Specialist legal expenses insurer DAS UK Group – which is part of the international network of DAS companies under the ERGO Insurance Group umbrella – has released its financial results for the year ended December 31, 2019.
In the 2019 financial year, DAS UK bounced back from 2018’s statutory loss of £10 million to report a £1.6 million statutory profit this time around. The company’s post-tax profit, gross of ERGO quota share, amounted to £11.3 million – an increase from £2.3 million previously.
It was also highlighted that the full year saw continued and strong improvement in DAS UK’s performance, although major losses in the run-off civil after-the-event (ATE) portfolio “masked” what the firm said was the full extent of the underlying improvement.
According to DAS UK chief executive Andrew Burke, given the current market dynamics, ATE is likely to be more challenging. As for before-the-event, he said they expect 2020 to be a strong period as sustained growth in the area remains to be a primary focus for the group.
The CEO went on to state: “In terms of bottom line it is still too early to accurately predict the impact of COVID-19 and subsequent economic challenges, but it is clear they will be material in 2020 and most probably 2021. Beyond that, I remain very optimistic, in part because the current challenges highlight that protection afforded by legal expense insurance is more relevant than ever.
“We are also part of a strong group and continue to enjoy the security of a healthy and stable financial position. That combination gives me confidence in our ability to face into whatever challenges come our way. The medium- to long-term future looks very bright.”
Aside from its legal expenses insurance business, DAS UK is also the name behind law firm DAS Law.