Argo Group, the Bermudian-based insurer and reinsurer, has warned that its first quarter profits will be adversely impacted by about $16.5 million.

The four non-recurring charges include $5 million in late claims reported from Hurricane Matthew, and $4 million in relation to the transfer of some infrastructure and information technology functions to third party service providers.

The others are $2.5 million relating to the recent acquisition of Ariel Re and an estimated $5 million to incorporate the recent change in the UK Ogden discount rate.

Argo will announce earnings for the first quarter on May 3.