Tysers Group Club results summary 2021-22: #12 UK Club

When commenting on the 2020 figures for UK Club, Chairman Nicholas Inglessis emphasized that 2020, was an exceptional year with a combined ratio of 150% and an overall loss of $52m, and predicted matters would improve in 2021.

Tysers said that it was “pleased to report that he was correct”.

There were good signs, with gross P&I premium up $50m to $336m, claims down by $55m to $218m, 99% member retention, and owned tonnage up by 15m gt to 150m GT.

The combined ratio improved to 115%, and in a difficult year an investment return of $20m (1.9%) was a good result and helped reduce the overall loss for the year to $19m (including an exceptional loss of $4m connected with the transfer of historic occupational disease claims).

However, this still meant that free reserves had fallen below $500m for the first time in five years, to $488m.

In his commentary Inglessis admitted there was more to be done, but felt there had been significant progress towards correcting premium rating and stabilizing the underwriting result, as the Club sought to get back to a break-even technical position.

While 2021 was a fairly benign year for large claims (those over $500,000), the increased cost of such claims was regarded as a major factor in the inadequacy of rates across the market. Attritional claims increased due to Covid-related incidents, and the cost of retained Pool claims was also a worry, said Tysers.

Tysers said that “with the Club’s European office UK P&I Club NV now providing fronting for other Thomas Miller business such as the TT Club and ITIC (reinsured 100% back to the fronted company), we suppose the Club can now argue it has diversified well beyond just P&I, but it is going to need another disciplined P&I renewal to prove it is back on track.”

Managers     Thomas Miller

Gross Tonnage

Owned 150,000,000
Chartered 100,000,000

Free reserves

2022 488,306,000
2021 507,398,000
2020 559,194,000
2019 504,793,000
2018 539,980,000

Standard & Poor’s Rating          A-

Tonnage by vessel type

Tankers/gas 40%
Bulkers 34%
Container 15%
Other 12%

Tonnage By Geography

Europe/M East/Africa 50%
Asia/Pacific 41%
Americas 9%

Key figures

Year 2022 2021 2020 2019 2018
Calls/Premium 339,676 286,376 305,037 322,398 361,793
Reinsurance Cost 106,331 76,624 60,386 64,860 65,119
Net Claims (incurred) 217,668 272,506 251,707 250,941 225,700
Operating Expenses 50,826 43,843 43,724 43,654 34,542
Net Underwriting Result (35,149) (106,597) (50,780) (37,057) 36,432
Gross Outstanding Claims 1,275,256 1,288,949 957,030 984,145 986,236
Total Assets 1,815,889 1,841,992 1,533,085 1,506,871 1,640,168
Average Expense Ratio 12.27% 11.45% 11.28% 11.09% 10.31%
Solvency Margin 1.42 1.43 1.60 1.53 1.66
Reserves/GT Ratio $3.26 $3.69 $3.94 $3.51 $3.88

All figures $’000