Slide 1: SiriusPoint Ltd. – A Global Underwriter: 2022 Full Year and Fourth Quarter Results
SIRIUSPOINT LTD. – A GLOBAL UNDERWRITER 2022 Full Year and Fourth Quarter Results February 23, 2023
Slide 2: Disclaimer
Disclaimer Basis of Presentation and Non-GAAP Financial Measures: Unless the context otherwise indicates or requires, as used in this presentation references to “we,” “our,” “us,” the “Company,” and "SiriusPoint" refer to SiriusPoint Ltd. and its directly and indirectly owned subsidiaries, as a comb
Slide 3: Agenda
Agenda 1 Key Messages 2 SiriusPoint Today 3 Vision for the Future 4 Full Year and Quarterly Results Update 3
Slide 4: 1. Key Messages
1. Key Messages 4
Slide 5: The Vision for SiriusPoint: Substantial Progress Underway
The Vision for SiriusPoint: Substantial Progress Underway • Transition from a non-integrated model post the merger1 to fully amalgamated “One SiriusPoint” franchise Fully integrated model with • Underwriting profit as a driver of value creation uncompromised emphasis on • Portfolio actions already y
Slide 6: 2. SiriusPoint Today
2. SiriusPoint Today 6
Slide 7: SiriusPoint Today
SiriusPoint Today Exchange / GPW by Segment1 2022 GPW by Specialism1,6 NYSE: SPNT Ticker $ numbers in USD millions % Change +21% Property Market $3,406 $1.1bn 18% Cap2: $2,819 $2,248 Q4’22 $1,031 $1,884 +83% Casualty 37% Tangible $1.7bn $898 GPW: Equity3: Specialty $3.4bn $1,788 $1,521 20% $1,350 -1
Slide 8: Diversified Business Model with Sources of Uncorrelated Earnings
Diversified Business Model with 3 Sources of Uncorrelated Earnings $ numbers in USD millions Underwriting1 Strategic Investments2 Investments Consolidated Others Property 18% Investments with Casualty Arcadian 37% underwriting capacity: 21 2022 Net Investment Income: Specialty 20% $113 IMG 2022 Tota
Slide 9: 3. Vision for the Future
3. Vision for the Future 9
Slide 10: Strategic Re-positioning: Based on "Three Priorities"
Strategic Re-positioning: Based on "Three Priorities" to Become a Higher Performing Underwriter 1 • Fully integrated “One SiriusPoint” Simplification • Committed to building a culture driven by strong underwriting • Optimizing operating model and efficiencies – aiming to reduce costs by >$50m by 202
Slide 11: Strategic Actions Significantly Advanced: Simplification of the Business Model
Strategic Actions Significantly Advanced… Priority I: Simplification of the Business Model Merger1 not fully integrated, leading to an Culture sub-optimal for delivery Shifting away from a “VC model” and inefficient operating model enhancing MGA portfolio Challenges Faced • Reduced complexity and al
Slide 12: Strategic Actions Significantly Advanced: Reduction in Volatility
Strategic Actions Significantly Advanced… Priority II: Reduction in Volatility Concentrated Property Cat exposure1 Volatile underwriting results Relatively large hedge fund exposure and Challenges volatile investment result Faced $ numbers in USD millions Property as a % of $ numbers in USD millions
Slide 13: Strategic Actions Significantly Advanced: Improving Profitability and Targeting Double-Digit Return
Strategic Actions Significantly Advanced… Priority III: Improving Profitability and Targeting Double-Digit Return Improving underwriting trends Guidance & targets AY Loss Ratio1 118% AY COR 111.3% 102.1% Double-digit RoE2 by 2024 82% 77% 62% 64% 66% 65% 69% Meaningful improvement in profitability ex
Slide 14: 4. Full Year and Quarterly Results Update
4. Full Year and Quarterly Results Update 14
Slide 15: FY 2022 Financial Results
FY 2022 Financial Results $ numbers in USD millions 20211 2022 Key comments GPW2 $2,248 $3,406 • 2022 Group GPW (Core) of $3,406m, representing 21% YoY growth on a management basis NPW2 $1,778 $2,546 • Growth driven by Insurance & Services division • Underwriting results improvement of $129m UW Inco
Slide 16: Q4 2022 Financial Results
Q4 2022 Financial Results $ numbers in USD millions Q4’21 Q4’22 Key comments GPW1 $689 $742 • Group GPW (Core) increased 8% • Driven by Insurance & Services (+172m) NPW1 $535 $577 • Partially offset by Reinsurance (-$118m) • Underwriting deteriorated by $4m • AY COR benefited from lower Cat loss, bu
Slide 17: Trends in Gross Premium Written
Trends in Gross Premium Written $ numbers in USD millions • [] Core • [] Reinsurance • [] Insurance & Services $3,406 $2,819 $2,248 $1,788 $1,884 $1,521 $1,350 $898 $1,031 2021 2021 2022 2021 2021 2022 2021 2021 2022 Management Management Management Basis1 Basis 1 Basis 1 Key comments •• Total Corep
Slide 18: Underwriting Performance: Aim to Further Improve in 2023
Underwriting Performance: Aim to Further Improve in 2023 $ numbers in USD millions Total COR Walk1 Key comments 109.5% • Portfolio actions already yielding results as COR 101.6% improved to 101.6% while AY COR improved by ~9 (7 ppts) (<1 ppt) (<1 ppt) ppts during 2022 Cat ratio 13 ppts • Cat losses
Slide 19: Investment Income: Beneficiary of Rate Increases
Investment Income: Beneficiary of Rate Increases $ numbers in USD millions Net Investment Income Key comments $220-$240 • Investment strategy refined and shifted towards fixed income strategies and away from hedge fund strategies $113 • Designation of the new FI investments as available for sale (“A
Slide 20: De-risked Investment Portfolio: In-line with Industry
De-risked Investment Portfolio: In-line with Industry Investment Balances by Asset Class Key comments 1 2% TPE • Total investment portfolio stable at $6.6bn 8% 6% 8% Gov’t 12% 30% 30% • Rebalanced investment portfolio mix is more in line with ABS/MBS/CLO 9% Short-term the industry with overall asset
Slide 21: Healthy Balance Sheet
Healthy Balance Sheet BSCR1 FSR2: 200% 194% A- (Stable) $3,119 $2,866 $1,558 $1,480 A- (Negative) 2021 Q3'22 A- Required Capital Available Capital (Negative) SiriusPoint Group Eligible Capital3 Key comments • Healthy balance sheet as we operate the business 12% 10% against ’AA’ rating requirement un
Slide 22: Appendix
sirius POINT 22
Slide 23: Executive Leadership Team
Executive Leadership Team Joined: Joined: Joined: Sep 2022 Oct 2022 Nov 2022 Joined: Dec 2022 Joined: Nov 2022 As of February 2023.
Slide 24: SiriusPoint Historical Timeline
SiriusPoint Historical Timeline 1/1/12: Commenced underwriting business with A- rating from AM Best and SiriusPoint Ltd. $784m of equity capital 8/14/13: Priced IPO at 8/7/19: Dan Malloy 10/6/11: Third $12.50; begins trading as affirmed as CEO and Point Re formed “TPRE” on the NYSE appointed to Boar
Slide 25: Thank You
sirius POINT 25