AML: Amlin Plc: Notice of AGM

  AML: Amlin Plc: Notice of AGM

UK Regulatory Announcement


                             AMLIN plc (“Amlin”)


The following documents have today been made available to shareholders:

1. 2012 Annual Report

2. Notice of 2013 Annual General Meeting

3. Form of Proxy for 2013 Annual General Meeting

Copies of the Annual Report and Notice of AGM may be viewed at the “Download
Centre” of the Company’s website at

In accordance with Listing Rule 9.6.1, copies have been uploaded to the
National Storage Mechanism and will shortly be available for inspection at


The information below, which is extracted from the 2012 Annual Report, is
included solely for the purpose of complying with DTR 6.3.5. It should be read
in conjunction with the Company’s Preliminary Announcement issued on 4 March
2013 (available at Together these constitute the material
required by DTR 6.3.5 to be communicated to the media in unedited full text
via a Regulatory Information Service. This material is not a substitute for
reading the full 2012 Annual Report.

The information contained in this announcement and in the Preliminary
Announcement does not constitute the Group’s statutory accounts, but is
derived from those accounts.

Principal Risks and Uncertainties

Principal risks         Nature of risk           Key controls and
                                                   mitigation strategies
                                                   • Mitigation strategies
                                                   for each underlying risk
                                                   exposure as outlined below

                                                   • Additionally, the risk
                                                   management framework
                                                   developed ensures that
                                                   potential risk exposures

                                                   are considered
                                                   individually and in
                         Risks associated with
                         one or more of a          • Corporate Centre Risk
                         portfolio of principal    maintain a risk profile
                         risks occurring and       within the Group’s ORSA
Enterprise-level Risk    providing an aggregated   providing an
                         impact on the             enterprise-wide view of
                         organisation as a         risk exposures for the
                         whole.                    Group Executive and the

                                                   • Stress testing of a
                                                   combination of material
                                                   risks to determine impact
                                                   on capital

                                                   • Reverse stress testing
                                                   of the ultimate impact of
                                                   combinations of material
                                                   risks on business model

                                                   viability and reputation
                                                   • Underlying strategy and
                                                   diversity of exposure

                         The risk of claims        • Aggregate exposure
                         arising from inherent     limits
                         uncertainties in the
Underwriting –           occurrence of insurance   • Probable maximum loss
Catastrophe Risk         losses associated with    limits
                         natural or man-made
                         catastrophic events.      • Modelling of loss
                                                   scenarios including
                                                   stochastic DFA Modelling

                                                   • Reinsurance programme
                                                   • Underwriting authority
                                                   limits per contract and
                                                   peer review

                                                   • Business planning
                         The risks of unexpected   processes
Underwriting –           or unbudgeted increase
Attritional Risk         in cost of small or       • Technical pricing
                         large insurance claims.   assessment and
                                                   underwriting strategy

                                                   • Reinsurance programme

                                                   • Monitoring and
                                                   performance review
                                                   • Amlin Europe, Amlin Re
                                                   Europe: Local actuarial
                                                   and underwriting jointly
                                                   produce reserves,
                                                   supplemented by
                                                   independent review by
                                                   Group Actuarial and
                                                   Corporate Centre Risk

                         The risk of unexpected    • Amlin Underwriting
                         or unbudgeted increase    Limited, Amlin Bermuda:
Underwriting -           in claims emanating       Underwriting and claims
Reserving Risk           from business written     teams produce reserves,
                         where profit has been     benchmarked by independent
                         declared.                 actuarial best estimates
                                                   produced by Group
                                                   Actuarial. Additional
                                                   review and challenge from
                                                   Corporate Centre Risk

                                                   • Entity level reserves
                                                   set in excess of actuarial
                                                   best estimate

                                                   • Reinsurance programme
                                                   • Investment policy and
                                                   strategic asset allocation

Market Risk              The risk arising from     • Tactical asset
– Investment Market      fluctuations in values    allocation
Volatility               of investments.
                                                   • Diversified portfolio

                                                   • Modelling and monitoring
                                                   of investment risk
                                                   • Asset/liability matching
                         Impact on the value of    for major currencies
                         balance sheet or
Market Risk              earnings arising from     • Hedging of Amlin Bermuda
– Currency Fluctuation   the movement in value     US dollar and Amlin Europe
                         of sterling against key   euro net asset exposures
                         currencies.               • Sale of foreign currency
                                                   • Reinsurance selection
                                                   and rating
                         The risk of loss if a
                         counterparty fails to     • Controls over exposure
Credit Risk              perform its obligations   placed with reinsurer
–Reinsurance             or fails to perform
Counterparty             them in a timely          • Reinsurance debt credit
                         fashion.                  control

                                                   • Collateralised
                         The risk of loss if an    • Credit control
Credit Risk              insurance or treasury     procedures
–Intermediary            intermediary fails to
Counterparty             meet credit obligations   • Broker debt credit
                         in a timely fashion.      control
                                                   • Stress testing of
                         The risk arising from     liquidity needs arising
Liquidity Risk-          insufficient financial    from major catastrophe
(including               resources being           events
Asset/Liability          available to meet
matching)                liabilities as they       • Maintaining sufficient
                         fall due.                 liquidity in investment
                                                   portfolio to address
                                                   claims needs
                                                   • Procedural controls
                                                   including workflow
                                                   management implemented
                                                   through management

                         Risks resulting from      • Monitoring of compliance
                         inadequate or failed      with established
                         internal processes,       procedures and processes
                         people and systems, or
Operational Risk         from external             • Employee manual and
                                                   Human Resource policies
                         events, including
                         regulatory control        • Risk event and near miss
                         failures.                 reporting process

                                                   • Internal Model
                                                   validation and data
                                                   quality controls

                                                   • Business Continuity
                                                   Management planning
                                                   • Long-term strategies
                                                   developed addressing
                                                   diversification of
                         Risks associated with     underwriting platform
                         the appropriateness of
                         business strategy in      • Acquisition due
Strategic risk           the face of the           diligence and risk
                         external                  assessment processes

                         environment.              • Risk event and near miss
                                                   reporting process

                                                   • Emerging risk reporting

Directors’ Responsibility Statement pursuant to DTR 4

Pursuant to the Disclosure and Transparency Rules of the Financial Services
Authority each of the directors, whose names and functions are listed in the
section of the Annual Report entitled ‘Board of Directors’ confirm that, to
the best of each person’s knowledge and belief:

The financial statements, prepared in accordance with IFRSs as adopted by the
EU, give a true and fair view of the assets, liabilities, financial position
and loss of the Group and Company; and

The directors’ report contained in the annual report includes a fair review of
the development and performance of the business and the position of the
Company and Group, together with a description of the principal risks and
uncertainties that they face.

5 April 2013


Mark Stevens  020 7746 1000
Group Company Secretary
Amlin plc


Amlin Plc
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