from 
$1.3bn in 2013 to $2bn in 2014 with further 
strong growth anticipated this year. 10 | Helios Underwriting plc | Annual report and financial statements 2014
Lloyd's Adviser's report – Hampden Agencies continued 
The investment environment – 
reinvestment yields continue to fall
The investment environment remains critical 
in order to understand the insurance industry, 
both from a balance sheet perspective (the 
asset side) and from a profit and loss perspective. 
The current era is one of low inflation and 
low interest rates. Already in 2015 a total of 
24 central banks have reduced interest rates 
including India, Canada, Russia, Australia, 
Denmark, Sweden, Switzerland and China. 
In Denmark, Sweden and Switzerland central 
bank interest rates are negative. In 300 years, 
the Bank of England base rate has never been 
lower than the current 0.5%. The current 
government bond yield environment is described 
by Bank of America Merrill Lynch as “the death 
of zero” with 2015 having a theme of negative 
yield. This follows the story of no yield in 2014 
and low yields in 2013. Ten countries now 
have negative yielding government bonds 
including €1.4 trillion in the Eurozone in January 
2015 compared with almost zero in June 2014, 
and €2.4 trillion in Japan in January 2015 
compared with zero in October 2014.
The yield on invested assets for insurers, which 
are typically focused on safe government and 
corporate bonds, continues to decline as the 
yield on maturing bonds generally exceeds 
yields on new investments. Asset managers 
Conning & Company estimate that US insurers’ 
book yield has reduced from 4.42% prior to 
the Great Recession to an estimated 3.28% 
in 2014, a fall of 114 basis points. The scenario 
of reducing investment yields continues to be 
a significant factor encouraging underwriting 
discipline. For every 1% reduction in investment 
yield an insurer wishing to maintain its return 
on equity for its shareholders must reduce its 
combined ratio by a certain percentage, which 
varies by line of business. The Insurance 
Information Institute estimates that the combined 
ratio for reinsurance business needs to fall by 
7.3% compared with a fall of only 1.8% for 
personal lines business. However, low investment 
yields also raise the prospect of insurers 
making riskier investments on the asset side 
of their balance sheet with the objective of 
boosting returns through taking on more 
asset risk.
Reducing bond yields are symptomatic of 
a deflationary environment with 19 of the 34 
OECD major countries having year-on-year 
declines in consumer prices as at January 2015. 
In the US, the Federal Reserve’s favoured 
measure of inflation/deflation (the PCE 
Deflator) fell by 0.2% in both November and 
December 2014. We view deflation as less 
of a threat to insurers than inflation, other 
than recession sensitive lines of business, 
should recession follow deflation. In particular, 
reserves may develop beneficially to become 
"redundant" as reserving trend assumptions 
prove pessimistic in direct contrast to 
deficiencies which follow unexpected 
bouts of inflation.
Current yields are the 
lowest since the 1950s
US Treasury yields have been falling in every 
decade since the 1980s. During the 1980s 
the average yield of the US Treasury ten-year 
note was 10.6%, falling to 6.7% during the 
1990s. By the 2000s it was 4.5% and in this 
decade so far the average is 2.5%. The yield 
in this decade averaging 2.5% is consistent 
with the 1950s, when yields averaged 3.2%. 
That was a decade when the US P&C industry 
made an underwriting profit (a combined ratio 
of lower than 100%) in eight years out of ten. 
In periods when yields have been higher, the 
industry has tended to underwrite at a loss.
The Treasury yield curve is close to its most 
depressed level in 50 years with a three-year 
duration required to get a positive yield of at 
least 1%. The impact of the financial crisis 
on achievable investment returns across the 
yield curve can be seen in the chart below, 
which shows pre-crisis levels for bonds with 
a duration of one month right up to 30 years, 
which varied from 4.82% to 5.11%, an almost 
flat yield curve. Compare this to the yield 
curve today with higher yields for duration 
risk. Only 0.02% is earned on a one-month 
Treasury bill, while the 30 year maturity yields 
are currently 2.47% (as at 1 April 2015). 
We also show the yield curve in July 2012, 
when yields were the lowest since July 2007.
Rating – opportunities 
for buyers of reinsurance
2015 marks the third successive year 
of property catastrophe reinsurance rate 
reductions in Lloyd’s largest market, the US. 
The principal driver of underwriting profitability 
is the level of premium rates combined with 
policy terms and conditions. Reinsurance 
margins are under pressure, not just from 
reductions of rate which compound over 
time but also from a relaxation in terms and 
conditions whose effects are more difficult 
to measure. Reductions in reinsurance rates 
are bad news for net sellers of reinsurance 
but good news for net buyers of reinsurance 
who are able to take advantage of more cost 
effective outwards reinsurance and reduce 
their net exposures. 
Treasury yield curves: pre-crisis (July 2007 versus 2012 low point and 1 April 2015)
6
5
Yeild (%)
4
3
2
1
0
1M 3M 6M 1Y 2Y 3Y
Bond duration
5Y 7Y 10Y 20Y 30Y
1 April 2015 Yeild Curve 25 July 2012 Yield Curve Pre-Crisis (July 2007 Average) Annual report and financial statements 2014 | Helios Underwriting plc | 11 S Strategic report
Lloyd's Adviser's report – Hampden Agencies continued 
Reinsurance rate decreases at 1 January 2015 
averaged as much as or higher than the 
decreases experienced in 2014. Guy Carpenter’ s 
World Rate On Line Index fell by 11% in 2014 
and is down by 11.4% at 1 January 2015 at 
a level of 195. Since its last peak in 2006 the 
World Rate On Line Index has fallen by 33.33%. 
Rate decreases at 1 January 2015 averaged 
as much as or more than the decreases 
experienced in 2014. 
Apart from property catastrophe reinsurance, 
offshore energy rates are under the most 
pressure while aviation rates continue to 
fall despite an estimated $1.6bn of market 
losses in 2014. UK fleet motor rates continue 
to increase in contrast to private car, where 
the AA reports rates were down 10% in the 
year to 31 December 2014, despite marginal 
increases in both quarter three and quarter 
four, following three years of rate reductions. 
Most property and casualty insurance rates 
in the US were stable in 2014 apart from 
"big ticket" commercial property. Property 
underwriters have been able to take advantage 
of cheaper reinsurance. 
The upturn in property and casualty insurance 
rates in the US began in the third quarter 
of 2011 following nearly eight years of rate 
decreases. During 2014 rates stabilised, ending 
the year up by 0.4%, with small increases in 
the first and third quarters compensated by 
small rate decreases in the second and fourth 
quarters, using data supplied by the Council 
of Insurance Agents and Brokers (“CIAB”). 
However, by Q1 2015 the CIAB reports 
that rate reductions across all accounts 
averaged 2.3%.
US pricing cycle likely to be more 
muted than in previous cycles
Our view is that the US insurance pricing cycle 
is likely to be more muted than it was in the 
past with a reduced amplitude of both rate 
peaks and rate troughs. It is also likely in the 
current low interest rate environment that the 
duration of cycles will be shorter with the 
industry becoming more efficient at analysing 
and pricing risks. Like rating, cash flow has 
also peaked but is also remaining stable, 
indicating that for 2015 and 2016 margins 
will remain acceptable with the added benefit 
of continued prior year releases. However, prior 
year releases are expected to reduce as soft 
market accident years since 2007 are not 
considered as well reserved as the hard 
market years between 2002 and 2006.
Prospects for 2015
Our formal profit target for the 2015 
three-year account is a range of 0% to 5% 
of underwriting capacity, which is lower than 
the 0% to 7.5% on capacity range we set 
in advance for the 2014 account, which 
we have since upgraded to 2.5% to 10.0% 
due to the benign catastrophe losses in 
calendar year 2014. Each September we 
update our assessment of market conditions 
and in our forecast assume a level of major 
losses, such as catastrophes, which is equal 
to the long-term average of each of the 
syndicates within the Hampden Agencies 
portfolio, to arrive at a target underwriting 
result. So far in 2015 the assessment we 
made last September about the rating 
environment is proving correct in that the trend 
of rate reductions seen in most classes of 
business during 2014 is continuing into 2015. 
In setting our profit target, we aim to be cautious 
in our forecasting. The profit target is for the 
pure year only and therefore excludes prior 
year reserve movements. Apart from 2010, 
which was affected by a series of earthquake 
and weather related catastrophe losses in 
each of the years 2008, 2009 and 2011 through 
to 2013, Hampden’s pure year profit target 
set in advance of each underwriting year has 
been lower than the results and estimates for 
the Hampden portfolio.
Reduced profitability from underwriting 
reinsurance business is bad news for net 
sellers of reinsurance but good news for net 
buyers of reinsurance, who are now able to 
buy much more cost effective reinsurance 
to protect the downside in an increasingly 
challenging market. With income reducing, 
control of expenses becomes ever more 
important, particularly as it coincides with 
reducing investment returns. While Hampden’ s 
target profit does not include potential prior 
year releases, bottom line results in the 
current rating environment are becoming 
increasingly dependent on conservative 
reserving. Where reserving is merely adequate 
or worse the current environment leaves little 
room to hide. 
Competitive market conditions also 
coincide with the balance of power shifting 
from underwriters to brokers. Today, the 
growing power of intermediaries is a theme 
which cannot be ignored as they seek to 
capture a larger share of the economic pie 
from transactions through fees for services. 
Time will tell whether broker facilities are 
simply another symptom of a soft market 
or a more permanent change which enables 
both brokers and underwriters to reduce costs 
and streamline the placement process. Such 
broker facilities are likely to favour the larger 
syndicates in the Lloyd’s market, which are 
favoured by Helios Underwriting, with smaller 
syndicates being squeezed.
Hampden Agencies
22 May 2015
The strategic report on pages 1 to 11 was 
approved by the Board of Directors and 
signed on behalf of the Board on 
22 May 2015.
Nigel Hanbury
Chief Executive 12 | Helios Underwriting plc | Annual report and financial statements 2014
Board of Directors
Our management
 Sir James Michael Yorrick Oliver, 74
(Non-executive Chairman)
Sir Michael Oliver has been chairman and 
director of a number of investment funds. 
He was previously a director of investment 
funds at Hill Samuel Asset Management and 
of Scottish Widows Investment Partnership Limited. 
Prior to that he was a partner in stockbrokers 
Kitcat & Aitken for 20 years and subsequently 
managing director of Carr, Kitcat & Aitken.
Nigel John Hanbury, 58
(Chief Executive)
Nigel Hanbury joined Lloyd’s in 1979 as an external 
member and became a Lloyd’s broker in 1982. 
He later moved to the members’ agency side, latterly 
becoming chief executive and then chairman 
of Hampden Agencies Limited. He serves on 
the board of the Association of Lloyd’s Members 
and was elected to the Council of Lloyd’s for the 
“Working Names” constituency twice, serving on 
that body between 1999 and 2001 and then 2005 
to 2008, as well as participating on the Market Board 
and other Lloyd’s committees. In December 2009 
he ceased being chairman of Hampden Agencies 
Limited but in 2011 acquired a majority stake 
in HIPCC, a Guernsey insurance and protected 
cell company, formerly wholly owned by 
Hampden Capital plc.
Jeremy Richard Holt Evans, 57
(Non-executive Director)
Jeremy Evans joined Minories Underwriting Agencies 
in 1993, which was subsequently transferred to 
Aberdeen Underwriting Advisers Limited, with 
specific responsibility for its corporate capital plans, 
including the development of a conversion scheme 
for existing members. He is the CEO of Nomina plc 
as well as being a director of Hampden Capital plc 
and Hampden Holdings Limited.
Harold Michael Clunie Cunningham, 67
(Non-executive Director) 
Michael Cunningham has worked in the 
investment management business for over 
25 years. Within Rathbones he was an investment 
director with responsibility for the AIM focused 
Venture Capital Trusts. He is non-executive 
chairman of Hazel Renewable Energy VCT PLC.
Andrew Hildred Christie, 59 
(Non-executive Director) 
Andrew Christie is a founding partner of corporate 
finance advisory firm Smith Square Partners LLP 
and has nearly 30 years’ experience in corporate 
finance. Prior to Smith Square Partners, he was 
a managing director in the investment banking division 
of Credit Suisse Europe and prior to that he was 
head of investment banking in Asia Pacific for 
Credit Suisse First Boston and Barclays de Zoete 
Wedd. Andrew is a non-executive director 
of FTSE 250 company Elementis plc.
Committee membership
Audit Committee
Nomination & Remuneration Committee
Chairman of committee Annual report and financial statements 2014 | Helios Underwriting plc | 13 G Governance
The Directors present their report and the audited Group Financial Statements for the year ended 31 December 2014.
Principal activity, review of the business and future developments
The Company’s principal activity is to provide a limited liability investment for its shareholders in the Lloyd’s insurance market.
The Group participates in the Lloyd’s insurance market through its participation in a portfolio of Lloyd’s syndicates.
A more detailed review of the business for the year and outlook for the future are included in the Chairman’ s Statement, the Chief Executive’ s Review 
and the Lloyd’s Adviser’s Report.
Results and dividends
The Group result for the year ended 31 December 2014 is shown in the Consolidated Income Statement. The Group profit for the year after 
taxation was £1,043,000 (2013: £731,000).
A dividend of 4.5p per share was paid during calendar year 2014 totalling £384,000 (2013: £nil).
Charitable and political donations
During the year, the Group made no political or charitable donations.
Directors and their interests
Under the Articles of Association one Director is required to retire from the Board by rotation at the forthcoming Annual General Meeting 
and offer themselves for re-election as a Director. Jeremy Evans therefore retires by rotation and offers himself for re-election as a Director. 
Policy and practice on the payment of creditors
It is the Group’s policy to:
 » agree the terms of payment at the commencement of business with suppliers;
 » ensure that suppliers are aware of the terms of payment; and
 » pay in accordance with contractual and other legal obligations.
The number of days’ purchases outstanding at 31 December 2014 is nil (2013: nil).
Substantial shareholdings
The substantial shareholders shown below were as at 12 May 2015:
Number 
of shares % holdings
Nigel John Hanbury (either personally or has an interest in) 1,298,445 14.50%
Will Roseff 1,120,699 12.51%
Hampden Capital plc 1,014,560 11.33%
Smith & Williamson Nominees Limited 785,724 8.77%
Roy Nominees Limited 717,500 8.01%
Lynchwood Nominees Limited 595,000 6.64%
Ferlim Nominees Limited 589,875 6.59%
Disclosure of information to auditors 
The Directors who held office at the date of approval of the Report of the Directors confirm that, so far as they are individually aware, there 
is no relevant audit information of which the auditors are unaware and each Director has taken all steps that they ought to have taken as 
Directors to make themselves aware of any relevant audit information and to establish that the auditors are aware of that information.
