By John Cooper ,
Global Chief Client Officer, Energy & Power, Marsh Specialty
01/20/2022
The average change in 2022 advance calls (premiums) for mutual P&I entries in the individual P&I clubs that form the 13 strong International Group of P&I Clubs[i] is approximately 12% as an average of those imposing general increases (excluding Skuld and Gard, which will access individual member’s performance). This compares to an average rise of 6.50% in 2021.
The general reasoning behind premium increases from individual clubs has been the cost of mutual P&I claims in the current year being at an elevated level, with a high frequency of claims involving COVID-19 being a particular factor, along with the average severity of claims on the IG Pool being unusually high.
American Steamship Owners Mutual Protection and Indemnity Association | 12.5% |
The Britannia Steam Ship Insurance Association | 12.5%* |
Gard P&I | ** |
The Japan Ship Owners' Mutual Protection & Indemnity Association | 10% |
The London Steam-Ship Owners' Mutual Insurance Association | 12.5% |
The North of England Protecting & Indemnity Association | 15% |
The Shipowners’ Club | 5% |
Skuld Mutual Protection and Indemnity Association | ** |
The Standard Club | 12.5% |
The Steamship Mutual Underwriting Association | 12.5% |
The Swedish Club | 12.5% |
United Kingdom Mutual Steam Ship Assurance Association | 12.5% |
The West of England Ship Owners Mutual Insurance Association | 15% |
*overall target but each member to be assessed separately
**each member assessed separately but indicated rate increases will be applied
Source: individual club circulars
[i] before adjustment for individual loss records, changes to risk profile, or for changes in reinsurance costs
07/26/2024