Gothenburg-based marine mutual insurer the Swedish Club has announced a 2.5 per cent general increase for 2015.
The Club said that this action consolidates the work undertaken by the Club in 2014, with a positive underwriting result and the forecast of a bottom line surplus for the full year 2014.
Speaking at the recent board meeting held in London, Lars Rhodin, Managing Director of the Swedish Club, emphasized the importance of the Club’s strategy of steady progress within a framework of gross prime growth, positive financial results and an increase in gross tonnage greater than global developments.
Rhodin said: “The demographics of the Club’s growth in P&I tonnage during 2014 was in line with our considered strategy. The P&I book now stands at 62 million GT, including Charterers’ entries. Our policy of diversification and responsiveness to the needs of the market is continuing to pay dividends to the Club and its members.”
The Swedish Club board agreed the 2.5 per cent general increase plus changes in the international group’s reinsurance costs; a 5 per cent general increase for freight, demurrage and defence due to an accelerating inflationary pressure on legal costs; and an increase in crew deductibles of USD 1,000 for P&I.
These moves reflected increases in shipowner liabilities and general claims inflation.
The Club also reported a rise in frequency of claims, but this was countered by a decrease in their severity.