Auditors and the Annual Report
PKF Littlejohn LLP have signified their willingness to continue in office as auditors.
A resolution to reappoint PKF Littlejohn LLP as auditors will be put to the members at the next Annual General Meeting to be convened 
at which the Annual Report will be laid before the members for consideration.
Approved by the Board of Directors and signed on behalf of the Board on 22 May 2015.
Nigel Hanbury
Chief Executive
22 May 2015
Report of the Directors • Year ended 31 December 2014 14 | Helios Underwriting plc | Annual report and financial statements 2014
Corporate governance statement • Year ended 31 December 2014
The Company’s shares are traded on the AIM Market of the London Stock Exchange. The Company is not required to report on compliance 
with the UK Corporate Governance Code (“the Code”); however the Board of Directors acknowledges the importance of the principles of the 
code and also the recommendations of the Quoted Companies Alliance in its publication “Corporate Governance Guidelines for Small and 
Mid-size Quoted Companies” and seeks to apply them as appropriate to the Company given its nature and size. 
Board
The Board is responsible for formulating, reviewing and approving the Company’s strategy, budgets and corporate actions. The Company 
holds Board meetings at least four times each financial year and at other times as and when required.
Committees
The Audit Committee of the Company, comprising Michael Cunningham and Andrew Christie (both Non-executive Directors), is chaired by 
Andrew Christie. The Audit Committee is responsible for ensuring that the Group’s financial performance is properly monitored, controlled 
and reported. It also meets the auditors and reviews reports from the auditors relating to the accounting and internal control systems. 
The Audit Committee meets twice per year and with the auditors without management present.
The Nomination and Remuneration Committee of the Company, comprising Sir Michael Oliver, Michael Cunningham and Andrew Christie 
(all Non-executive Directors), is chaired by Michael Cunningham. Other than its Chief Executive, the Company has no employees.
The Company has adopted a model code for Directors’ dealings which is appropriate for an AIM quoted company and the Directors comply 
with Rule 21 of the AIM Rules relating to Directors’ dealings. 
Board and committee meeting attendance
Board Audit Committee
Nomination and  
Remuneration Committee
Director
Possible 
number of 
meetings
Number 
of meetings
 attended
Possible 
number of 
meetings
Number 
of meetings
 attended
Possible 
number of 
meetings
Number 
of meetings
 attended
Sir Michael Oliver 11 10 — — 4 4
Nigel Hanbury 11 11 — — — —
Jeremy Evans 11 9 — — — —
Michael Cunningham 11 11 2 2 4 4
Andrew Christie 11 11 2 2 4 4
Average attendance (%) 95% 100% 100%
Subsidiary Board and committees
Jeremy Evans, Nigel Hanbury and Nomina plc are directors of the following subsidiary companies:
Jeremy Evans
(appointed)
Nigel Hanbury
(appointed)
Nomina plc
(appointed)
Hampden Corporate Member Limited 31 May 2006 18 February 2013 31 May 2006
Nameco (No. 365) Limited 1 November 2001 18 February 2013 22 September 1999
Nameco (No. 605) Limited 1 November 2001 18 February 2013 25 September 2001
Nameco (No. 321) Limited 1 November 2001 18 February 2013 22 September 1999
Nameco (No. 917) Limited 9 January 2013 18 February 2013 17 September 2004
Nameco (No. 229) Limited 1 November 2001 21 November 2012 24 September 1998
Nameco (No. 518) Limited 1 November 2001 27 November 2012 20 September 2000
Nameco (No. 804) Limited 10 October 2003 16 October 2013 10 October 2003
Helios UTG Partner Limited 27 August 2013 Not a director 27 August 2013
Halperin Underwriting Limited 20 February 2014 20 December 2013 9 July 2004
Bernul Limited 4 June 2014 27 March 2014 4 June 2014
Dumasco Limited 16 September 2014 24 September 2014 16 September 2014
Conflict management
Jeremy Evans was a director of Hampden Agencies Limited until December 2007 and remains a director of Nomina plc as well as of the Company. 
Sir Michael Oliver was a director and Jeremy Evans is a director of Hampden Capital plc, which owns 100% of Hampden Agencies Limited 
and 99% of Nomina plc. The Articles of Association of the Company provide that neither Director will vote in respect of arrangements relating 
to Hampden Agencies Limited’s appointment as the Group’s members’ agent or to Nomina plc’s appointment as provider of administrative 
and support services or any other arrangements or contracts where Hampden Agencies Limited or Nomina plc has an interest. Annual report and financial statements 2014 | Helios Underwriting plc | 15 G Governance
Statement of Directors’ responsibilities • Year ended 31 December 2014
The Directors are responsible for preparing the Strategic Report, the Report of the Directors and the Financial Statements in accordance with 
applicable law and regulations.
Company law requires the Directors to prepare Financial Statements for each financial year. Under that law the Directors have elected to prepare 
the Group and Parent Company Financial Statements in accordance with International Financial Reporting Standards (“IFRS”) as adopted by 
the European Union. Under company law the Directors must not approve the Financial Statements unless they are satisfied that they give a 
true and fair view of the state of affairs of the Group and Company and of the profit or loss of the Group for that period. In preparing these 
Financial Statements, the Directors are required to:
 » select suitable accounting policies and then apply them consistently; 
 » make judgements and accounting estimates that are reasonable and prudent; and
 » state whether IFRS adopted by the European Union have been followed, subject to any material departures disclosed and explained 
in the Financial Statements.
The Directors are responsible for keeping adequate accounting records that are sufficient to show and explain the Company’s transactions 
and disclose with reasonable accuracy at any time the financial position of the Group and Company and enable them to ensure that the 
Financial Statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Group and 
Company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The Directors are responsible for the maintenance and integrity of the corporate and financial information included on the Company’s website. 
Legislation in the United Kingdom governing the preparation and dissemination of the Financial Statements may differ from legislation in 
other jurisdictions.  16 | Helios Underwriting plc | Annual report and financial statements 2014
Independent auditors’ report • To the members of Helios Underwriting plc
We have audited the Financial Statements of Helios Underwriting plc for the year ended 31 December 2014 which comprise the Consolidated 
Income Statement, the Consolidated and Parent Company Statements of Financial Position, the Consolidated and Parent Company Statements 
of Cash Flow, the Consolidated and Parent Company Statements of Changes in Shareholders’ Equity and the related notes. The financial reporting 
framework that has been applied in their preparation is applicable law and International Financial Reporting Standards (“IFRSs”) as adopted 
by the European Union and, as regards the Parent Company Financial Statements, as applied in accordance with the provisions of the 
Companies Act 2006.
This report is made solely to the Company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. 
Our audit work has been undertaken so that we might state to the Company’s members those matters we are required to state to them 
in an auditors’ report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone, 
other than the Company and the Company’s members as a body, for our audit work, for this report, or for the opinions we have formed.
Respective responsibilities of Directors and auditor
As explained more fully in the Directors’ Responsibilities Statement, the Directors are responsible for the preparation of the Financial Statements 
and for being satisfied that they give a true and fair view. Our responsibility is to audit and express an opinion on the Financial Statements 
in accordance with applicable law and International Standards on Auditing (UK and Ireland). Those standards require us to comply with 
the Auditing Practices Board’s Ethical Standards for Auditors.
Scope of the audit of the Financial Statements
An audit involves obtaining evidence about the amounts and disclosures in the financial statements sufficient to give reasonable assurance 
that the financial statements are free from material misstatement, whether caused by fraud or error. This includes an assessment of: whether 
the accounting policies are appropriate to the Company’s circumstances and have been consistently applied and adequately disclosed; the 
reasonableness of significant accounting estimates made by Directors; and the overall presentation of the financial statements. In addition, 
we read all the financial and non-financial information in the Annual Report to identify material inconsistencies with the audited financial 
statements and to identify any information that is apparently materially incorrect based on, or materially inconsistent with, the knowledge 
acquired by us in the course of performing the audit. If we become aware of any apparent material misstatements or inconsistencies we 
consider the implications for our report.
Opinion on Financial Statements
In our opinion:
 » the Financial Statements give a true and fair view of the state of the Group’s and of the Parent Company’s affairs as at 31 December 2014 
and of the Group’s profit for the year then ended;
 » the Group Financial Statements have been properly prepared in accordance with IFRSs as adopted by the European Union;
 » the Parent Company Financial Statements have been properly prepared in accordance with IFRSs as adopted by the European Union 
and as applied in accordance with the provisions of the Companies Act 2006; and
 » the Financial Statements have been prepared in accordance with the requirements of the Companies Act 2006.
Opinion on other matter prescribed by the Companies Act 2006
In our opinion the information given in the Strategic Report and the Report of the Directors’ Report for the financial year for which the Financial 
Statements are prepared is consistent with the Financial Statements.
Matters on which we are required to report by exception
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
 » adequate accounting records have not been kept by the Parent Company, or returns adequate for our audit have not been received from 
branches not visited by us; or
 » the Parent Company Financial Statements are not in agreement with the accounting records and returns; or
 » certain disclosures of Directors’ remuneration specified by law are not made; or
 » we have not received all the information and explanations we require for our audit.
John Perry (Senior statutory auditor)  1 Westferry Circus
For and on behalf of PKF Littlejohn LLP Canary Wharf
Statutory auditor London E14 4HD
22 May 2015 Annual report and financial statements 2014 | Helios Underwriting plc | 17 Financial statements F
Consolidated income statement • Year ended 31 December 2014
 
Note
Year ended
31 December
2014
£’000
Year ended
31 December
2013
£’000
Gross premium written 17,062 11,938
Reinsurance premium ceded (3,418) (2,251)
Net premium written 13,644 9,687
Change in unearned gross premium provision (243) (29)
Change in unearned reinsurance premium provision (28) 43
6 (271) 14
Net earned premium 13,373 9,701
Net investment income 7 516 208
Other income 29 —
Revenue 13,918 9,909
Gross claims paid (7,435) (5,867)
Reinsurers’ share of gross claims paid 1,375 1,134
Claims paid, net of reinsurance (6,060) (4,733)
Change in provision for gross claims 464 1,148
Reinsurers’ share of change in provision for gross claims (319) (478)
Net change in provision for claims 6 145 670
Net insurance claims and loss adjustment expenses (5,915) (4,063)
Expenses incurred in insurance activities (5,800) (4,042)
Other operating expenses (973) (524)
Operating expenses 8 (6,773) (4,566)
Operating profit before goodwill and amortisation 5 1,230 1,280
Goodwill on bargain purchase 19 785 133
Impairment of goodwill 19 — (98)
Amortisation of syndicate capacity 12 (881) (462)
Profit before tax 1,134 853
Income tax charge 9 (91) (122)
Profit attributable to equity shareholders 18 1,043 731
Earnings per share attributable to equity shareholders
Basic and diluted 10 12.23p 8.57p
The profit attributable to equity shareholders and earnings per share set out above are in respect of continuing operations.
The accounting policies and notes are an integral part of these Financial Statements. 18 | Helios Underwriting plc | Annual report and financial statements 2014
Consolidated statement of financial position • At 31 December 2014
 
Note
31 December
2014
£’000
31 December
2013
£’000
Assets
Intangible assets 12 3,770 2,929
Reinsurance assets:
– reinsurers’ share of claims outstanding 6 4,682 4,154
– reinsurers’ share of unearned premium 6 1,014 800
Other receivables, including insurance receivables 14 16,379 11,554
Prepayments and accrued income 2,067 1,569
Financial assets at fair value 15 22,977 22,213
Cash and cash equivalents 3,605 1,066
Total assets 54,494 44,285
Liabilities
Insurance liabilities:
– claims outstanding 6 26,179 21,596
– unearned premium 6 8,005 5,968
Deferred income tax liabilities 13 2,137 1,656
Other payables, including insurance payables 16 6,213 4,116
Accruals and deferred income 1,475 1,123
Total liabilities 44,009 34,459
Shareholders’ equity
Share capital 17 853 853
Share premium 17 6,996 6,996
Retained earnings 18 2,636 1,977
Total shareholders’ equity 10,485 9,826
Total liabilities and shareholders’ equity 54,494 44,285
The accounting policies and notes are an integral part of these Financial Statements.
Approved and authorised for issue by the Board of Directors on 22 May 2015.
Nigel Hanbury
Chief Executive Annual report and financial statements 2014 | Helios Underwriting plc | 19 Financial statements F
Parent Company statement of financial position • At 31 December 2014
Company number: 05892671
Note
31 December
2014
£’000
31 December
2013
£’000
Assets
Financial investments 15 4,914 6,032
Other receivables 14 4,967 5,290
Cash and cash equivalents 1,785 22
Total assets 11,666 11,344
Liabilities
Other payables 16 164 182
Total liabilities 164 182
Shareholders’ equity
Share capital 17 853 853
Share premium 17 6,996 6,996
Retained earnings 18 3,653 3,313
Total shareholders’ equity 11,502 11,162
Total liabilities and shareholders’ equity 11,666 11,344
The accounting policies and notes are an integral part of these Financial Statements.
Approved and authorised for issue by the Board of Directors on 22 May 2015.
Nigel Hanbury 
Chief Executive 20 | Helios Underwriting plc | Annual report and financial statements 2014
Consolidated statement of cash flows • Year ended 31 December 2014
Year ended 
31 December
2014
£’000
Year ended
31 December
2013
£’000
Cash flows from operating activities
Results of operating activities 1,134 853
Interest received (2) (2)
Investment income (435) (381)
Goodwill on bargain purchase (785) (133)
Impairment of goodwill — 98
(Profit)/loss on sale of intangible assets (36) 8
Amortisation of intangible assets 881 462
Income tax paid (33) (86)
Change in fair value of investments 156 137
Changes in working capital:
– (increase)/decrease in other receivables (706) 2,687
– increase/(decrease) in other payables 1,164 (1,336)
– net decrease in technical provisions (109) (3,273)
Net cash inflow/(outflow) from operating activities 1,229 (966)
Cash flows from investing activities
Interest received 2 2
Investment income 435 381
Purchase of intangible assets (439) (3)
Proceeds from disposal of intangible assets 504 2
Net inflow of financial assets at fair value 5,122 3,276
Acquisition of subsidiaries, net of cash acquired (3,930) (3,070)
Net cash inflow from investing activities 1,694 588
Cash flows from financing activities
Dividends paid (384) —
Net cash outflow from financing activities (384) —
Net increase/(decrease) in cash and cash equivalents 2,539 (378)
Cash and cash equivalents at beginning of year 1,066 1,444
Cash and cash equivalents at end of year 3,605 1,066
The accounting policies and notes are an integral part of these Financial Statements.
