Home Marine InsuranceP and I Clubs London P&I Club sets general increase for next policy year

London P&I Club sets general increase for next policy year

by admin

 The London P&I Club has set a general increase of 12.5 per cent in annual P&I call rates for the 2013/2014 policy year.

Commenting on the background to the decision, Ian Gooch, chief executive of the Club’s management team, says, “Claims in the Club’s retention layer for the current policy year show some encouraging signs, especially at the attritional level, where increased deductibles seem to be playing a part. Although claims in the highest band, in excess of $1m, are running at a moderate level, this band is volatile and has been very expensive in other, recent years. Overall, there remain clear signs of a strong inflationary trend, particularly in the cost of individual larger cases, something which may be reflected by the experience of the International Group Pool this year. The claims picture there is extremely unfavourable, both in terms of claim frequency and average claims severity.”

With regard to investments, the London Club year-to-date return stood at 4.05 per cent at 20 August, and the Club says a cautious approach to planning for the part to be played by investment contributions continues to be required in the current uncertain and low-growth environment.

Gooch concludes, “The Committee recognised the depressed market conditions in different shipping sectors. But, with claims increasing, the Committee considers it to be in the best interests of Members and Club to safeguard its financial strength and move to more balanced underwriting performance. It is against this and the said background that the decision was taken to set a general increase in annual call rates for the 2013/2014 policy year of 12.5 per cent. The Committee also emphasised that attention should be paid to the adjustment of rating and deductible levels for individual Members, where their record and/or exposure to risk requires it.”

You may also like

1 comment

tilak January 17, 2014 - 1:18 PM

Dear Sirs,
A member of crew (Electrical Officer) onboard ship named MV Hoangson 28 died due to heartfailure on the midnight of 16th December 2013 at Kandla in Gujarat (India).The conditions were deplorable as there was no light on the ship and there was no cook either on the ship. It is informed that the ship bears flag of Mangolia and owned by Baltanas Shipping Company Island of Nevis U K/London. The contract letter states that medicals etc. would be governed by P&I Club rules of the ship. The personal belongings of the deceased have been tapmpered and the gold ring, credit and visa cards have been missing. The dead body was delivered through an agent of the agent company named Green ocean Ship Management” who are making repeated false promises to trace the contract of employment and other missing belongings. The claim being offerred is 50,000/- US dollars on the pre-condition that his dependents give an undertaking that they have received the highest possible claim. Will you please guide as to what is the claim available in such cases and whom to approach in case of grievance. The wife of the deceased is a teacher in a school and has two unmarried daughters who are still studying. Will you please guide SOS


Leave a Reply to tilak Cancel Reply