UK P&I Club: 7.5% Rate Increase

Press Release
Friday, November 02, 2012

At its annual board meeting on 29 October 2012, the board of the UK P&I Club (the Club), one of the oldest shipping protection and indemnity insurance mutuals, agreed that the general increase for 2013 renewal will be 7.5 percent. 

 
The premium rating increase is in addition to any increase in the cost of the International Group reinsurance premium for 2013 for the mutual members, which will be determined in the New Year. 


 
Recognizing the challenges faced by its members and the Club’s strong capital position, the Board has separately declared a Mutual Premium Discount of 2.5 per cent on the total mutual call for the 2011 policy year. The discount will amount to a 10 per cent deduction for all mutual members for the final instalment of the 2011 call due in December this year. 


 
In an environment of increasing claims costs despite a shipping recession, the Club needs to keep premiums moving forward in line with the actual claims experience. The general increase is a step towards addressing underlying claims inflation, as well as the anticipated future rebound in claims frequency from what have been record low levels.


 
Dino Caroussis, chairman of the UK P&I Club said: “The decision to make a 7.5 per cent general increase reflects the Board’s determination to keep the Club’s underwriting in balance. The Board has made the decision for a relatively modest premium increase in the short term as opposed to more substantial and painful increases in future. 


 
Shipowners are facing extremely challenging conditions. We are therefore pleased, given our strong capital position, to be able to reduce the premium on 2011 which was a good year for the Club. However, the Board feels it would be clearly against the interest of members if a club does not increase premiums in an inflationary environment and potentially create a problem for the future.”

Maritime Today


The Maritime Industry's original and most viewed E-News Service

Maritime Reporter May 2016 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Finance

WSS: Post-combustion Fuel Treatment Cuts Vessel Costs, Risk

Wilhelmsen Ships Service, a provider of products and services to the shipping industry, is advising vessel operators to wage war on soot. According to WSS, soot

Lower Large Dry Bulk Rates drag Baltic Index

The Baltic Exchange's main sea freight index, tracking rates for ships carrying dry bulk commodities, fell on Thursday dragged down by lower demand for larger vessel segments.

EGAS: Egypt to tender for 10 LNG Cargoes

Egypt will tender next week to import 10 cargoes of liquefied natural gas (LNG) for delivery in July and August, an official from the state gas company, EGAS, said on Thursday.

 
 
Maritime Careers / Shipboard Positions Maritime Contracts Maritime Security Naval Architecture Pipelines Pod Propulsion Port Authority Ship Repair Sonar Winch
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.0831 sec (12 req/sec)