Cash held within the syndicates’ accounts is £1,059,000 (2013: £980,000) of the total cash and cash equivalents held at the year end of 
£3,605,000 (2013: £1,066,000). The cash held within the syndicates’ accounts is not available to the Group to meet its day-to-day working 
capital requirements. Annual report and financial statements 2014 | Helios Underwriting plc | 21 Financial statements F
Parent Company statement of cash flows • Year ended 31 December 2014
Year ended 
31 December
2014
£’000
Year ended
31 December
2013
£’000
Cash flows from operating activities
Results of operating activities 724 546
Investment income (7) —
Dividend received (4,140) (3,559)
Impairment of financial investments 2,546 2,441
Change in fair value of investments 9 4
Changes in working capital:
– (increase)/decrease in other receivables (992) 1
– (decrease)/increase in other payables (19) 123
Net cash outflow from operating activities (1,879) (444)
Cash flows from investing activities
Investment income 7 —
Dividend received 4,140 3,559
Net cash outflow on financial investments (1,437) (5,216)
Amounts owed by subsidiary undertakings 1,316 2,112
Net cash inflow from investing activities 4,026 455
Cash flows from financing activities
Dividends paid (384) —
Net cash outflow from financing activities (384) —
Net increase in cash and cash equivalents 1,763 11
Cash and cash equivalents at beginning of year 22 11
Cash and cash equivalents at end of year 1,785 22
The accounting policies and notes are an integral part of these Financial Statements. 22 | Helios Underwriting plc | Annual report and financial statements 2014
Statements of changes in shareholders’ equity • Year ended 31 December 2014
Attributable to owners of the Parent
Consolidated
Ordinary
share capital
£’000
 Share
 premium
£’000
Retained
earnings
£’000
Total
£’000
At 1 January 2013 853 6,996 1,246 9,095
Profit for the year — — 731 731
At 31 December 2013 853 6,996 1,977 9,826
At 1 January 2014 853 6,996 1,977 9,826
Dividends paid — — (384) (384)
Profit for the year — — 1,043 1,043
At 31 December 2014 853 6,996 2,636 10,485
Company
Ordinary
share capital
£’000
 Share
 premium
£’000
Retained
earnings
£’000
Total
£’000
At 1 January 2013 853 6,996 2,714 10,563
Profit for the year — — 599 599
At 31 December 2013 853 6,996 3,313 11,162
At 1 January 2014 853 6,996 3,313 11,162
Dividends paid — — (384) (384)
Profit for the year — — 724 724
At 31 December 2014 853 6,996 3,653 11,502
The accounting policies and notes are an integral part of these Financial Statements.
  Annual report and financial statements 2014 | Helios Underwriting plc | 23 Financial statements F
Notes to the financial statements • Year ended 31 December 2014
1. General information
The Company is a public limited company listed on AIM and incorporated and domiciled in the UK.
2. Accounting policies
The principal accounting policies adopted in the preparation of the Group and Parent Company Financial Statements (“the Financial Statements”) 
are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Basis of preparation
The Financial Statements have been prepared in accordance with International Financial Reporting Standards (“IFRS”) as endorsed by the 
European Union (“EU”), IFRIC interpretations and those parts of the Companies Act 2006 applicable to companies reporting under IFRS. 
The Financial Statements have been prepared under the historical cost convention as modified by the revaluation of financial assets at fair 
value through profit or loss. A summary of the more important Group accounting policies is set out below.
The preparation of Financial Statements in conformity with IFRS requires the use of estimates and assumptions that affect the reported 
amounts of assets and liabilities at the date of the Financial Statements and the reported amounts of revenues and expenses during the 
reporting year. Although these estimates are based on management’s best knowledge of the amount, event or actions, actual results may 
ultimately differ from these estimates.
The Group participates in insurance business through its Lloyd’s member subsidiaries. Accounting information in respect of syndicate 
participations is provided by the syndicate managing agents and is reported upon by the syndicate auditors.
Going concern
The Group and the Company have net assets at the end of the reporting period of £10,485,000 and £11,502,000 respectively.
The Company’s subsidiaries participate as underwriting members at Lloyd’s on the 2012, 2013 and 2014 years of account and they have 
continued this participation since the year end on the 2015 year of account. This underwriting is supported by funds at Lloyd’s totalling 
£1,535,000 (2013: £4,669,000), letters of credit provided through the Group’s quota share reinsurance agreements totalling £8,728,000 
(2013: £4,118,000) and solvency credits issued by Lloyd’s totalling £3,181,000 (2013: £2,729,000).
The Directors have a reasonable expectation that the Group and the Company have adequate resources to meet their underwriting and other 
operational obligations for the foreseeable future. Accordingly they continue to adopt the going concern basis of accounting in preparing the 
annual Financial Statements.
International Financial Reporting Standards
The following are IFRS or IFRIC interpretations that are effective for the first time for the financial year beginning on or after 1 January 2014. 
These did not have a material impact on the Group’s Financial Statements for the year under review.
 » IFRS 10 “Consolidated financial statements” builds on existing principles by identifying the concept of control as the determining factor 
in whether an entity should be included within the consolidated Financial Statements of the Parent Company. The standard provides 
additional guidance to assist in the determination of control where this is difficult to assess.
 » IFRS 12 “Disclosures of Interests in Other Entities” includes the disclosure requirements for all forms of interests in entities, including joint 
arrangements, associates and special purpose vehicles.
 » IAS 27 “Separate Financial Statements” replaces the current version of IAS 27 “Consolidated and Separate Financial Statements” 
as a result of the issue of IFRS 10. The revised standard includes the requirements relating to separate financial statements. 
 » Amendment to IAS 32 “Offsetting Financial Assets and Financial Liabilities” adds application guidance to address inconsistencies identified 
in applying some of the criteria when offsetting financial assets and financial liabilities. This includes clarifying the meaning of “currently has 
a legally enforceable right of set-off” and that some gross settlement systems may be considered equivalent to net settlement.
 » IFRS 9 “Financial Instruments” addresses the classification, measurement and recognition of financial assets and financial liabilities. IFRS 9 
was issued in November 2009 and October 2010. It replaces parts of IAS 39 that relate to the classification and measurement of financial 
instruments. IFRS 9 requires financial assets to be classified into two measurement categories: those measured as at fair value and those 
measured at amortised cost. The determination is made at initial recognition. The classification depends on the entity’s business model 
for managing its financial instruments and the contractual cash flow characteristics for the instrument. For financial liabilities, the standard 
retains most of the IAS 39 requirements. The main change is that, in cases where the fair value option is taken for financial liabilities, the 
part of a fair value change due to an entity’s own credit risk is recorded in other comprehensive income rather than the income statement, 
unless this creates an accounting mismatch.
 » IFRS 11 “Joint Arrangements” provides for a more realistic reflection of joint arrangements by focusing on the rights and obligations of the 
arrangement, rather than its legal form. There are two types of joint arrangement: joint operations and joint ventures. Joint operations arise 
where a joint operator has rights to the assets and obligations relating to the arrangement and therefore accounts for its share of assets, 
liabilities, revenue and expenses. Joint ventures arise where the joint venture has rights to the net assets of the arrangement and therefore 
equity accounts for its interest. Proportional consolidation of joint ventures is no longer allowed. 24 | Helios Underwriting plc | Annual report and financial statements 2014
Notes to the financial statements continued • Year ended 31 December 2014
2. Accounting policies continued
International Financial Reporting Standards continued
 » Amendments to IFRS 10 “Consolidated Financial Statements”, IFRS 12 “Disclosure of Interests in Other Entities” and IAS 27 “Separate 
Financial Statements” provide “investment entities” (as defined) an exemption from the consolidation of particular subsidiaries and instead 
require that an investment entity measure the investment in each eligible subsidiary at fair value through profit or loss in accordance with 
IFRS 9 “Financial Instruments” or IAS 39 “Financial Instruments: Recognition and Measurement”. 
 » Amendment to IAS 36, “Recoverable Amount Disclosures for Non-financial Assets”, to reduce the circumstances in which the recoverable 
amount of assets or cash-generating units is required to be disclosed; to clarify the disclosures required; and to introduce an explicit 
requirement to disclose the discount rate used in determining impairment (or reversals) where recoverable amount (based on fair value 
less costs of disposal) is determined using a present value technique. 
 » “Annual Improvements 2010–2012 Cycle” sets out amendments to various IFRSs and provides a vehicle for making non-urgent but 
necessary amendments to IFRSs: 
 » IFRS 2 “Share-based Payment”: amendment to the definition of a vesting condition.
 » IFRS 3 “Business Combinations”: amendments to the accounting for contingent consideration in a business combination.
 » IFRS 8 “Operating Segments”: amendments to the aggregation of operating segments and the reconciliation of the total of the 
reportable segments’ assets to the entity’s assets.
 » IFRS 13 “Fair Value Measurement”: amendments to short-term receivables and payables.
 » IAS 16 “Property, Plant and Equipment”: amendments to the revaluation method in relation to the proportionate restatement 
of accumulated depreciation.
 » IAS 24 “Related Party Disclosures”: amendments regarding key management personnel.
 » IAS 38 “Intangible Assets”: amendments to the revaluation method in relation to the proportionate restatement of accumulated depreciation.
 » “Annual Improvements 2011–2013 Cycle” sets out amendments to various IFRSs and provides a vehicle for making non-urgent but 
necessary amendments to IFRSs: 
 » IFRS 1 “First-time Adoption of International Financial Reporting Standards”: amendment to the meaning of “effective IFRSs”.
 » IFRS 3 “Business Combinations”: amendments to the scope exceptions for joint ventures.
 » IFRS 13 “Fair Value Measurement”: amendments to the scope of paragraph 52 (portfolio exception).
 » IAS 40 “Investment Property”: amendments clarifying the inter-relationship between IFRS 3 and IAS 40 when classifying property 
as investment property or owner-occupied property.
A number of new standards and amendments to standards and interpretations are effective for annual periods beginning on or after 1 January 2015 
and have not been applied in preparing these Financial Statements. None of these are expected to have a significant effect on the Financial 
Statements of the Group. The Group intends to adopt these standards, if applicable, when they become effective.
 » Amendments to IAS 16 “Property, Plant and Equipment” and IAS 38 “Intangible Assets”: Clarification of Acceptable Methods of Depreciation 
and Amortisation. The amendments clarify that a deprecation method which is based on revenue that is generated by an activity which 
includes the use of an asset is not appropriate for property, plant and equipment. The amendments also introduce a rebuttable presumption 
that an amortisation method that is based on the revenue generated by an activity that includes the use of an intangible asset is inappropriate, 
which can only be overcome in limited circumstances. Issued May 2014 and applies to annual periods beginning on or after 1 January 2016, 
subject to EU endorsement.
 » Amendments to IAS 27 “Separate Financial Statements”: Equity Method in Separate Financial Statements. The amendments to IAS 27 
permit investments in subsidiaries, joint ventures and associates to be optionally accounted for using the equity method in the separate financial 
statements. Issued August 2014 and applies to annual periods beginning on or after 1 January 2016, subject to EU endorsement.
 » Amendments to IFRS 10 “Consolidated Financial Statements” and IAS 28 “Investments in Associates and Joint Ventures” (2011) in order 
to clarify the treatment of the sale or contribution of assets from an investor to its associate or joint venture, as follows:
 » require full recognition in the investor’s financial statements of gains and losses arising on the sale or contribution of assets that constitute 
a business (as defined in IFRS 3 “Business Combinations”); and
 » require the partial recognition of gains and losses where the assets do not constitute a business, i.e. a gain or loss is recognised only 
to the extent of the unrelated investors’ interests in that associate or joint venture.
These requirements apply regardless of the legal form of the transaction, e.g. whether the sale or contribution of assets occurs by an investor 
transferring shares in a subsidiary that holds the assets (resulting in loss of control of the subsidiary), or by the direct sale of the assets themselves. 
Issued September 2014 and applies to annual periods beginning on or after 1 January 2016, subject to EU endorsement. Annual report and financial statements 2014 | Helios Underwriting plc | 25 Financial statements F
Notes to the financial statements continued • Year ended 31 December 2014
2. Accounting policies continued
International Financial Reporting Standards continued
“Annual Improvements 2012–2014 Cycle” sets out amendments to the following IFRSs: 
 » IFRS 5 – Adds specific guidance in IFRS 5 for cases in which an entity reclassifies an asset from held for sale to held for distribution 
or vice versa and cases in which held-for-distribution accounting is discontinued.
 » IFRS 7 – Additional guidance to clarify whether a servicing contract is continuing involvement in a transferred asset, and clarification 
on offsetting disclosures in condensed interim financial statements.
 » IAS 9 – “Clarifies” that the high quality corporate bonds used in estimating the discount rate for post-employment benefits should 
be denominated in the same currency as the benefits to be paid.
 » IAS 34 – “Clarifies” the meaning of “elsewhere in the interim report” and requires a cross-reference.
Issued September 2014 and applies to annual periods beginning on or after 1 July 2016, subject to EU endorsement.
Amendments to IAS 1 “Presentation of Financial Statements”: Disclosure Initiative. The amendments to IAS 1 address perceived impediments 
to preparers exercising their judgement in presenting their financial reports by making the following changes:
 » clarification that information should not be obscured by aggregating or by providing immaterial information and materiality considerations 
apply to all parts of the financial statements, even when a standard requires a specific disclosure;
 » clarification that the list of line items to be presented in these statements can be disaggregated and aggregated as relevant and additional 
guidance on subtotals in these statements and clarification that an entity’s share of OCI of equity-accounted associates and joint ventures 
should be presented in aggregate as single line items based on whether or not it will subsequently be reclassified to profit or loss; and
 » additional examples of possible ways of ordering the notes to clarify that understandability and comparability should be considered when 
determining the order of the notes and to demonstrate that the notes need not be presented in the order so far listed in paragraph 114 
of IAS 1.
