TT Club Reports Positive Trading Performance

MarineLink.com
Friday, May 17, 2013
Photo: TT Club

Specialist liability insurer for the international transport and logistics industry TT Club said it had another good performance for the year ended December 31, 2012, with further increased gross written premiums, and the club now maintains its A- (Excellent) rating for the past eight years.

In a statement, U.S. rating agency A M Best reaffirmed the financial strength rating of A- (Excellent) and the issuer credit ratings of “a-” of Through Transport Mutual Insurance Association Limited (TTB) (Bermuda) and its subsidiary, TT Club Mutual Insurance Limited (TTI) (United Kingdom) collectively trading as TT Club.

"The outlook for both ratings remains stable. The ratings of TTI reflect the integral part it plays in TT Club’s strategy, as well as the extensive reinsurance protection provided by TTB, which is expected to maintain excellent consolidated risk-adjusted capitalization in 2013," the agency said.

A M Best also noted in its statement on the TT Club, "Its business profile is supported by a superior service standard, which underpins a high policyholder retention rate of roughly 95%, and by its active involvement in loss prevention and risk management within the industry."

The TT Club's gross written premium for 2012 increased to $182.3 million and the Club's combined ratio - the key measure of the health of its operating performance - reduced to 96.3%.

The A M Best statement also noted that, "in 2013 TTB is expected to produce a combined ratio of roughly 100%. Investment income is likely to be modest but positive, reflecting a conservative investment portfolio and the low interest rate environment."

"As a mutual, the club is not pressured to generate high returns, however, TTB is expected to continue to produce small pre-tax profits in most years, in line with its performance record since 2008," the agency concluded.

Highlights for the TT Club during 2012

-Combined ratio (total claims and expenses divided by net earned premiums) improved to 96.3% from 99.6% in 2011.
-Member retention remains high confirming the continuing strong service ethos within the Club
-Investment return is up to 1.5% from 0.8% in 2011. The Club’s investment portfolio remains low risk, being primarily invested in cash and short term bonds, and it is over 10 years since the Club made a realised investment loss. 
-Net result is a surplus of US$4.2M, a 238% increase on 2011.
-Surplus and reserves increased by 2.9% to US$149.7M.
-Very strong capital position, equivalent at A++, the highest rating on the A M Best capital adequacy model.

The TT Club suffered two major losses during 2012, Superstorm Sandy and the fire and explosions on MSC Flaminia. While these claims are significant they have not impacted negatively on the results for the year, with the performance of the overall claims book remaining within expectations.

www.ttclub.com
 

Maritime Reporter August 2014 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

People & Company News

Shell CEO: US Should Export Oil, Embrace Global Markets

The head of energy company Royal Dutch Shell said on Tuesday that U.S. policymakers should lift the crude oil export ban because allowing the shipments would make global energy system more stable.

SUNY Maritime Takes the Ice Bucket Challenge

Taking full advantage of one of the summer’s hottest days, twelve administrators and staff at the State University of New York (SUNY) Maritime College today took the Ice Bucket Challenge,

Fraunhofer Researchers Improve Underwater Images

Videos and images of the submarine world are important for the maritime industry. Researchers from Fraunhofer IGD will show how underwater images can be improved

Insurance

Bureau Veritas Diversifies with MatthewsDaniel Acquisition

Bureau Veritas announced today that it has acquired MatthewsDaniel Ltd, a global provider of loss adjusting and risk assessment services for the offshore industry.

MN 100: Gencorp Insurance Group

16 Main Street East Greenwich, RI 02818 Telephone: 401 336 2182 E-mail: rcarnahan@gencorp-ins.com Website: www.gencorp-ins.com CEO/President: Robert G. Padula Number

Panama Canal: The Billion Dollar Challenge

Panama Canal expansion will cost operators, insurers As the Panama Canal prepares to celebrate its 100th anniversary, insurers are warning of the increased risks

 
 
Maritime Contracts Maritime Security Maritime Standards Naval Architecture Offshore Oil Pipelines Pod Propulsion Ship Simulators Shipbuilding / Vessel Construction Sonar
rss | archive | history | articles | privacy | terms and conditions | 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: 0.1418 sec (7 req/sec)