"This is the third survey of the UK non-life run-off market that the Association of Run-Off Companies Ltd (ARC) has commissioned. Prepared by KPMG LLP (UK), the survey sheds valuable light on an often overlooked industry sector and highlights how sizeable and important it has become."

Philip Grant, ARC Director, September 2005

There are approximately 530 firms currently authorised to carry on general insurance business in the UK, including composite insurers who write both life and non-life insurance. Of this number, there are approximately 470 companies for which publicly held information is available.

As in previous surveys, UK non-life business of companies from other EU countries has not been included in the survey.

Executive Summary :

• The total liabilities of the UK non-life run-off market, including business written at Lloyd’s, are estimated at £38.4 billion, a reduction of £2.7 billion since 2003;
• The liabilities of the non-life run-off market in the UK represent approximately 23 percent of the non-life market as a whole, compared to 25 percent in 2003;
• The net assets or shareholders' funds of UK non-life companies in run-off total some £4.0 billion, an increase of approximately £0.2 billion on 2003;
• Over 2,300 people (over 2,700 including Equitas) are employed in dedicated run-off vehicles alone;
• From the first use of solvent schemes until the end of 2004, the total liabilities of UK companies whose entire non-life insurance business were eliminated through a solvent scheme of arrangement were approximately £100 million;
• Since 1990 the UK insurance compensation scheme has paid over £820 million in compensation to policyholders of failed UK insurers.
  

You can access the survey by clicking here