Issued December 2014 and applies to annual periods beginning on or after 1 January 2016, subject to EU endorsement.
Amendments to IFRS 10, IFRS 12 and IAS 28: Investment Entities: Applying the Consolidation Exception. Amends IFRS 10 “Consolidated 
Financial Statements”, IFRS 12 “Disclosure of Interests in Other Entities” and IAS 28 “Investments in Associates and Joint Ventures” (2011) to 
address issues that have arisen in the context of applying the consolidation exception for investment entities by clarifying the following points:
 » The exemption from preparing consolidated financial statements for an intermediate parent entity is available to a parent entity that 
is a subsidiary of an investment entity, even if the investment entity measures all of its subsidiaries at fair value.
 » A subsidiary that provides services related to the parent’s investment activities should not be consolidated if the subsidiary itself 
is an investment entity.
 » When applying the equity method to an associate or a joint venture, a non-investment entity investor in an investment entity may retain 
the fair value measurement applied by the associate or joint venture to its interests in subsidiaries.
 » An investment entity measuring all of its subsidiaries at fair value provides the disclosures relating to investment entities required 
by IFRS 12.
Issued December 2014 and applies to annual periods beginning on or after 1 January 2016, subject to EU endorsement.
Consolidation
The Financial Statements incorporate the Financial Statements of Helios Underwriting plc, Hampden Corporate Member Limited, 
Nameco (No. 365) Limited, Nameco (No. 605) Limited, Nameco (No. 321) Limited, Nameco (No. 917) Limited, Nameco (No. 229) Limited, 
Nameco (No. 518) Limited, Nameco (No. 804) Limited, Halperin Underwriting Limited, Bernul Limited, Dumasco Limited, Nomina No 035 LLP , 
Nomina No 342 LLP , Nomina No 380 LLP , Nomina No 372 LLP and Helios UTG Partner Limited.
The Financial Statements of Hampden Corporate Member Limited, Nameco (No. 365) Limited, Nameco (No. 605) Limited, Nameco (No. 321) Limited, 
Nameco (No. 917) Limited, Nameco (No. 229) Limited, Nameco (No. 518) Limited, Nameco (No. 804) Limited, Halperin Underwriting Limited, 
Bernul Limited, Dumasco Limited, Nomina No 035 LLP , Nomina No 342 LLP , Nomina No 380 LLP , Nomina No 372 LLP (“Limited Liability Vehicles”) 
and Helios UTG Partner Limited are prepared for the year ended 31 December 2014. Consolidation adjustments are made to convert the 
subsidiary Financial Statements prepared under UK GAAP to IFRS so as to align accounting policies and treatments.
Inter-company transactions, balances and unrealised gains on transactions between Group companies are eliminated. Unrealised losses 
are also eliminated unless the transaction provides evidence of impairment of the asset transferred.
No income statement is presented for Helios Underwriting plc as permitted by Section 408 of the Companies Act 2006. The profit after tax 
for the year of the Parent Company was £724,000 (2013: £599,000). 26 | Helios Underwriting plc | Annual report and financial statements 2014
Notes to the financial statements continued • Year ended 31 December 2014
2. Accounting policies continued
Underwriting
Premiums
Gross premium written comprises the total premiums receivable in respect of business incepted during the year, together with any differences 
between booked premiums for prior years and those previously accrued, and includes estimates of premiums due but not yet receivable or 
notified to the syndicates on which the Group participates, less an allowance for cancellations. All premiums are shown gross of commission 
payable to intermediaries and exclude taxes and duties levied on them.
Unearned premiums
Gross premium written is earned according to the risk profile of the policy. Unearned premiums represent the proportion of gross premium 
written in the year that relates to unexpired terms of policies in force at the end of the reporting period calculated on a time apportionment 
basis having regard, where appropriate, to the incidence of risk. The specific basis adopted by each syndicate is determined by the relevant 
managing agent.
Deferred acquisition costs
Acquisition costs, which represent commission and other related expenses, are deferred over the period in which the related premiums are earned.
Reinsurance premiums
Reinsurance premium costs are allocated by the managing agent of each syndicate to reflect the protection arranged in respect of the 
business written and earned.
Reinsurance premium costs in respect of reinsurance purchased directly by the Group are charged or credited based on the annual 
accounting result for each year of account protected by the reinsurance.
Claims incurred and reinsurers’ share
Claims incurred comprise claims and settlement expenses (both internal and external) occurring in the year and changes in the provisions 
for outstanding claims, including provisions for claims incurred but not reported (“IBNR”) and settlement expenses, together with any other 
adjustments to claims from previous years. Where applicable, deductions are made for salvage and other recoveries.
The provision for claims outstanding comprises amounts set aside for claims notified and IBNR. The amount included in respect of IBNR 
is based on statistical techniques of estimation applied by each syndicate’s in-house reserving team and reviewed, in certain cases, by external 
consulting actuaries. These techniques generally involve projecting from past experience the development of claims over time to form a view 
of the likely ultimate claims to be experienced for more recent underwriting, having regard to variations in the business accepted and the 
underlying terms and conditions. The provision for claims also includes amounts in respect of internal and external claims’ handling costs. 
For the most recent years, where a high degree of volatility arises from projections, estimates may be based in part on output from rating 
and other models of the business accepted and assessments of underwriting conditions.
The reinsurers’ share of provisions for claims is based on calculated amounts of outstanding claims and projections for IBNR, net of estimated 
irrecoverable amounts, having regard to each syndicate’s reinsurance programme in place for the class of business, the claims experience for 
the year and the current security rating of the reinsurance companies involved. Each syndicate uses a number of statistical techniques to assist 
in making these estimates.
Accordingly the two most critical assumptions made by each syndicate’s managing agent as regards claims provisions are that the past is a 
reasonable predictor of the likely level of claims development and that the rating and other models used, including pricing models for recent 
business, are reasonable indicators of the likely level of ultimate claims to be incurred.
The level of uncertainty with regard to the estimations within these provisions generally decreases with time since the underlying contracts 
were exposed to new risks. In addition the nature of short-tail claims such as property where claims are typically notified and settled within 
a short period of time will normally have less uncertainty after a few years than long-tail risks such as some liability business where it may 
be several years before claims are fully advised and settled. In addition to these factors if there are disputes regarding coverage under 
policies or changes in the relevant law regarding a claim this may increase the uncertainty in the estimation of the outcomes.
The assessment of these provisions is usually the most subjective aspect of an insurer’s accounts and may result in greater uncertainty within 
an insurer’s accounts than within those of many other businesses. The provisions for gross claims and related reinsurance recoveries have 
been assessed on the basis of the information currently available to the directors of each syndicate’s managing agent. However, ultimate 
liability will vary as a result of subsequent information and events and this may result in significant adjustments to the amounts provided. 
Adjustments to the amounts of claims provisions established in prior years are reflected in the Financial Statements for the period in which 
the adjustments are made. The provisions are not discounted for the investment earnings that may be expected to arise in the future on the 
funds retained to meet the future liabilities. The methods used, and the estimates made, are reviewed regularly.
Quota share reinsurance
Under the Group’s quota share reinsurance agreements, 50% of the 2013 underwriting year of account and 70% of the 2014 underwriting 
year of account insurance exposure is ceded to the reinsurers. Amounts payable to the reinsurers are included within “reinsurance premium 
ceded” in the Consolidated Income Statement. Amounts receivable from the reinsurers are included within “reinsurers’ share of gross claims 
paid” in the Consolidated Income Statement. Annual report and financial statements 2014 | Helios Underwriting plc | 27 Financial statements F
Notes to the financial statements continued • Year ended 31 December 2014
2. Accounting policies continued
Underwriting continued
Unexpired risks provision
Provisions for unexpired risks are made where the costs of outstanding claims, related expenses and deferred acquisition costs are expected 
to exceed the unearned premium provision carried forward at the end of the reporting period. The provision for unexpired risks is calculated 
separately by reference to classes of business that are managed together, after taking into account relevant investment return. The provision 
is made on a syndicate-by-syndicate basis by the relevant managing agent.
Closed years of account
At the end of the third year, the underwriting account is normally closed by reinsurance into the following year of account. The amount of the 
reinsurance to close premium payable is determined by the managing agent, generally by estimating the cost of claims notified but not settled 
at 31 December, together with the estimated cost of claims incurred but not reported at that date and an estimate of future claims handling 
costs. Any subsequent variation in the ultimate liabilities of the closed year of account is borne by the underwriting year into which it is reinsured.
The payment of a reinsurance to close premium does not eliminate the liability of the closed year for outstanding claims. If the reinsuring 
syndicate were unable to meet any obligations, and the other elements of Lloyd’s chain of security were to fail, then the closed underwriting 
account would have to settle any outstanding claims.
The Directors consider that the likelihood of such a failure of the reinsurance to close is extremely remote and consequently the reinsurance 
to close has been deemed to settle the liabilities outstanding at the closure of an underwriting account. The Group will include its share of 
the reinsurance to close premiums payable as technical provisions at the end of the current period and no further provision is made for any 
potential variation in the ultimate liability of that year of account.
Run-off years of account
Where an underwriting year of account is not closed at the end of the third year (a “run-off” year of account) a provision is made for the 
estimated cost of all known and unknown outstanding liabilities of that year. The provision is determined initially by the managing agent on 
a similar basis to the reinsurance to close. However, any subsequent variation in the ultimate liabilities for that year remains with the corporate 
member participating therein. As a result any run-off year will continue to report movements in its results after the third year until such time 
as it secures a reinsurance to close.
Net operating expenses (including acquisition costs)
Net operating expenses include acquisition costs, profit and loss on exchange and other amounts incurred by the syndicates on which the 
Group participates.
Acquisition costs, comprising commission and other costs related to the acquisition of new insurance contracts, are deferred to the extent 
that they are attributable to premiums unearned at the end of the reporting period.
Foreign currency translation
Items included in the Financial Statements of each of the Group’s entities are measured using the currency of the primary economic environment 
in which the entity operates (“the functional currency”). The Financial Statements are presented in thousands of pounds sterling, which is the 
Group’s functional and presentational currency.
Foreign currency transactions and non-monetary assets and liabilities, including deferred acquisition costs and unearned premiums, are 
translated into the functional currency using monthly average rates of exchange prevailing at the time of the transaction as a proxy for the 
transactional rates. The translation difference arising on non-monetary asset items is recognised in the Consolidated Income Statement.
Monetary items are translated at period-end rates; any exchange differences arising from the change in rates of exchange are recognised 
in the Consolidated Income Statement.
Investments
Investments in marketable securities are stated at their bid-market value at the end of the reporting period. The Group values its financial 
assets at fair value through the Consolidated Income Statement.
Purchases and sales of investments are recognised on the trade date, which is the date the Group commits to purchase or sell the assets.
Intangible assets
Intangible assets, which represent costs incurred in the Corporation of Lloyd’s auctions in order to acquire rights to participate on syndicates’ 
years of account, are stated at cost, less any provision for impairment, and amortised on a straight line basis over the useful economic life, 
which is estimated to be seven years. No amortisation is charged until the following year when underwriting commences in respect of the 
purchased syndicate participation. 28 | Helios Underwriting plc | Annual report and financial statements 2014
Notes to the financial statements continued • Year ended 31 December 2014
2. Accounting policies continued
Investment in subsidiaries
Subsidiaries are entities over which the Group has the power to govern the financial and operating policies generally accompanying a shareholding 
or partnership participation of more than one half of the voting rights. The existence and effect of potential voting rights that are currently 
exercisable or convertible are considered when assessing whether the Group controls another entity. 
Subsidiaries are fully consolidated from the date on which control is transferred to the Group. 
In the Company’s Financial Statements, investments in subsidiary undertakings are stated at cost and are reviewed for impairment annually 
or when events or changes in circumstances indicate the carrying value to be impaired.
The Group uses the acquisition method of accounting to account for the acquisition of subsidiaries. The cost of an acquisition is measured 
as the fair value of the assets given, equity instruments issued and liabilities incurred or assumed at the date of exchange. 
The excess of the cost of acquisition over the fair value of the Group’s share of the identifiable net assets acquired is capitalised and recorded 
as goodwill. Following initial recognition goodwill is measured at cost less accumulated impairment losses. Goodwill is tested for impairment 
annually or if events or changes in circumstances indicate that the carrying value may be impaired and recognised directly in the consolidated 
income statement. If the cost of acquisition is less than the fair value of the net assets of the subsidiary acquired, the difference is recognised 
directly in the consolidated income statement. Intra-group transactions, balances and unrealised gains on intra-group transactions are 
eliminated. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred. 
Cash and cash equivalents
For the purposes of the statement of cash flows, cash and cash equivalents comprise cash and short-term deposits at bank.
Investment income
Interest receivable from cash and short-term deposits and interest payable are accrued to the end of the period.
Syndicate investments and cash are held on a pooled basis, the return from which is allocated by the relevant managing agent to years 
of account proportionately to the funds contributed by the year of account.
Dividend distribution policy
Dividend distribution to the Company’s shareholders is recognised in the Group’s Financial Statements in the period in which the dividends 
are approved by the Company’s shareholders.
Other operating expenses
All expenses are accounted for on an accruals basis.
Financial assets
The Group classifies its financial assets in the following categories: at fair value through profit and loss and other loans and receivables. 
The classification depends on the purpose for which the financial assets were acquired. Management determines the classification 
of its financial assets at initial recognition. The Group does not make use of the held to maturity and available for sale classifications.
(a) Financial assets at fair value through profit and loss 
All financial assets are designated as fair value through profit and loss upon initial recognition because they are managed and their performance 
is evaluated on a fair value basis. Information about these financial assets is provided internally on a fair value basis to the Group’ s key management. 
The Group’s investment strategy is to invest and evaluate their performance with reference to their fair values. Assets in this category 
are classified as current assets if expected to be settled within 12 months; otherwise, they are classified as non-current.
(b) Other loans and receivables
Other loans and receivables are non-derivative financial assets with fixed or determinable payments that are not quoted in an active market. 
Other loans and receivables are carried at amortised cost less any impairment losses.
Fair value estimation
The fair value of financial instruments traded in active markets is based on quoted market prices at the end of the reporting period. A market 
is regarded as active if quoted prices are readily and regularly available from an exchange, dealer, broker, industry group, pricing service or 
regulatory agency and those prices represent actual and regular occurring market transactions on an arm’s length basis. The quoted market 
price used for financial assets held by the Group is the current bid price.
