Allied World Europe and Gravity Underwriting Announce Strategic Agreement

  Allied World Europe and Gravity Underwriting Announce Strategic Agreement

Business Wire

ZUG, Switzerland -- August 13, 2013

Allied World Assurance Company Holdings, AG (NYSE: AWH) announced today that
Allied World Assurance Holdings (Ireland) Ltd has entered into an agreement
with Gravity Underwriting Limited (Gravity) whereby Allied World will invest
and own a 21.2% share of Gravity. Gravity is a London-based MGA that provides
a range of innovative property and casualty products for insurance brokers in
the U.K. SME market. Under the terms of the transaction, Gravity will help
facilitate business for Allied World Europe’s property book of business.

Julian James, President, Allied World Europe stated, “Gravity is a
well-respected MGA in the U.K. commercial market with a solid reputation for
their technical expertise. This investment represents our continued commitment
to the U.K. market and another step in our strategy to build out our European
business. I am confident that together, we will be able to provide our mutual
customers with the exceptional service and financial security they have come
to expect.”

Alan Thorne, Managing Director, Gravity commented, “We are delighted to have
Allied World as an investor in our organisation as well as lead insurer in our
commercial property business. Plans for future development alongside Allied
World include specialty casualty and professional lines products. Gravity is
commencing a new phase of growth in the U.K. retail insurance market and we
are proud to be working with Allied World Europe.”

For more information on Allied World Europe’s agreement with Gravity, please
contact Alan Thorne at +44 (0)20 7220 5330 or
AlanThorne@gravityunderwriting.com, or Andy Brooks, Vice President, Property
at +44 (0)20 7220 0619 or andy.brooks@awac.com.

About Allied World

Allied World Assurance Company Holdings, AG, through its subsidiaries and
brand known as Allied World, is a global provider of innovative property,
casualty and specialty insurance and reinsurance solutions. Allied World
offers superior client service through a global network of offices and
branches. All of Allied World's rated insurance and reinsurance subsidiaries
are rated A by A.M. Best Company, A by Standard & Poor's, and A2 by Moody's,
and our Lloyd's Syndicate 2232 is rated A+ by Standard & Poor's and Fitch.

Please visit the following for further information on Allied World: Web:
www.awac.com | Facebook: www.facebook.com/alliedworld | LinkedIn:
http://www.linkedin.com/company/Allied-World.

Cautionary Statement Regarding Forward-Looking Statements

Any forward-looking statements made in this press release reflect our current
views with respect to future events and financial performance and are made
pursuant to the safe harbor provisions of the Private Securities Litigation
Reform Act of 1995. Such statements involve risks and uncertainties, which may
cause actual results to differ materially from those set forth in these
statements. For example, our forward-looking statements could be affected by
pricing and policy term trends; increased competition; the impact of acts of
terrorism and acts of war; greater frequency or severity of unpredictable
catastrophic events; negative rating agency actions; the adequacy of our loss
reserves; the company or its subsidiaries becoming subject to significant
income taxes in the United States or elsewhere; changes in regulations or tax
laws; changes in the availability, cost or quality of reinsurance or
retrocessional coverage; adverse general economic conditions; and judicial,
legislative, political and other governmental developments, as well as
management's response to these factors, and other factors identified in our
filings with the U.S. Securities and Exchange Commission. You are cautioned
not to place undue reliance on these forward-looking statements, which speak
only as of the date on which they are made. We are under no obligation (and
expressly disclaim any such obligation) to update or revise any
forward-looking statement that may be made from time to time, whether as a
result of new information, future developments or otherwise.

Contact:

Allied World Assurance Company Holdings, AG
Media:
Noelle Campbell, +1-646-794-0544
noelle.campbell@awacservices.com
or
Faye Cook, +1-441-278-5406
faye.cook@awac.com
or
Investors:
Sarah Doran, +1-646-794-0590
sarah.doran@awac.com