Following a challenging year across the industry, The Swedish Club reported strong renewals for 2022, in line with targets and achieving a volume growth (year on year) of 5% for P&I and 18% for H&M.
The overall result for 2021 produced a combined ratio for 2021 of 129%, which was considerably higher than expected. Within this figure, all classes except P&I were in line with prediction, with the final result of a deficit of $34m.
The year was defined by pool claims, a high number of larger retained claims and the impact of the pandemic, where claims costs tripled compared with 2020.
“The Club’s strong reserves are there to meet such volatility. The positive return on investment partly offset the underwriting deficit,” says Lars Rhodin (pictured), Managing Director of The Swedish Club.
“Weak P&I pricing is an industry-wide issue, as demonstrated in the underwriting performance of most International Group members. In implementing a 12.5% general increase for 2022/2023, we are confident that we have taken a significant step to close the gap. We greatly appreciate the support shown by our members throughout the renewals process, which has been affirmed in our 94% retention rate.
“We have a great deal to look forward to in 2022 with the opening of a new fully serviced office in Singapore, a recognition of the Club’s 40 years in Hong Kong, and of course The Swedish Club’s 150th Anniversary, which will be celebrated at our AGM in Gothenburg in June.”