Matt Rafferty, General Manager of QBE European Operations, addressed Dublin Chamber members on "Emerging Trends in the Insurance Market". Matt discussed how external influences and events can impact upon local markets and businesses. Matt Rafferty joined QBE in January 2009 to focus on the expansion and growth of the specialist business insurer. QBE Ireland has been offering insurance via the broker market in the Casualty, Motor Fleet, Commercial Property, Liability and Professional Financial Lines sectors in Ireland since 1988. QBE employs almost 100 people in its offices located on Sir John Rogerson’s Quay, Dublin.

1. Matt Rafferty – General Manager, IrelandQBE European Operations Presentation to Dublin Chamber of Commerce – 27th September 2011

2. Emerging Trends in the Insurance Market Presentation to Dublin Chamber of Commerce – 27th September 2011

4. It is now interweaved into the very fabric of our society.

5. It is now interweaved into the fabric of our economy.

6. Resilience to global catastrophes.

7. How is it reacting to global trends?

9. Property Business Interruption Theft, Glass, Money Credit Third Party liability insurances. Soon moved on to broader range of business cover Page 4 2011-09-27 Presentation to Dublin Chamber of Commerce

10. A broad range of Personal Insurances Motor Home Travel Personal Accident Health Even our beloved pets.... Page 5 2011-09-27 Presentation to Dublin Chamber of Commerce Personal Insurances followed....

11. Space Pharma/Chemicals Rich & Famous Reinsurance And even more clever ones... Specialist markets emerge... Page 6 2011-09-27 Presentation to Dublin Chamber of Commerce

12. Clever....but maybe too clever? Page 7 2011-09-27 Presentation to Dublin Chamber of Commerce Complex/diverse financial instruments Finite Risk CDS’s

13. Insurance – what is it today? Page 8 2011-09-27 Presentation to Dublin Chamber of Commerce No longer just a piece of paper Decision for the buyer is more complex Trend to providing services, many of which give something back to the customer

15. Risk Management/Loss Control

16. Legal Advice

17. Repatriation

18. Counselling and Rehabilitation

20. Health & Safety in the workplace

21. Road Safety

22. Employer/Employee relationships

24. Allows business to do business.

25. Protects and promotes entrepreneurship.

26. Invests in business.

27. Provides and protects employment.

29. Holds capital values of assets in excess of €78bn (up on 2008).

30. Employs nearly 15,000 people.

33. ‘Broken Windows’ scenario – upgrade/more productive industries.

34. Finance is redistributed from Insurance Companies to construction workers and to homeowners.

36. March – Europe Wind/Flood - $4bn insured loss.

37. September – NZ Earthquake - $4bn to $6bn insured loss.

39. February – NZ Earthquake - $6bn to $10bn Insured loss.

40. March – Japan Earthquake - $25bn to $40bn insured loss.15 month period – 4 of the top 5 most costly earthquakes in the history of the insurance industry.

42. Financial strength remains generally unimpaired

43. Likely to affect M&A activity

44. Some mono-line and smaller players may be under greatest pressure

46. Insurance Density – Global Comparisons Page 18 2011-09-27 Presentation to Dublin Chamber of Commerce Insurance Data Source : Irish Insurance Federation

47. Domestic Trends – the raw data Page 19 2011-09-27 Presentation to Dublin Chamber of Commerce Insurance Data Source : Irish Insurance Federation

48. Domestic Trends – A perfect storm? Page 20 2011-09-27 Presentation to Dublin Chamber of Commerce Insurance Data Source : Irish Insurance Federation

49. Global: Depletion in reserves caused by recent catastrophic events both natural and financial Challenging investment portfolios ‘Property capacity is likely to be diminished and rates will harden’ Domestic: Frequency up and spending down – the perfect storm? Difficult economic and investment conditions ‘We need to look at the patterns and get back to our knitting’ The trend and outlook in summary Page 21 2011-09-27 Presentation to Dublin Chamber of Commerce

50. Thank you Presentation to Dublin Chamber of Commerce – 27thSeptember 2011