The fair value of financial instruments that are not traded in an active market is determined by using valuation techniques. These valuation 
techniques maximise the use of observable market data where it is available and rely as little as possible on entity-specific estimates.
The fair values of short-term deposits are assumed to approximate to their book values. The fair values of the Group’s debt securities 
have been based on quoted market prices for these instruments.  Annual report and financial statements 2014 | Helios Underwriting plc | 29 Financial statements F
Notes to the financial statements continued • Year ended 31 December 2014
2. Accounting policies continued
Deferred taxation
Deferred tax is provided in full, using the balance sheet liability method, on temporary differences arising between the tax bases of assets 
and liabilities and their carrying amounts in the Financial Statements. 
However, if the deferred tax arises from initial recognition of an asset or liability in a transaction other than a business combination that 
at the time of the transaction affects neither accounting nor taxable profit or loss, it is not accounted for. 
Deferred tax is determined using tax rates (and laws) that have been enacted or substantively enacted by the end of the reporting period 
and are expected to apply when the related deferred income tax asset is realised or the deferred income tax liability is settled.
Deferred tax assets are recognised to the extent that it is probable that future taxable profits will be available against which the temporary 
differences can be utilised.
Segmental reporting
Operating segments are reported in a manner consistent with the internal reporting provided to the chief operating decision-maker. The chief 
operating decision-maker, who is responsible for allocating resources and assessing performance of the operating segments, has been identified 
as Nigel Hanbury.
3. Risk management
The majority of the risks to the Group’s future cash flows arise from each subsidiary’s participation in the results of Lloyd’s syndicates. 
As detailed below, these risks are mostly managed by the managing agents of the syndicates. The Group’s role in managing this risk, 
in conjunction with its subsidiaries and members’ agent, is limited to selection of syndicate participations and monitoring performance 
of the syndicates and the purchase of appropriate member level reinsurance.
Syndicate risks
The syndicates’ activities expose them to a variety of financial and non-financial risks. The managing agent is responsible for managing the 
syndicate’s exposure to these risks and, where possible, introducing controls and procedures that mitigate the effects of the exposure to risk. 
For the purposes of setting capital requirements for the 2014 and subsequent years of account, each managing agent will have prepared 
a Lloyd’s Capital Return (“LCR”) for the syndicate to agree capital requirements with Lloyd’s based on an agreed assessment of the risks 
impacting the syndicate’s business and the measures in place to manage and mitigate those risks from a quantitative and qualitative 
perspective. The risks described below are typically reflected in the LCR and typically the majority of the total assessed value of the risks 
concerned is attributable to insurance risk.
The insurance risks faced by a syndicate include the occurrence of catastrophic events, downward pressure on pricing of risks, reductions 
in business volumes and the risk of inadequate reserving. Reinsurance risks arise from the risk that a reinsurer fails to meet its share of a 
claim. The management of the syndicate’s funds is exposed to investment risk, liquidity risk, credit risk, currency risk and interest rate risk, 
leading to financial loss. The syndicate is also exposed to regulatory and operational risks including its ability to continue to trade. However, 
supervision by Lloyd’s and the Prudential Regulation Authority provides additional controls over the syndicate’s management of risks.
The Group manages the risks faced by the syndicates on which its subsidiaries participate by monitoring the performance of the syndicates 
it supports. This commences in advance of committing to support a syndicate for the following year, with a review of the business plan 
prepared for each syndicate by its managing agent. In addition quarterly reports and annual accounts, together with any other information 
made available by the managing agent, are monitored and if necessary enquired into. If the Group considers that the risks being run by the 
syndicate are excessive it will seek confirmation from the managing agent that adequate management of the risk is in place and, if considered 
appropriate, will withdraw support from the next year of account. The Group also manages its exposure to insurance risk by purchasing 
appropriate member level reinsurance.
Reinsurance risk
Reinsurance risk to the Group arises where reinsurance contracts put in place to reduce gross insurance risk do not perform as anticipated, 
result in coverage disputes or prove inadequate in terms of the vertical or horizontal limits purchased. Failure of a reinsurer to pay a valid claim 
is considered a credit risk, which is detailed separately below.
The Group currently has reinsurance programmes on the 2013, 2014 and 2015 years of account.
The 2013 year of account has a strategic collateralised quota share arrangement in respect of 50% of its business with Bermudan reinsurer 
XL Re Limited (“XL Re”, part of global NYSE quoted insurer XL Group plc) through Hampden Insurance PCC (Guernsey) Limited – Cell 6 
(“Cell 6”), a special purpose vehicle.
The 2014 year of account has a strategic collateralised quota share arrangement in respect of 50% of its business with Bermudan reinsurer, 
XL Re Limited (“XL Re”, part of global NYSE quoted insurer XL Group plc), 12.45% with Bermudan reinsurer Everest Reinsurance Bermuda Limited 
(“Everest”, part of global NYSE quoted insurer Everest Re Group, Limited) and 7.55% with Guernsey reinsurer Polygon Insurance Co Limited 
(“Polygon”) through Hampden Insurance Guernsey PCC Limited – Cell 6 (“Cell 6”), a special purpose vehicle. 30 | Helios Underwriting plc | Annual report and financial statements 2014
Notes to the financial statements continued • Year ended 31 December 2014
3. Risk management continued
Investment, credit, liquidity and currency risks
The other significant risks faced by the Group are with regard to the investment of funds within its own custody. The elements of these risks 
are investment risk, liquidity risk, credit risk, currency risk and interest rate risk. To mitigate this, the surplus Group funds are deposited with 
highly rated banks and fund managers. The main liquidity risk would arise if a syndicate had inadequate liquid resources for a large claim 
and sought funds from the Group to meet the claim. In order to minimise investment, credit and liquidity risk the Group’s funds are invested 
in readily realisable short-term deposits. The Group’s maximum exposure to credit risk at 31 December 2014 is £6.2m (2013: £6.8m), being 
the aggregate of the Group’s insurance receivables, prepayments and accrued income, financial assets at fair value and cash and cash 
equivalents, excluding any amounts held in the syndicates. The syndicates can distribute their results in sterling, US dollars or a combination 
of the two. The Group is exposed to movements in the US dollar between the balance sheet date and the distribution of the underwriting 
profits and losses, which is usually in the May following the closure of a year of account. The Group does not use derivative instruments 
to manage risk and, as such, no hedge accounting is applied.
As a result of the specific nature and structure of the Group’s collateralised quota share reinsurance arrangements through Cell 6, the Group’s 
funds at Lloyd’ s calculation benefits from an aggregate £8.7m (2013: £4.1m) letter of credit (“LOC”) acceptable to Lloyd’ s, on behalf of XL Re Limited, 
Everest Reinsurance Bermuda Limited and Polygon Insurance Co Limited (the reinsurers). The LOC is pledged in aggregate to the relevant 
syndicates through Lloyd’s and thus HUW is not specifically exposed to counterparty credit risk in this matter. Should the bank’s LOC become 
unacceptable to Lloyd’s for any reason, the reinsurer is responsible under the terms of the contract for making alternative arrangements. The 
contract is annually renewable and the Group has a contingency plan in place in the event of non-renewal under both normal and adverse 
market conditions.
Market risk
The Group is exposed to market and liquidity risk in respect of its holdings of syndicate participations. Lloyd’s syndicate participations are 
traded in the Lloyd’s auctions held in September and October each year. The Group is exposed to changes in market prices and a lack of 
liquidity in the trading of a particular syndicate’s capacity could result in the Group making a loss compared to the carrying value when the 
Group disposes of particular syndicate participations.
Regulatory risks 
The Company’s subsidiaries are subject to continuing approval by Lloyd’s to be a member of a Lloyd’s syndicate. The risk of this approval 
being removed is mitigated by monitoring and fully complying with all requirements in relation to membership of Lloyd’s. The capital requirements 
to support the proposed amount of syndicate capacity for future years are subject to the requirements of Lloyd’s. A variety of factors are taken 
into account by Lloyd’s in setting these requirements including market conditions and syndicate performance and, although the process is 
intended to be fair and reasonable, the requirements can fluctuate from one year to the next, which may constrain the volume of underwriting 
a subsidiary of the Company is able to support. 
The Company is subject to the AIM Rules. Compliance with the AIM Rules is monitored by the Board.
Operational risks
As there are relatively few transactions actually undertaken by the Group there are only limited systems and operational requirements of the Group 
and therefore operational risks are not considered to be significant. Close involvement of all Directors in the Group’s key decision making 
and the fact that the majority of the Group’s operations are conducted by syndicates provide control over any remaining operational risks.
Capital management objectives, policies and approach
The Group has established the following capital management objectives, policies and approach to managing the risks that affect 
its capital position:
 » to maintain the required level of stability of the Group thereby providing a degree of security to shareholders;
 » to allocate capital efficiently and support the development of the business by ensuring that returns on capital employed meet 
the requirements of the shareholders; and
 » to maintain the financial strength to support increases in the Group’s underwriting through acquisition of capacity in the Lloyd’s auctions 
or through the acquisition of new subsidiaries.
The Group’s capital management policy is to hold a sufficient level of capital to allow the Group to take advantage of market conditions, 
particularly when insurance rates are improving, and to meet the funds at Lloyd’s (“FAL”) requirements that support the corporate member 
subsidiaries’ current and future levels of underwriting.
Approach to capital management
The capital structure of the Group consists entirely of equity attributable to equity holders of the Company, comprising issued share capital, 
share premium and retained earnings as disclosed in the Statements of Changes in Shareholders’ Equity on page 22.
At 31 December 2014 the corporate member subsidiaries had an agreed FAL requirement of £13,136,000 (2013: £11,088,000) to support 
their underwriting on the 2015 year of account (2014 year of account). The funds to support this requirement are held in short-term investment 
funds and deposits or provided by the quota share reinsurance capital providers by way of a letter of credit. The FAL requirements are formally 
assessed and funded twice yearly and must be met by the corporate member subsidiaries to continue underwriting. At 31 December 2014 
the agreed FAL requirement for the Group was 64% (2013: 61%) of the capacity for the following year of account. Annual report and financial statements 2014 | Helios Underwriting plc | 31 Financial statements F
Notes to the financial statements continued • Year ended 31 December 2014
4. Segmental information
The Group has three segments that represent the primary way in which the Group is managed:
 » syndicate participation;
 » investment management; and 
 » other corporate activities.
Year ended 31 December 2014
Syndicate
participation
£’000
Investment
management
£’000
Other 
corporate 
activities
£’000
Total
£’000
Net earned premium 13,838 — (465) 13,373
Net investment income 473 43 — 516
Other income — — 29 29
Net insurance claims and loss adjustment expenses (5,915) — — (5,915)
Expenses incurred in insurance activities (5,800) — — (5,800)
Other operating expenses (87) — (886) (973)
Goodwill on bargain purchase — — 785 785
Impairment of goodwill — — — —
Amortisation of syndicate capacity (see Note 12) — — (881) (881)
Profit before tax 2,509 43 (1,418) 1,134
Year ended 31 December 2013
Syndicate
participation
£’000
Investment
management
£’000
Other 
corporate 
activities
£’000
Total
£’000
Net earned premium 9,723 — (22) 9,701
Net investment income 247 (39) — 208
Other income — — — —
Net insurance claims and loss adjustment expenses (4,063) — — (4,063)
Expenses incurred in insurance activities (4,042) — — (4,042)
Other operating expenses 51 — (575) (524)
Goodwill on bargain purchase — — 133 133
Impairment of goodwill — — (98) (98)
Amortisation of syndicate capacity (see Note 12) — — (462) (462)
Profit before tax 1,916 (39) (1,024) 853
The Group does not have any geographical segments as it considers all of its activities to arise from trading within the UK.
No major customers exceed 10% of revenue.
Net earned premium within 2014 other corporate activities totalling £465,000 (2013: £22,000 – 2013 year of account only) presents the 
2013 and 2014 years of account net Group quota share reinsurance premium payable to Hampden Insurance PCC (Guernsey) Limited – Cell 6. 
This net quota share reinsurance premium payable is included within “reinsurance premium ceded” in the Consolidated Income Statement.
All of the Group’s Limited Liability Vehicles have entered into Group quota share reinsurance contracts with Hampden Insurance PCC 
(Guernsey) Limited – Cell 6 for the 2015 underwriting year of account. 32 | Helios Underwriting plc | Annual report and financial statements 2014
Notes to the financial statements continued • Year ended 31 December 2014
5. Operating profit before goodwill and amortisation
Underwriting year of account*
Year ended 31 December 2014
2011 
and prior
£’000
2012
£’000
2013 
£’000
2014
£’000
Pre-
acquisition
£’000
Corporate
 reinsurance
£’000
Other
 corporate
£’000
Total
£’000
Gross premium written — 107 1,574 16,655 (1,274) — — 17,062
Net premium written — 89 1,373 13,858 (1,049) (627) — 13,644
Net earned premium — 744 6,603 7,707 (1,054) (627) — 13,373
Net investment income — 256 110 47 (93) — 196 516
Other income — — — — — — 29 29
Net insurance claims and 
loss adjustment expenses — 980 (3,088) (4,283) 476 — — (5,915)
Operating expenses — (532) (2,206) (3,105) 445 — (1,375) (6,773)
Operating profit before 
goodwill and amortisation — 1,448 1,419 366 (226) (627) (1,150) 1,230
Underwriting year of account*
Year ended 31 December 2013
2010 
and prior
£’000
2011
£’000
2012 
£’000
2013
£’000
Pre-
acquisition
£’000
Corporate
 reinsurance
£’000
Other
 corporate
£’000
Total
£’000
Gross premium written 13 14 1,284 13,494 (2,867) — — 11,938
Net premium written 25 (33) 1,082 11,068 (2,346) (109) — 9,687
Net earned premium 94 427 5,465 6,257 (2,433) (109) — 9,701
Net investment income — 132 53 24 (125) — 124 208
Other income — — — — — — — —
Net insurance claims and 
loss adjustment expenses 10 788 (2,172) (3,650) 961 — — (4,063)
Operating expenses (78) (481) (1,920) (2,410) 1,092 — (769) (4,566)
Operating profit before goodwill 
and amortisation 26 866 1,426 221 (505) (109) (645) 1,280
Pre-acquisition relates to the element of results from the new acquisitions before they were acquired by the Group. 
*  The underwriting year of account results represent the Group’s share of the syndicates’ results by underwriting year of account before corporate member level reinsurance and members’ 
agents charges.
