Business Context and Reporting Period
This Form 6-K filing by Aspen Insurance Holdings Limited (Aspen) is dated July 12, 2024. The report discloses a change in the company's independent registered public accounting firm. Effective June 10, 2024, Aspen appointed Ernst & Young Ltd. (EY Bermuda) as its auditor for the fiscal year ending December 31, 2024. The incumbent firm, Ernst & Young LLP (EY London), resigned effective June 21, 2024.
Key Financial Metrics
The filing text does not provide specific values for revenue, profit, cash flow, margins, debt, or liquidity. This report focuses exclusively on corporate governance and auditor transition details rather than financial performance data.
Material Changes
- Auditor Transition: Replacement of EY London with EY Bermuda following regulatory approvals and internal governance procedures.
- Reason for Change: Attributed to strategic and operational considerations; explicitly stated as not resulting from any accounting or other dispute.
- Historical Disagreements: No disagreements regarding accounting principles, practices, or auditing scope occurred between Aspen and EY London during the two fiscal years ended December 31, 2022 and 2023, or the interim period through June 21, 2024.
Outlook, Risks, and Contingencies
Internal Control Weaknesses: The filing notes the existence of "reportable events" related to material weaknesses in Aspen's internal control over financial reporting (ICFR) as of December 31, 2022, and December 31, 2023. These weaknesses concerned process-level procedures and controls around reinsurance premiums payable and reinsurance receivables. These were previously disclosed in Aspen's Annual Reports on Form 20-F.
Remediation: The Audit Committee and Board of Directors discussed these material weaknesses and associated remediation plans with EY London. Aspen has authorized EY London to respond fully to inquiries from EY Bermuda regarding these matters.
Audit Opinions: The audit reports for the years ended December 31, 2022, and 2023 did not contain adverse opinions, disclaimers, or qualifications regarding uncertainty, audit scope, or accounting principles.
Investor Verification Checklist
- Verify the status of remediation plans for the material weaknesses in ICFR related to reinsurance premiums and receivables.
- Confirm that the transition to EY Bermuda proceeds without disruption to the 2024 fiscal year audit timeline.
- Review the letter from EY London (Exhibit 99.1) to ensure they agree with the disclosures regarding the lack of disputes.
- Monitor future filings for any new "reportable events" or disagreements between Aspen and the new auditor, EY Bermuda.