Broker Tysers has now released its annual assessment of the P&I Market and, in particular, the International Group Clubs. IMN will be summarizing the individual clubs over the coming days, concluding with a combined summary of the club’s financial performances, conditions, rankings, ratings etc.
Today: Shipowners’ Club
Managers The Shipowners’ Protection Ltd
S&P Rating ‘A’
Tonnage by geography
|SE Asia & Far East||51%|
|Aust/NZ & Pacific||4%|
|Middle East & India||10%|
Tysers said that Shipowners’ Club chairman Philip Orme had rightly been proud of an excellent performance by the Club during such a difficult year. A 98% membership retention saw tonnage rise by 3% to almost 28m GT, “again confirming the Club has nothing to fear from the dwindling fixed commercial market and that owners of small vessels appreciate just as much as the big fleets the value of quality service, as well as an excellent offering of additional coverages”, said Tysers.
At 101% and virtually breaking even on the underwriting side. the Club achieved the best combined ratio in the International Group. The average ratio over five years has been 101.6%’ over 10 years it has been 98%.
An investment return of 8% produced $48m. After a one-off pension charge of $7m, free reserves grew by $39m to $379m.
Orme noted that, 2020 was a very challenging year but “the Club has risen to the challenge and delivered what it set out to do in terms of both Member support and indeed financial stability”.
The suffered additional claims resulting from Covid-19 outbreaks on some of its entered vessels, but these were offset by lower levels of other claims. which the Club accepted was due to reduced operations in various areas, particularly the passenger excursion vessel sector.
There were no claims over $5m. For the financial year ending 31st December 2020, gross premium rose by nearly $4m to $234m, while net incurred claims remained stable at around $157m.
All figures $’000
|Net Claims (incurred)||157,091||156,491||151,038||136,165||149,087|
|Net Underwriting Result||(9,033)||(10,273)||(8,197)||1,761||2,802|
|Gross Outstanding Claims||516,216||464,442||440,348||425,420||433,441|
|Average Expense Ratio||22%||23%||24%||22%||22%|