Revenue hits £30.3m

Abbey Protection has recorded a 13% rise in pre-tax profit to £8.3m for the year to 31 December 2008.

The legal and professional insurance specialist also reported an 11% increase in revenue to £30.3m.

Earnings before interest, taxes, depreciation and amortisation rose 13% to £8.7m. The company’s claims ratio improved to 63.9%, from 69.7% in 2007.

“The highlight figures speak for themselves with growth up 13%, and revenue up to £30m,” said Chris Ward, managing director of Abbey Protection.

“We have always said that we operate in a non-cyclical part of the insurance market and we are delighted that the claims ratio just under 64% demonstrates that.”

Abbey Protection, which is listed on the Alternative Investment Market, announced a final dividend of 2p per share, achieving a total dividend for the year of 3.5p per share. “We listed in November 2007 with intentions of a dividend of 3.5p and, bearing in mind the volatile markets, we have been able to make good on that promise,” said Ward.

Abbey Protection acquired accountancy, tax and employment law consultancy Accountax in October 2008.

“It [Accountax] will help to make a reasonable contribution to the group in 2009,” added Ward.

Tony Shearer, chairman of Abbey Protection, admitted the business was not immune to economic pressures, but said: “We believe our business is well placed, with demand for our services increasing as small and medium-sized businesses appreciate the benefits of insuring their risks in areas such as tax investigations and legal disputes.”