6. Insurance liabilities and reinsurance balances
Movement in claims outstanding 
Gross
£’000
Reinsurance
£’000
Net
£’000
At 1 January 2013 19,814 4,323 15,491
Increase in reserves arising from acquisition of subsidiary undertakings 5,303 861 4,442
Movement of reserves (1,148) (478) (670)
Other movements (2,373) (552) (1,821)
At 31 December 2013 21,596 4,154 17,442
At 1 January 2014 21,596 4,154 17,442
Increase in reserves arising from acquisition of subsidiary undertakings 5,106 947 4,159
Movement of reserves (464) (319) (145)
Other movements (59) (100) 41
At 31 December 2014 26,179 4,682 21,497
Included within other movements are the 2011 and prior years’ claims reserves reinsured into the 2012 year of account on which the Group 
does not participate and currency exchange differences. Annual report and financial statements 2014 | Helios Underwriting plc | 33 Financial statements F
Notes to the financial statements continued • Year ended 31 December 2014
6. Insurance liabilities and reinsurance balances continued
Movement in unearned premium
Gross
£’000
Reinsurance
£’000
Net
£’000
At 1 January 2013 4,624 590 4,034
Increase in reserves arising from acquisition of subsidiary undertakings 1,352 175 1,177
Movement of reserves 29 43 (14)
Other movements (37) (8) (29)
At 31 December 2013 5,968 800 5,168
At 1 January 2014 5,968 800 5,168
Increase in reserves arising from acquisition of subsidiary undertakings 1,691 216 1,475
Movement of reserves 243 (28) 271
Other movements 103 26 77
At 31 December 2014 8,005 1,014 6,991
Assumptions, changes in assumptions and sensitivity
As described in Note 3 the majority of the risks to the Group’s future cash flows arise from its subsidiaries’ participation in the results of Lloyd’s 
syndicates and are mostly managed by the managing agents of the syndicates. The Group’s role in managing these risks, in conjunction with 
the Groups members’ agent, is limited to a selection of syndicate participations and monitoring the performance of the syndicates and their 
managing agents.
The amounts carried by the Group arising from insurance contracts are calculated by the managing agents of the syndicates and derived from 
accounting information provided by the managing agents and reported upon by the syndicate auditors. 
The key assumptions underlying the amounts carried by the Group arising from insurance contracts are:
 » the claims reserves calculated by the managing agents are accurate; and
 » the potential deterioration of run-off year results has been fully provided for by the managing agents.
There have been no changes in assumptions in 2014.
The amounts carried by the Group arising from insurance contracts are sensitive to various factors as follows:
 » a 10% increase/decrease in the managing agents’ calculation of gross claims reserves will decrease/increase the Group’s pre-tax profits 
by £2,618,000 (2013: £2,160,000);
 » a 10% increase/decrease in the managing agents’ calculation of net claims reserves will decrease/increase the Group’s pre-tax profits 
by £2,150,000 (2013: £1,744,000); and 
 » a 10% increase/decrease in the run-off year net claims reserves will decrease/increase the Group’s pre-tax profits by £nil (2013: £13,000).
The 10% movement has been selected to give an indication of the possible variations in the assumptions used. 34 | Helios Underwriting plc | Annual report and financial statements 2014
Notes to the financial statements continued • Year ended 31 December 2014
6. Insurance liabilities and reinsurance balances continued
Analysis of gross and net claims development
The tables below provide information about historical gross and net claims development: 
2014
Gross claims as a percentage of gross earned premium
Year of account 2012* 2013 2014
12 months 67.7% 53.0% 52.0%
24 months 53.5% 49.7% —
36 months 45.1% — —
Net claims as a percentage of net earned premium
Year of account 2012* 2013 2014
12 months 66.4% 58.2% 55.6%
24 months 58.7% 53.0% —
36 months 48.9% — —
* Including the new acquisitions during 2014.
2013
Gross claims as a percentage of gross earned premium
Year of account 2011* 2012* 2013
12 months 72.3% 67.7% 53.1%
24 months 61.0% 54.9% —
36 months 51.7% — —
Net claims as a percentage of net earned premium
Year of account 2011* 2012* 2013
12 months 77.0% 71.4% 53.1%
24 months 62.3% 57.3% —
36 months 51.8% — —
* Including the new acquisitions during 2013.
7. Net investment income
Year ended
31 December 
2014
£’000
Year ended
31 December
2013
£’000
Investment income 435 381
Realised gains on financial assets at fair value through profit or loss 279 5
Unrealised losses on financial assets at fair value through profit or loss (156) (137)
Investment management expenses (44) (43)
Bank interest 2 2
Net investment income 516 208 Annual report and financial statements 2014 | Helios Underwriting plc | 35 Financial statements F
Notes to the financial statements continued • Year ended 31 December 2014
8. Operating expenses (excluding goodwill and amortisation)
Year ended
31 December
2014
£’000
Year ended
31 December
2013
£’000
Expenses incurred in insurance activities 5,800 4,042
Exchange differences 22 (116)
Directors’ remuneration 238 236
Acquisition costs in connection with the new subsidiaries acquired in the year 51 49
Professional fees 505 206
Administration and other expenses 75 81
Auditors’ remuneration:
– audit of the Parent Company and Group Financial Statements 32 29
– audit of subsidiary company Financial Statements 30 22
– audit related assurance services 20 17
Operating expenses 6,773 4,566
The Group has no employees other than the Directors of the Company.
Details of the Directors remuneration are disclosed below:
Directors’ remuneration
Year ended
31 December
2014
£
Year ended
31 December
2013
£
Sir Michael Oliver 20,000 20,000
Andrew Leslie (resigned 27 June 2013) — 14,600
Jeremy Evans 15,000 15,000
Michael Cunningham 15,000 15,000
Andrew Christie (appointed 8 July 2013) 15,000 7,500
Nigel Hanbury 173,250 164,000
Total 238,250 236,100
The Chief Executive, Nigel Hanbury, has a bonus incentive scheme in addition to his basic remuneration. The above figures include an accrual 
for the year of £98,000 (2013: £89,000) in respect of this scheme. No other Directors derive other benefits, pension contributions or incentives 
from the Group. At 31 December 2014 no share options were held by the Directors (2013: nil).
9. Income tax charge
(a) Analysis of tax charge/(credit) in the year
Year ended
31 December
2014
£’000
Year ended
31 December
2013
£’000
Current tax:
– current year 5 (95)
– prior year 12 (5)
– foreign tax paid 25 22
42 (78)
Deferred tax:
– current year 143 315
– prior year (94) (115)
49 200
Tax on profit on ordinary activities 91 122 36 | Helios Underwriting plc | Annual report and financial statements 2014
Notes to the financial statements continued • Year ended 31 December 2014
9. Income tax charge continued
(b) Factors affecting the tax charge/(credit) for the year
Tax for the year is lower than (2013: lower than) the standard rate of corporation tax in the UK of 21.49% (2013: 23.25%).
The differences are explained below:
Year ended
31 December
2014
£’000
Year ended
31 December
2013
£’000
Profit on ordinary activities before tax 1,134 853
Profit on ordinary activities multiplied by the standard rate of corporation tax in the UK of 21.49% (2013: 23.25%) 244 199
Prior year adjustments (82) (5)
Change in deferred tax rate — (115)
Permanent disallowances 73 50
Goodwill on bargain purchase not subject to tax (169) (31)
Relief for foreign taxation 25 22
Other — 2
Tax charge for the year 91 122
The results of the Group’s participation on the 2012, 2013 and 2014 years of account and the calendar year movement on 2011 and prior 
run-offs will not be assessed to tax until the years ended 2015, 2016 and 2017 respectively, being the year after the calendar year result 
of each run-off year or the normal date of closure of each year of account. Full provision is made as part of the deferred tax provisions 
for underwriting profits/(losses) not yet subject to corporation tax.
The Group has £1,270,000 (2013: £479,000) taxable losses carried forward, to which £660,000 has been recognised as a deferred tax asset 
and has been offset against deferred tax liabilities as disclosed in Note 13.
The Company had £610,00 of tax losses to carry forward to which no deferred tax asset has been recognised due to the uncertainty of the 
future taxable profits.
10. Earnings per share
Basic earnings per share is calculated by dividing the earnings attributable to ordinary shareholders after tax by the weighted average number 
of ordinary shares outstanding during the period. 
The Group has no dilutive potential ordinary shares.
Earnings per share has been calculated in accordance with IAS 33.
The earnings and weighted average number of shares used in the calculation are set out below:
Year ended
31 December
2014
Year ended
31 December
2013
Profit for the year after tax £1,043,000 £731,000
Weighted average number of shares in issue 8,526,948 8,526,948
Basic and diluted earnings per share 12.23p 8.57p
11. Dividends
A dividend of 4.5p per share was paid during the year totalling £384,000 (2013: £nil). Future dividends are detailed in Note 24. Annual report and financial statements 2014 | Helios Underwriting plc | 37 Financial statements F
Notes to the financial statements continued • Year ended 31 December 2014
12. Intangible assets
Goodwill
£’000
Syndicate
capacity
£’000
Total
£’000
Cost
At 1 January 2013 — 3,221 3,221
Additions 98 3 101
Disposals — (37) (37)
Impairment (98) — (98)
Acquired with subsidiary undertakings — 1,927 1,927
At 31 December 2013 — 5,114 5,114
At 1 January 2014 — 5,114 5,114
Additions — 439 439
Disposals — (724) (724)
Impairment — — —
Acquired with subsidiary undertakings — 2,240 2,240
At 31 December 2014 — 7,069 7,069
Amortisation
At 1 January 2013 — 1,424 1,424
Charge for the year — 462 462
Disposals — (28) (28)
Acquired with subsidiary undertakings — 327 327
At 31 December 2013 — 2,185 2,185
At 1 January 2014 — 2,185 2,185
Charge for the year — 881 881
Disposals — (256) (256)
Acquired with subsidiary undertakings — 489 489
At 31 December 2014 — 3,299 3,299
Net book value
As at 31 December 2012 — 1,797 1,797
As at 31 December 2013 — 2,929 2,929
As at 31 December 2014 — 3,770 3,770
Note 19 sets out the details of the four entities acquired by the Group during the year, the fair value adjustments and the negative goodwill arising. 38 | Helios Underwriting plc | Annual report and financial statements 2014
Notes to the financial statements continued • Year ended 31 December 2014
13. Deferred tax
Deferred tax is calculated in full on temporary differences using a tax rate of 20% (2013: 20%). The movement on the deferred tax liability 
account is shown below: 
Deferred tax liabilities
Valuation of
capacity
£’000
Timing
differences on
underwriting
results
£’000
Total
£’000
At 1 January 2013 308 630 938
On acquisition of subsidiary undertakings 210 308 518
Prior period adjustment (40) (75) (115)
(Credit)/charge for the year (50) 365 315
At 31 December 2013 428 1,228 1,656
At 1 January 2014 428 1,228 1,656
On acquisition of subsidiary undertakings 250 182 432
Prior period adjustment — (94) (94)
(Credit)/charge for the year (86) 229 143
At 31 December 2014 592 1,545 2,137
Company
The Company had no deferred tax assets or liabilities (2013: £nil), as disclosed in Note 9.
14. Other receivables
Group
31 December
2014
£’000
31 December
2013
£’000
Arising out of direct insurance operations 3,755 2,603
Arising out of reinsurance operations 7,897 5,415
Other debtors 4,727 3,536
16,379 11,554
The Group has no analysis of other receivables held directly by the syndicates on the Group’s behalf (see Note 22). None of the Group’s other 
receivables are past their due date and are all classified as fully performing.
Included within other receivables are amounts totalling £581,000 (2013: £581,000) which are not expected to be wholly recovered within one year.
Company
31 December
2014
£’000
31 December
2013
£’000
Amounts owed by subsidiary undertakings 3,957 5,273
Other debtors 996 —
Prepayments 14 17
4,967 5,290
All other Group and Company receivables are due within one year.
15. Financial assets at fair value through profit or loss
The Group uses the following hierarchy for determining and disclosing the fair value of financial instruments by valuation technique:
Level 1: quoted (unadjusted) prices in active markets for identical assets or liabilities.
Level 2: other techniques for which all inputs which have a significant effect on the recorded fair value are observable, either directly or indirectly.
Level 3: techniques which use inputs that have a significant effect on the recorded fair value that are not based on observable market data. 
The Group has no level 3 investments. Annual report and financial statements 2014 | Helios Underwriting plc | 39 Financial statements F
Notes to the financial statements continued • Year ended 31 December 2014
15. Financial assets at fair value through profit or loss continued
As at 31 December 2014, the Group held the following financial assets carried at fair value on the statement of financial position:
Group
2014
£’000
Level 1
£’000
Level 2
£’000
Shares and other variable yield securities 788 788 —
Debt securities and other fixed income securities 17,464 17,464 —
Participation in investment pools 565 565 —
Loans guaranteed by mortgage 34 — 34
Holdings in collective investment schemes 2,498 — 2,498
Deposits with credit institutions 41 — 41
Funds held at Lloyd’s 925 925 —
Other 662 — 662
Total – market value 22,977 19,742 3,235
Group
2013
£’000
Level 1
£’000
Level 2
£’000
Shares and other variable yield securities 322 322 —
Debt securities and other fixed income securities 13,376 13,376 —
Participation in investment pools 907 907 —
Loans guaranteed by mortgage 64 — 64
Holdings in collective investment schemes 3,268 — 3,268
Deposits with credit institutions 19 — 19
Funds held at Lloyd’s 3,969 3,969 —
Other 288 — 288
Total – market value 22,213 18,574 3,639
Funds at Lloyd’s represents assets deposited with the Corporation of Lloyd’s (“Lloyd’s”) to support the Group’s underwriting activities as described 
in the accounting policies. The Group entered into a Lloyd’s Deposit Trust Deed which gives Lloyd’s the right to apply these monies in settlement 
of any claims arising from the participation on the syndicates. These monies can only be released from the provision of this Deed with Lloyd’s 
express permission and only in circumstances where the amounts are either replaced by an equivalent asset, or after the expiration of the Group’s 
liabilities in respect of its underwriting. 
In addition to funds held by Lloyd’s shown above, letters of credit totalling £610,000 (2013: £700,000) are also held as part of the Group’s 
funds at Lloyd’s.
The Directors consider any credit risk or liquidity risk not to be material.
