Proposal to establish Syndicate 1318 - UPDATE
On 19 September Beaufort Underwriting Agency Ltd announced that it would be consulting with unaligned members supporting Syndicate 318 on the proposal to establish 1318 for the 2009 year of account, in accordance with the Agency Circumstances procedure. Under this process, members who participate on syndicate 318 for the 2009 year of account were entitled to raise any objections to the proposal within 21 days. A circular, setting out the Board’s rationale for the proposal, anticipated benefits to be derived by syndicate 318 members and proposals for managing any conflicts of interest, was issued to all members affected by the proposal via their members’ agents.
At the close of this consultation period, objections from members comprising 7.5% of the unaligned capacity were received. Subsequently, Beaufort has entered into correspondence with members who expressed objections to its proposals via their members’ agents.
In view of the consultation process concluding after the end of the third auction, the Auction Official has consented to capacity on syndicate 318 being traded generally in the fourth auction. Beaufort Dedicated No 2 Ltd will be subscribing for up to £2.5m of capacity at the same subscriber’s premium as it submitted in the first three auctions in 2008, ie at 27.5p per £ of capacity.
The application for approval of the new syndicate is due to be considered by the Franchise Board at its November meeting.
Date issued: 11 November 2008
Contact Information
Agency contact name: A S Dawe
Agency contact no: + 44 (0)207 220 8200
For auction office use only: D2008028
