Strong results allow Steamship Mutual to maintain rates

Press Release

At their Board Meeting on 26th October the Directors of the Steamship Mutual reviewed the position of the open policy years and considered the mutual premium ratings required for the 2011 policy year. It was decided not to impose a standard increase on either Class 1 (P&I) or Class 2 (FD&D) entries but that records would be reviewed and rates assessed in the usual way.

Very favourable development of the Club's 2009 policy year was reported, showing an improvement in the underwriting result of US$27.7 million since the year end. In the current year the Club reports that there are no apparent signs of a significant change in the claims outlook as compared to recent years. However it was noted that it was still too early to make any accurate assumptions about the 2010/11 outcome given the considerable potential for claims in the northern hemisphere winter months.

Release calls were also reviewed by the Club's Directors and these were reduced to reflect the increased confidence in the expected outcomes for the open policy years. It was confirmed that the 2008 policy year would be considered for closure in May 2011 with a release call of 5%. The release call for 2010 and the forthcoming 2011 policy years were set at 20% and 2009 reduced to 15%.

Gary Rynsard, CEO, commented,

“We were able to report to our Board a very encouraging set of figures based on the increased capitalisation of the Club, its lower risk investment strategy and continued prudent underwriting and reserving policies. The Board decided not to impose a standard increase having considered carefully current claims trends, underlying churn issues and the capital requirements likely to be introduced by Solvency II.

I am very pleased to announce this good news to the Club's Members as we understand that increases in overheads at this moment in the economic cycle are unwelcome. I would also like to thank the Members for their support of the Club in 2010 and assure them that we are committed to the continued prudent management of the Club in these uncertain times."

…Ends…

Note to Editors: Additional photography and comments are available upon request

Press contact:

Jackie Callard
+44 (0) 20 7650 6515
jackie.callard@simsl.com

About Steamship Mutual

Steamship Mutual (managed by Steamship Insurance Management Services Limited) is a leading provider of Protection & Indemnity (P&I) insurance. As one of the largest P&I Clubs in the International Group, Steamship Mutual insures a diverse range of shipping around the globe, for both shipowners and charterers.

Steamship Mutual offers a comprehensive range of P&I products and ancillary covers. The Club consistently delivers a first-rate service to its Members, providing high quality professional claims management and services, backed by a stable financial position and strong free reserves.


With offices in London, Bermuda, Hong Kong, Brazil and correspondents in every major shipping port worldwide, Steamship Mutual employs highly professional and experienced staff including qualified lawyers, ex-senior mariners, and specialist insurance and claims experts.

For further information visit: www.simsl.com