DAS, the legal expenses insurance provider, has revealed that it made a £5.7 million after tax loss in 2015.
After making a £500,000 profit in 2014, the insurer has said that a reduction in ATE business has hit its profits.
In its financial results for 2015, DAS said that gross written premium for 2015 was £110.6 million – in 2014 it was £143.4 million. In its report it said: “ATE premium was impacted by a reappraisal of the basis of estimating revenue for clinical negligence products, premium adjustments from a review of old policies and other adjustments (a total one-off reduction of £16 million)”.
DAS said that it was continuing to press ahead with new product development by launching a new Defaqto 5-Star rated home legal expenses offering, Family Classic Plus. It joins the company’s motor legal expenses and home emergency Defaqto 5 Star rated products, which were launched in 2015.
Andrew Burke, DAS CEO, said that 2015 was a year of transition, in which the company undertook a review of its operation and invested in new platforms, while refreshing its senior leadership team.
“This is part of our long term strategy to ensure that we have the capability and structure to embrace innovation and continue to enhance our position as a valuable strategic partner,” said Burke.
“While the underlying business remains strong, 2016 has seen further investment in customer propositions, improved systems, controls and expertise which will impact the company’s financial performance in the short-term. Looking further ahead, the strength of our capital position, structure and people means that I am extremely positive about the future of the business.”
Legal action against former CEO Paul Asplin, is continuing after he was charged with two counts of conspiracy to commit fraud against his former employer.
The creation of a new leadership team sees James Christacos as MD of DAS Law, Thomas Jannakos as CFO, Matt Frost as group director of underwriting, claims & re-insurance and Paul Eccleson as chief risk & compliance officer. James Henderson has been made MD of insurance, Tony Coram group director of customer operations and IT and Kate Banks is now group director of HR & Legal Services.