Company
Financial investments
31 December 
2014
£’000
31 December
2013
£’000
Investment in subsidiary undertakings 4,854 4,076
Holdings in collective investment schemes 60 1,956
Total – market value 4,914 6,032
The Company owns 100% of the share capital of Hampden Corporate Member Limited, Nameco (No. 365) Limited, Nameco (No. 605) Limited, 
Nameco (No. 321) Limited, Nameco (No. 917) Limited, Nameco (No. 229) Limited, Nameco (No. 518) Limited, Nameco (No. 804) Limited, 
Halperin Underwriting Limited, Bernul Limited and Dumasco Limited, all of which trade as Lloyd’s of London corporate vehicles. The Company 
also owns 100% of the share capital of Helios UTG Partner Limited. All subsidiary companies are incorporated in England and Wales.
During the year the Company acquired Bernul Limited and Dumasco Limited, and Helios UTG Partner Limited became the 100% corporate 
partner of Nomina No 380 LLP and Nomina No 372 LLP . The total cash consideration of these acquisitions was £4,360,000 (see Note 19). 40 | Helios Underwriting plc | Annual report and financial statements 2014
Notes to the financial statements continued • Year ended 31 December 2014
16. Other payables
Group
31 December 
2014
£’000
31 December
2013
£’000
Arising out of direct insurance operations 512 358
Arising out of reinsurance operations 3,835 2,255
Corporation tax payable 36 41
Other creditors 1,830 1,462
6,213 4,116
The Group has no analysis of other payables held directly by the syndicates on the Group’s behalf (see Note 22).
Company
31 December 
2014
£’000
31 December
2013
£’000
Other creditors — 10
Accruals and deferred income 164 172
164 182
All other payables are due within one year. 
17. Share capital and share premium
Allotted, called up and fully paid
Ordinary share
capital
£’000
Share
premium
£’000
Total
£’000
8,526,948 ordinary shares of 10p each and share premium at 1 January 2014 853 6,996 7,849
8,526,948 ordinary shares of 10p each and share premium at 31 December 2014 853 6,996 7,849
18. Retained earnings
Group
2014
£’000
2013
£’000
At 1 January 1,977 1,246
Dividends paid (384) —
Profit attributable to equity shareholders 1,043 731
At 31 December 2,636 1,977
Company
2014
£’000
2013
£’000
At 1 January 3,313 2,714
Dividends paid (384) —
Profit attributable to equity shareholders 724 599
At 31 December 3,653 3,313 Annual report and financial statements 2014 | Helios Underwriting plc | 41 Financial statements F
Notes to the financial statements continued • Year ended 31 December 2014
19. Acquisition of Limited Liability Vehicles
Nomina No 380 LLP
On 16 January 2014 Helios UTG Partner Limited, a 100% subsidiary of the Company, became a 100% corporate partner in Nomina No 380 LLP 
for a total consideration of £557,000. Nomina No 380 LLP is incorporated in England and Wales and is a member of Lloyd’s.
The acquisition has been accounted for using the acquisition method of accounting. After the alignment of accounting policies and other 
adjustments to the valuation of assets and liabilities to reflect their fair value at acquisition, the fair value of the net assets was £625,000. 
Negative goodwill of £68,000 arose on acquisition and has been immediately recognised as goodwill on bargain purchase in the income 
statement. The following table explains the fair value adjustments made to the carrying values of the major categories of assets and 
liabilities at the date of acquisition: 
Carrying value
£’000
Adjustments
£’000
Fair value
£’000
Intangible assets 441 83 524
Reinsurance assets:
– reinsurers’ share of claims outstanding 292 — 292
– reinsurers’ share of unearned premium 65 — 65
Other receivables, including insurance receivables 740 — 740
Prepayments and accrued income 106 — 106
Financial investments 1,252 — 1,252
Cash and cash equivalents 82 — 82
Insurance liabilities:
– claims outstanding (1,530) — (1,530)
– unearned premium (502) — (502)
Deferred income tax liabilities — (56) (56)
Other payables, including insurance payables (298) — (298)
Accruals and deferred income (50) — (50)
Net assets acquired 598 27 625
Satisfied by:
Cash and cash equivalents 557 — 557
Negative goodwill (41) (27) (68)
The net earned premium and profit of Nomina No 380 LLP for the period since the acquisition date to 31 December 2014 is £820,000 
and £106,000 respectively.
Negative goodwill has arisen on the acquisition of Nomina No 380 LLP as a result of the cash consideration being at a discount to the fair 
value of net assets acquired. 42 | Helios Underwriting plc | Annual report and financial statements 2014
Notes to the financial statements continued • Year ended 31 December 2014
19. Acquisition of Limited Liability Vehicles continued
Bernul Limited
On 27 March 2014 Helios Underwriting plc acquired 100% of the issued share capital of Bernul Limited for a total consideration of £823,000. 
Bernul Limited is incorporated in England and Wales and is a corporate member of Lloyd’s.
The acquisition has been accounted for using the acquisition method of accounting. After the alignment of accounting policies and other 
adjustments to the valuation of assets and liabilities to reflect their fair value at acquisition, the fair value of the net assets was £829,000. 
Negative goodwill of £6,000 arose on acquisition and has been immediately recognised as goodwill on bargain purchase in the income 
statement. The following table explains the fair value adjustments made to the carrying values of the major categories of assets and liabilities 
at the date of acquisition:
Carrying value
£’000
Adjustments
£’000
Fair value
£’000
Intangible assets 2 322 324
Reinsurance assets:
– reinsurers’ share of claims outstanding 157 — 157
– reinsurers’ share of unearned premium 36 — 36
Other receivables, including insurance receivables 776 — 776
Prepayments and accrued income 81 — 81
Financial assets at fair value 1,071 — 1,071
Cash and cash equivalents 80 — 80
Insurance liabilities:
– claims outstanding (1,014) — (1,014)
– unearned premium (311) — (311)
Deferred income tax liabilities (53) (64) (117)
Other payables, including insurance payables (218) — (218)
Accruals and deferred income (36) — (36)
Net assets acquired 571 258 829
Satisfied by:
Cash and cash equivalents 823 — 823
Negative goodwill 252 (258) (6)
The net earned premium and profit of Bernul Limited for the period since the acquisition date to 31 December 2014 is £436,000 and 
£59,000 respectively.
Negative goodwill has arisen on the acquisition of Bernul Limited as a result of the cash consideration being at a discount to the fair value 
of net assets acquired. Annual report and financial statements 2014 | Helios Underwriting plc | 43 Financial statements F
Notes to the financial statements continued • Year ended 31 December 2014
19. Acquisition of Limited Liability Vehicles continued
Nomina No 372 LLP
On 2 May 2014 Helios UTG Partner Limited, a 100% subsidiary of the Company, became a 100% corporate partner in Nomina No 372 LLP 
for a total consideration of £480,000. Nomina No 372 LLP is incorporated in England and Wales and is a member of Lloyd’s.
The acquisition has been accounted for using the acquisition method of accounting. After the alignment of accounting policies and other 
adjustments to the valuation of assets and liabilities to reflect their fair value at acquisition, the fair value of the net assets was £513,000. 
Negative goodwill of £33,000 arose on acquisition and has been immediately recognised as goodwill on bargain purchase in the income 
statement. The following table explains the fair value adjustments made to the carrying values of the major categories of assets and liabilities 
at the date of acquisition: 
Carrying value
£’000
Adjustments
£’000
Fair value
£’000
Intangible assets 401 41 442
Reinsurance assets:
– reinsurers’ share of claims outstanding 233 — 233
– reinsurers’ share of unearned premium 46 — 46
Other receivables, including insurance receivables 519 — 519
Prepayments and accrued income 94 — 94
Financial assets at fair value 1,001 — 1,001
Cash and cash equivalents 84 — 84
Insurance liabilities:
– claims outstanding (1,213) — (1,213)
– unearned premium (393) — (393)
Deferred income tax liabilities — (42) (42)
Other payables, including insurance payables (212) — (212)
Accruals and deferred income (46) — (46)
Net assets acquired 514 (1) 513
Satisfied by:
Cash and cash equivalents 480 — 480
Negative goodwill (34) 1 (33)
The net earned premium and loss of Nomina No 372 LLP for the period since the acquisition date to 31 December 2014 is £444,000 and 
£3,000 respectively.
Negative goodwill has arisen on the acquisition of Nomina No 372 LLP as a result of the cash consideration being at a discount to the fair 
value of net assets acquired. 44 | Helios Underwriting plc | Annual report and financial statements 2014
Notes to the financial statements continued • Year ended 31 December 2014
19. Acquisition of Limited Liability Vehicles continued
Dumasco Limited
On 16 September 2014 Helios Underwriting plc acquired 100% of the issued share capital of Dumasco Limited for a total consideration 
of £2,500,000. Dumasco Limited is incorporated in England and Wales and is a corporate member of Lloyd’s.
The acquisition has been accounted for using the acquisition method of accounting. After the alignment of accounting policies and other 
adjustments to the valuation of assets and liabilities to reflect their fair value at acquisition, the fair value of the net assets was £3,178,000. 
Negative goodwill of £678,000 arose on acquisition and has been immediately recognised as goodwill on bargain purchase in the income 
statement. The following table explains the fair value adjustments made to the carrying values of the major categories of assets and liabilities 
at the date of acquisition. 
Carrying value
£’000
Adjustments
£’000
Fair value
£’000
Intangible assets — 442 442
Reinsurance assets:
– reinsurers’ share of claims outstanding 265 — 265
– reinsurers’ share of unearned premium 69 — 69
Other receivables, including insurance receivables 2,068 — 2,068
Prepayments and accrued income 131 — 131
Financial assets at fair value 1,129 — 1,129
Cash and cash equivalents 1,481 — 1,481
Insurance liabilities:
– claims outstanding (1,348) — (1,348)
– unearned premium (485) — (485)
Deferred income tax liabilities (95) (88) (183)
Other payables, including insurance payables (384) — (384)
Accruals and deferred income (7) — (7)
Net assets acquired 2,824 354 3,178
Satisfied by:
Cash and cash equivalents 2,500 — 2,500
Negative goodwill (324) (354) (678)
The net earned premium and profit of Dumasco Limited for the period since the acquisition date to 31 December 2014 is £270,000 and 
£55,000 respectively.
Negative goodwill has arisen on the acquisition of Dumasco Limited as a result of the cash consideration being at a discount to the fair value 
of net assets acquired.
Had the four Limited Liability Vehicles been consolidated from 1 January 2014, the consolidated income statement would show net earned 
premium of £14,427,000 and a profit after tax of £1,198,000.
Costs incurred in connection with the four acquisitions totalling £51,000 have been recognised in the consolidated income statement. Annual report and financial statements 2014 | Helios Underwriting plc | 45 Financial statements F
Notes to the financial statements continued • Year ended 31 December 2014
20. Related party transactions
Helios Underwriting plc has inter-company loans with its subsidiaries which are repayable on three months’ notice provided it does not jeopardise 
each company’s ability to meet its liabilities as they fall due. All inter-company loans are therefore classed as falling due within one year. The 
amounts outstanding as at 31 December are set out below:
Company
31 December
2014
£’000
31 December
2013
£’000
Balances due from/(to) Group companies at the year end:
Hampden Corporate Member Limited 562 1,257
Nameco (No. 365) Limited 58 136
Nameco (No. 605) Limited 199 362
Nameco (No. 321) Limited 5 134
Nameco (No. 917) Limited 217 573
Nameco (No. 229) Limited 62 110
Nameco (No. 518) Limited (5) 34
Nameco (No. 804) Limited 405 1,429
Halperin Underwriting Limited 15 —
Bernul Limited 195 —
Dumasco Limited 472 —
Nomina No 035 LLP — —
Nomina No 342 LLP — —
Nomina No 380 LLP — —
Nomina No 372 LLP — —
Helios UTG Partner Limited 1,772 1,238
Total 3,957 5,273
Helios Underwriting plc and its subsidiaries have entered into a management agreements with Nomina plc. Jeremy Evans, a Director 
of Helios Underwriting plc and its subsidiary companies, is also a director of Nomina plc. Under the agreement, Nomina plc provides 
management and administration, financial, tax and accounting services to the Group for an annual fee of £79,000 (2013: £42,750). 46 | Helios Underwriting plc | Annual report and financial statements 2014
Notes to the financial statements continued • Year ended 31 December 2014
20. Related party transactions continued
The Limited Liability Vehicles have entered into a members’ agent agreement with Hampden Agencies Limited. Jeremy Evans, a Director of 
Helios Underwriting plc and its subsidiary companies, is also a director of Hampden Capital plc, which controls Hampden Agencies Limited. 
Under the agreement the Limited Liability Vehicles will pay Hampden Agencies Limited a fee based on a fixed amount, which will vary depending 
upon the number of syndicates the Limited Liability Vehicles underwrites on a bespoke basis, and a variable amount depending on the level 
of underwriting through the members’ agent pooling arrangements. In addition, the Limited Liability Vehicles will pay profit commission on 
a sliding scale from 1% of the net profit up to a maximum of 10%. The total fees payable for 2014 are set out below:
Company
31 December
2014
£’000
31 December
2013
£’000
Hampden Corporate Member Limited 38 20
Nameco (No. 365) Limited 7 5
Nameco (No. 605) Limited 18 15
Nameco (No. 321) Limited 7 6
Nameco (No. 917) Limited 6 10
Nameco (No. 229) Limited 7 6
Nameco (No. 518) Limited 10 7
Nameco (No. 804) Limited 24 8
Halperin Underwriting Limited 9 7
Bernul Limited 6 —
Dumasco Limited 11 —
Nomina No 035 LLP 9 7
Nomina No 342 LLP 9 6
Nomina No 380 LLP 14 —
Nomina No 372 LLP 12 —
Helios UTG Partner Limited — — 
Total 187 97
The Group entered into a 50% quota share reinsurance contract for the 2013 year of account with Hampden Insurance PCC (Guernsey) Limited – 
Cell 6 for Hampden Corporate Member Limited, Nameco (No. 365) Limited, Nameco (No. 605) Limited, Nameco (No. 321) Limited, 
Nameco (No. 917) Limited, Nameco (No. 229) Limited and Nameco (No. 518) Limited. 
