Vhi Berkshire Hathaway agreement
Vhi have announced that the Central Bank of Ireland has authorised Vhi Insurance DAC as a Non-Life Insurance Company and Vhi Healthcare Ltd as an Insurance Intermediary. The newly authorised entities will commence to trade from 31 July 2015. The total capital reserves upon commencement to trade of Vhi Insurance DAC will exceed €540million. To prepare for authorisation, the Vhi Group raised €90m of subordinated debt through a funding agreement with Berkshire Hathaway. The agreement with Berkshire Hathaway builds on an existing partnership dating from 2013.
Vhi also detailed its annual results for the year ending 31st December 2014. The company generated a net surplus of €49.8 million for its consolidated business from a total gross earned premium of €1.462bn. Vhi Healthcare’s claims ratio came to 89% versus 87% in 2013.