Tysers P&I Clubs 2021/22 round-up – prospects for 2023

In its round-up of the P&I Clubs and the sector’s performance last policy year, broker Tysers said that the 13 Group Clubs had “a considerable way to go to achieve the general target of break even underwriting, with the main problem being the substantial increase in the cost of large claims and casualties”.

Tysers said that “Gard and Shipowners are just about there, but London, Swedish, Japan and American have a difficult journey ahead”, while the remainder “also have some serious work still to do’. Tysers noted that there would be “considerable relief that there are no confirmed Pool claims in 2022/23 to date”.

The broker observed that the mutuals were bot being helped by the current investment markets, and said that “the losses of the first six months in 2022 will only be recouped, even in part, if the awful war in Ukraine comes to an end, global inflation starts to steady, oil and food prices fall and employment levels stabilize”. Tysers said that the aim probably would be “to minimize losses rather than maximize gains.

Club members were warned by Tysers that they had to expect another difficult renewal, with Tysers expecting the Clubs to seek general/target increases at least similar to last year’s – 5% to 15%, and possibly more in some cases.