The Group also entered into three quota share reinsurance contracts totalling 70% for the 2014 year of account with Hampden Insurance PCC 
(Guernsey) Limited – Cell 6 for Hampden Corporate Member Limited, Nameco (No. 365) Limited, Nameco (No. 605) Limited, Nameco (No. 321) Limited, 
Nameco (No. 917) Limited, Nameco (No. 229) Limited Nameco (No. 518) Limited, Nameco (No. 804) Limited, Halperin Underwriting Limited, 
Bernul Limited, Nomina No 035 LLP , Nomina No 342 LLP , Nomina No 380 LLP and Nomina No 372 LLP .
Nigel Hanbury, a Director of Helios Underwriting plc and its subsidiary companies, is also a director and majority shareholder in Hampden 
Insurance PCC (Guernsey) Limited – Cell 6. Hampden Capital, a substantial shareholder in Helios Underwriting plc, is also a substantial 
shareholder in Hampden Insurance PCC (Guernsey) Limited – Cell 6. Under the agreement, the Group accrued a net reinsurance premium 
payable of £465,000 during the year.
All of the Group’s Limited Liability Vehicles have entered into three quota share reinsurance contracts totalling 70% with Hampden Insurance PCC 
(Guernsey) Limited – Cell 6 for the 2015 underwriting year of account.
During the year, the following Directors received dividends:
Director
Shareholding at 
date dividend 
declared 
6 June 2014
Dividend 
received 
4 July 2014
Sir Michael Oliver 19,000 855
Nigel Hanbury (either personally or has an interest in) 1,261,257 56,757
Andrew Christie 5,500 248
Jeremy Evans 51,002 2,295
Michael Cunningham 20,500 923
No dividends were paid in 2013. Annual report and financial statements 2014 | Helios Underwriting plc | 47 Financial statements F
Notes to the financial statements continued • Year ended 31 December 2014
21. Syndicate participations
The syndicates and members’ agent pooling arrangements (“MAPA”) in which the Company’s subsidiaries participate as Corporate Members 
of Lloyd’s are as follows:
Syndicate or 
MAPA number Managing or members’ agent
Allocated capacity per year of account
2012*
£
2013*
£
2014
£
2015
£
33 Hiscox Syndicates Limited 754,377 754,377 1,524,940 1,730,362
218 ERS Syndicate Management Limited 591,736 670,621 1,056,680 920,636
308 Tokio Marine Kiln Syndicates Limited 73,125 70,000 84,528 84,528
386 QBE Underwriting Limited 179,894 179,894 493,385 509,981
510 Tokio Marine Kiln Syndicates Limited 1,887,911 1,863,256 3,170,925 3,509,571
557 Tokio Marine Kiln Syndicates Limited 767,556 308,582 446,063 480,804
609 Atrium Underwriters Limited 1,098,065 1,047,455 1,947,561 2,193,704
623 Beazley Furlonge Limited 727,450 859,960 2,103,700 2,258,082
727 S A Meacock & Company Limited 375,222 375,222 457,055 484,478
779 ANV Syndicates Limited 20,000 20,000 — —
958 Canopius Managing Agents Limited 416,434 327,200 466,880 —
1176 Chaucer Syndicates Limited 214,874 261,818 327,712 361,812
1200 Argo Managing Agency Limited 240,542 63,551 64,252 —
1729 Asta Managing Agency Limited — — 35,685 —
2010 Cathedral Underwriting Limited 249,769 249,769 510,544 522,963
2014 Pembroke Managing Agency Limited — — 925,079 800,014
2121 Argenta Syndicate Management Limited 156,969 11,691 — —
2525 Asta Managing Agency Limited 17,206 — 96,690 114,698
2791 Managing Agency Partners Limited 1,986,595 2,042,570 2,933,917 2,839,424
5820 ANV Syndicates Limited — 107,754 60,000 —
6103 Managing Agency Partners Limited 375,251 448,058 424,738 171,061
6104 Hiscox Syndicates Limited 345,000 465,730 860,730 862,504
6105 Ark Syndicate Management Limited 116,569 64,724 350,592 369,332
6106 Amlin Underwriting Limited 308,251 271,170 — —
6107 Beazley Furlonge Limited 135,000 10,000 350,000 350,000
6110 Pembroke Managing Agency Limited 393,302 879,892 — —
6111 Catlin Underwriting Agencies Limited 428,894 589,808 1,066,267 1,147,983
6113 Barbican Managing Agency Limited — 30,000 20,000 —
6117 Asta Managing Agency Limited — — 963,112 640,516
7200 Members’ agent pooling arrangement 455,336 455,336 151,690 —
7201 Members’ agent pooling arrangement 2,318,986 2,318,986 762,203 —
7202 Members’ agent pooling arrangement 828,132 828,132 275,468 —
7203 Members’ agent pooling arrangement 108,304 108,304 47,680 —
7211 Members’ agent pooling arrangement 5,439,352 5,439,352 687,750 —
7217 Members’ agent pooling arrangement 95,913 95,913 95,913 107,901
Total 21,106,015 21,219,125 22,761,739 20,460,354
* Including the new acquisitions in 2014. 48 | Helios Underwriting plc | Annual report and financial statements 2014
Notes to the financial statements continued • Year ended 31 December 2014
22. Group-owned net assets
The Group statement of financial position includes the following assets and liabilities held by the syndicates on which the Group participates. 
These assets are subject to trust deeds for the benefit of the relevant syndicates’ insurance creditors. The table below shows the split of the 
statement of financial position between Group and syndicate assets and liabilities:
31 December 2014 31 December 2013
Group
£’000
Syndicate
£’000
Total
£’000
Group
£’000
Syndicate
£’000
Total
£’000
Assets
Intangible assets 3,770 — 3,770 2,929 — 2,929
Reinsurance assets:
– reinsurers’ share of claims outstanding — 4,682 4,682 — 4,154 4,154
– reinsurers’ share of unearned premium — 1,014 1,014 — 800 800
Other receivables, including insurance receivables 2,193 14,186 16,379 793 10,761 11,554
Prepayments and accrued income 14 2,053 2,067 36 1,533 1,569
Financial assets at fair value 1,493 21,484 22,977 5,932 16,281 22,213
Cash and cash equivalents 2,546 1,059 3,605 86 980 1,066
Total assets 10,016 44,478 54,494 9,776 34,509 44,285
Liabilities
Insurance liabilities:
– claims outstanding — 26,179 26,179 — 21,596 21,596
– unearned premium — 8,005 8,005 — 5,968 5,968
Deferred income tax liabilities 2,137 — 2,137 1,656 — 1,656
Other payables, including insurance payables 529 5,684 6,213 34 4,082 4,116
Accruals and deferred income 1,269 206 1,475 866 257 1,123
Total liabilities 3,935 40,074 44,009 2,556 31,903 34,459
Shareholders’ equity
Share capital 853 — 853 853 — 853
Share premium 6,996 — 6,996 6,996 — 6,996
Retained earnings (1,768) 4,404 2,636 (629) 2,606 1,977
Total shareholders’ equity 6,081 4,404 10,485 7,220 2,606 9,826
Total liabilities and shareholders’ equity 10,016 44,478 54,494 9,776 34,509 44,285
23. Ultimate controlling party
The Directors consider that the Group has no ultimate controlling party. Annual report and financial statements 2014 | Helios Underwriting plc | 49 Financial statements F
Notes to the financial statements continued • Year ended 31 December 2014
24. Events after the financial reporting period
In order to increase the Group’s underwriting capacity, the Company has, since the balance sheet date, acquired 100% of the voting rights 
(either directly or indirectly) of the following Limited Liability Vehicles:
Nameco (No. 311) Limited
On 8 January 2015 Helios Underwriting plc acquired 100% of the issued share capital of Nameco (No. 311) Limited for a total consideration 
of £926,000. Nameco (No. 311) Limited is incorporated in England and Wales and is a corporate member of Lloyd’s.
After the alignment of accounting policies and other adjustments to the valuation of assets and liabilities to reflect their fair value at acquisition, 
the provisional fair value of the net assets at the date of acquisition was estimated to be £1,012,000, giving rise to negative goodwill of £86,000 
on acquisition. The following table explains the provisional fair value adjustments made to the carrying values of the major categories of assets 
and liabilities at the date of acquisition:
Carrying value
£’000
Adjustments
£’000
Fair value
£’000
Intangible assets 5 327 332
Reinsurance assets:
– reinsurers’ share of claims outstanding 216 — 216
– reinsurers’ share of unearned premium 49 — 49
Other receivables, including insurance receivables 1,007 172 1,179
Prepayments and accrued income 111 — 111
Financial assets at fair value 899 — 899
Cash and cash equivalents 232 — 232
Insurance liabilities:
– claims outstanding (1,115) — (1,115)
– unearned premium (385) — (385)
Deferred income tax liabilities (36) (100) (136)
Other payables, including insurance payables (325) — (325)
Accruals and deferred income (45) — (45)
Net assets acquired 613 399 1,012
Satisfied by:
Cash and cash equivalents 926 — 926
Negative goodwill 313 (399) (86) 50 | Helios Underwriting plc | Annual report and financial statements 2014
Notes to the financial statements continued • Year ended 31 December 2014
24. Events after the financial reporting period continued
Nameco (No. 402) Limited
On 2 February 2015 Helios Underwriting plc acquired 100% of the issued share capital of Nameco (No. 402) Limited for a total consideration 
of £837,000. Nameco (No. 402) Limited is incorporated in England and Wales and is a corporate member of Lloyd’s.
After the alignment of accounting policies and other adjustments to the valuation of assets and liabilities to reflect their fair value at acquisition, 
the provisional fair value of the net assets at the date of acquisition was estimated to be £815,000, giving rise to goodwill of £22,000 on 
acquisition. The following table explains the provisional fair value adjustments made to the carrying values of the major categories of assets 
and liabilities at the date of acquisition:
Carrying value
£’000
Adjustments
£’000
Fair value
£’000
Intangible assets 1 346 347
Reinsurance assets:
– reinsurers’ share of claims outstanding 197 — 197
– reinsurers’ share of unearned premium 40 — 40
Other receivables, including insurance receivables 764 265 1,029
Prepayments and accrued income 96 — 96
Financial assets at fair value 894 — 894
Cash and cash equivalents 61 — 61
Insurance liabilities:
– claims outstanding (1,083) — (1,083)
– unearned premium (337) — (337)
Deferred income tax liabilities (40) (122) (162)
Other payables, including insurance payables (220) — (220)
Accruals and deferred income (47) — (47)
Net assets acquired 326 489 815
Satisfied by:
Cash and cash equivalents 837 — 837
Goodwill 511 (489) 22 Annual report and financial statements 2014 | Helios Underwriting plc | 51 Financial statements F
Notes to the financial statements continued • Year ended 31 December 2014
24. Events after the financial reporting period continued
Updown Underwriting Limited
On 13 March 2015 Helios Underwriting plc acquired 100% of the issued share capital of Updown Underwriting Limited for a total consideration 
of £1,202,000. Updown Underwriting Limited is incorporated in England and Wales and is a corporate member of Lloyd’s.
After the alignment of accounting policies and other adjustments to the valuation of assets and liabilities to reflect their fair value at acquisition, 
the provisional fair value of the net assets at the date of acquisition was estimated to be £1,282,000, giving rise to negative goodwill of £80,000 
on acquisition. The following table explains the provisional fair value adjustments made to the carrying values of the major categories of assets 
and liabilities at the date of acquisition:
Carrying value
£’000
Adjustments
£’000
Fair value
£’000
Intangible assets — 411 411
Reinsurance assets:
– reinsurers’ share of claims outstanding 208 — 208
– reinsurers’ share of unearned premium 41 — 41
Other receivables, including insurance receivables 1,300 — 1,300
Prepayments and accrued income 83 — 83
Financial assets at fair value 1,030 — 1,030
Cash and cash equivalents 148 — 148
Insurance liabilities:
– claims outstanding (1,198) — (1,198)
– unearned premium (330) — (330)
Deferred income tax liabilities (46) (82) (128)
Other payables, including insurance payables (235) — (235)
Accruals and deferred income (48) — (48)
Net assets acquired 953 329 1,282
Satisfied by:
Cash and cash equivalents 600 — 600
429.839 ordinary 10p shares issued 602 — 602
Negative goodwill 249 (329) (80)
Acquisitions for completion
As announced on 17 February 2015, the acquisition of Nameco (No. 507) Limited, for cash consideration of £900,000, is due for completion 
after the approval of these financial statements.
Future dividends
In respect of the year ended 31 December 2014 a final dividend of 1.5p per share together with a special dividend of 3.6p per share, amounting 
to a total dividend of £457,000, is to be proposed at the Annual General Meeting on 25 June 2015. These Financial Statements do not reflect 
this dividend payable.
Issued share capital
On the 13 March 2015 the Company issued 429,839 ordinary 10p shares as part of the acquisition settlement of Updown Underwriting Limited, 
taking the total shares in issue in the Company to 8,956,787.
  52 | Helios Underwriting plc | Annual report and financial statements 2014
Registered officers and advisers
Directors
Sir James Michael Yorrick Oliver (Non-executive Chairman) 
Nigel John Hanbury (Chief Executive) 
Jeremy Richard Holt Evans (Non-executive Director) 
Harold Michael Clunie Cunningham (Non-executive Director) 
Andrew Hildred Christie (Non-executive Director)
Company secretary
Martha Bruce 
Bruce Wallace Associates Limited 
120 Pall Mall 
London SW1Y 5EA
Company number
05892671
Registered office
85 Gracechurch Street 
London EC3V 0AA
Statutory auditors
PKF Littlejohn LLP
1 Westferry Circus 
Canary Wharf 
London E14 4HD
Solicitors
Jones Day
21 Tudor Street 
London EC4Y 0DJ
Bankers
Coutts & Co
440 Strand 
London WC2R 0QS
Nominated adviser
Smith & Williamson Corporate Finance Limited
25 Moorgate 
London EC2R 6AY
Lloyd’s members’ agent
Hampden Agencies Limited
85 Gracechurch Street 
London EC3V 0AA
Registrars
Neville Registrars Limited
Neville House 
18 Laurel Lane 
Halesowen 
B63 3DA
Broker
Westhouse Securities Limited
Heron Tower 
110 Bishopsgate 
London EC2N 4AY  
Helios Underwriting plc is committed to 
environmental issues which are reflected in 
this annual report which has been printed on 
Novatech Digital Silk, which is an FSC® Mix 
Certified paper, ensuring that all virgin pulp 
is derived from well-managed forests and 
other responsible sources. Helios Underwriting plc Annual report and financial statements 2014
Helios Underwriting plc
85 Gracechurch Street 
London 
EC3V 0AA