The UK P&I Club, a leading provider of P&I insurance and other services to the international shipping community, announces its financial results for the year ended 20 February 2023.
The Club’s gross written premium exceeded $500 million for the first time as the Club expands its fixed premium P&I business. The combined ratio of 104% was an improvement over last year’s 115%. Mutual owned tonnage increased at renewal this year to 153 million GT.
Rising interest rates and global inflation impacted the Club’s investment portfolio, mostly comprised of fixed income assets. In this challenging environment the portfolio reduced by 3.8% in 2022/23.
With a free reserve of $430 million, the Club comfortably meets all regulatory requirements and remains in the ‘AAA’ band of S&P’s capital model.
Nicholas Inglessis, Chairman of UK P&I Club, said: “During the past 12 months the Club has added tonnage from both existing and new Members, as well as developing its offerings in fixed premium and offshore products. The improvement in the combined ratio reflects both the improving pricing environment and the Club’s disciplined underwriting approach.
Andrew Taylor, Chief Executive of the UK P&I Club, said: “The Club excels in building long term partnerships with Members through best-in-class service, supported by the experience and expertise of our people. The Club is underpinned by its financial strength and during the year, our regulatory capital ratio increased from 195% to 200%, demonstrating the ongoing resilience of the Club’s capital base.”