The Shipowners’ Club, the International Group Club that focuses on the smaller and specialist vessel sector, has reported a 97.4% combined ratio for the year ended December 31st 2022.
Earned premiums net of reinsurance grew to $236.4m, from $223.2m in 2021. Incurred claims net of reinsurance rose to $167.3m, from $161.2m in 2021. The underwriting result grew to $6.2m, from $2.9m. As a mutual, Shipowners’ Club targets a long-term combined ratio average of around 100%.
The Club said that, although the 2022 financial year saw headwinds in all aspects of the investment universe, the Shipowners’ Club recorded closing net assets of US$ 337.4m, down from $396.4m on December 31st 2021.
Incoming chairman Don MacLeod, who has succeeded Phil Orme, said that “we achieved a solid combined ratio of 97.4%, premium written reached a record level of US$ 270.8m, claims costs were stable, the number of Members and tonnage entered increased and the Club once again received a reaffirmation of its Standard & Poor’s rating of ‘A stable’, reflecting our strong operating results, financial position and risk management.”
Outgoing CEO Simon Swallow, who is to be succeeded by Simon Peacock next month, said that “as we look back on the year, we are proud with the levels of Member retention at the Club. Members and their brokers generally stay with the Shipowners’ Club and we strive to retain that trust. We have seen steady growth without ever compromising our technical underwriting result and we will continue to offer the most secure P&I product to smaller and specialised vessels.”
Financial and Member data summary:
|Earned premiums, net of reinsurance||$236.4m||$223.2m|
|Incurred claims, net of reinsurance||($167.3m)||($161.2m)|
|Capital and free reserves||$337.4m||$396.4m|