International Group Reinsurance Programme for 2019/20 Policy Year
We are pleased to announce that the International Group Reinsurance Programme for 2019/20 policy year has now been concluded.
- General Structure
The general structure of the International Group Reinsurance Programme for 2019/20 policy year is as follows (Four categories shown remain unchanged):
- Club retention: US$10 million
- Group retention: US$100 million
- General Excess Loss Cover: US$2 billion (US$2 billion in excess of US$100 million)
- Collective Overspill Cover: US$1 billion (US$1 billion in excess of US$2.1 billion)
Please see the attached diagramme for further details of the programme.
- Limits on the Cover
The following special limits on the Club covers for 2019/20 policy year are applied to the Owners’ entry:
- Oil Pollution: US$1 billion
- Passenger: US$2 billion
- Passenger and Crew combined: US$3 billion
- The IG Reinsurance rates for 2019/20 policy year
The IG Reinsurance rates per GT for 2019/20 policy year, including the excess war risks cover and MLC reinsurance cover, are as follows:
Category |
2019 PY (US$/GT) |
% change from 2018PY |
Persistent Oil Tankers* |
0.5747 |
-1.68 |
Clean Tankers |
0.2582 |
-1.69 |
Dry Cargo Vessels |
0.3971 |
-1.67 |
Passenger Vessels |
3.2161 |
-1.67 |
*The “Dirty Tankers” category is renamed “Persistent Oil Tankers”.
- Renewal overview
The loss experience of the reinsurance programme on the 2012/13 to 2018/19 (year to date) policy years remains acceptable to reinsurers, notwithstanding the claims development during the 2018/19 policy year. This factor, combined with continuing surplus market capacity, the consistently positive financial development of the Group captive, Hydra, and the effective use of multi-year private placements, has enabled the Group to achieve another satisfactory reinsurance renewal terms which results in a further year of reinsurance rate reductions across all vessel categories.