Merger of North and Standard “already providing a platform for financial stability and growth”
Group Club NorthStandard has said that the first Annual Review published by NorthStandard as a consolidated business portrayed “an organization rapidly engaging with the challenges and opportunities facing P&I and already broadening its service portfolio”.
For policy year 2022/23 NorthStandard’s net combined ratio was 95%.
Thya Kathiravel, NorthStandard’s Chief Underwriting Officer, said that, while a small number of members elected to balance their entries across other IG clubs in response to the merger, many more enlarged their entries over the period. “Other members opted to increase their entries – in some cases, significantly,” Kathiravel said. “Thanks to the ongoing support of our members, the overall rating increase achieved projections, and we successfully de-risked our overall exposure, with our total post-renewal premium revenues growing to over $800m.”
NorthStandard’s premium income for 2022/23 was $796m, “driven by a robust performance across all our divisions, including our mutual blue water and specialty businesses”.
The year ended with free reserves of $685m and an upgraded rating assessment from S&P Global to ‘A’ with a stable outlook.
At the conclusion of the February 2023 renewal, P&I owned and chartered tonnage exceeded 365m GT, meeting the agreed business plan targets.
The combined financial statements together, with the Directors Report and Financial Statements, will be published in due course.
The Directors also reviewed the Release Calls for the P&I, FD&D/Defence, War Risks, Coastal & Inland and Strike & Delay Classes.
NorthStandard Group Boards have agreed to:
Set the 2021/22 release call at 0% and the 2022/23 release call at 5% (for the P&I and FD&D/Defence Classes).
Set the release call for 2023/24 at 12.5% (for the P&I and FD&D/Defence Classes).
Maintain release calls for all open years for the Coastal & Inland and War Risks Classes at 0%.
Close the Strike & Delay Class 2021/22 policy year without an additional call above ETP.
Continue Strike & Delay Class release calls at 20% for 2022/23 and 2023/24.
Source: Insurance Marine News 1st June 2023
