Annual Report and Accounts 2007

We derive real advantage from being a pure general insurer. Our focus on doing one thing and doing it well is evident in our attention to detail, rigorous control and our actions.

We have strong positions in attractive markets and a balanced portfolio of businesses. The shape of the portfolio is deliberate:

• Our geographic spread gives us exposure to markets at different points in the insurance cycle and different stages of development
• It allows us to shift capacity to where we see the best opportunities
• In each of our markets there are opportunities for targeted profitable growth.

Our technical skills are market leading; in both underwriting and claims they are a source of real competitive advantage.

In 2007, we added to these skills with new executive appointments in Underwriting and Claims, Strategy, Marketing and Customer and Operations and IT. These appointments support our focus on driving profitable growth and operational excellence.

We are building for the future through our Technical Academy, Executive Development Programme, Leadership Development Programme and FastTrack, our programme for high potential early career candidates. More recently, we launched the Operational Development Programme to develop expertise and strong careers in operations, with the aim of creating processes and systems that will become another source of competitive advantage.

Our track record of successful execution is underpinned by our focus on personal accountability and performance management.

Key to delivery is having the right culture and right people. We are focused on developing talent through creating an environment where responsibilities and accountabilities are clearly defined, people are challenged and performance rewarded. We have embedded a strong performance culture across the Group.