Please be advised that the International Group (IG) Reinsurance Programme for 2024/25 policy year has now been concluded.

The general structure of the IG Reinsurance Programme for 2024/25 policy year is as follows (Four categories shown remain unchanged):

• Club retention: US$10 million
• Group retention: US$100 million
• General Excess Loss (GXL) 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)

The following special limits on the Club covers for 2024/25 policy year are applied to the Owners’ entry (Three categories shown remain unchanged):

• Oil Pollution: US$1 billion
• Passenger: US$2 billion
• Passenger and Crew combined: US$3 billion

Although for the 2023/24 reinsurance program, the Malicious Cyber, COVID-19 and the other Pandemics risks in excess of US$750 million for these losses, were capped at a total of US$1.35 billion (annual aggregate limit), for the 2024/25 reinsurance program the Malicious Cyber risks are separated from the COVID-19/the other Pandemics risks, each of which have an annual aggregate limit of US$1.35 billion.

• Layer 1 (US$650 million in excess of US$100 million) : Free and unlimited cover
• Layer 2 and 3 (US$1.35 billion in excess of US$750 million) : Each layer has an annual aggregate limit in place, totalling US$1.35 billion for Malicious Cyber risk and another US$1.35 billion for COVID-19/Pandemics risks.

The IG agreed to pool losses that exceed the annual aggregate limit and therefore could not be recoverable from reinsurers. Accordingly, there is no change to Member cover.

Please see the attached diagramme for further details of the programme.

Due to the ongoing active war between Russia and Ukraine, the IG’s Excess War reinsurers have maintained Territorial Exclusion language (consistent with exclusionary language already applied by reinsurers for Primary War P&I coverage) for vessels trading in these waters. As such the Group has purchased aggregated sub-limited cover of US$ 80 million from the reinsurance markets to cover the Russia/Ukraine/Belarus excluded risks.

The IG concluded that there should be no change in the number of categories but that there should be some adjustments to the relative rate changes having regard to historical claims performance.

The IG Reinsurance rates per GT for 2024/25 policy year, including the excess war risks cover and MLC reinsurance cover, are as follows:

Following a relatively benign Pool claims environment for the 2022/23 Policy Year, 2023/24 has also started well.  Whilst there has been some deterioration for prior years’ claims within the Pool, the overall impact on the Group’s reinsurance partners has not been significant and the hurricane season was less impactful than in the previous year wit other non-marine losses. As a result, the IG has been able to renew its reinsurance programme for 2024/25 with all vessel types seeing rate reductions.

The IG’s Bermudan based reinsurance captive Hydra continues to support the IG through its risk retention. The use of private placements has also continued to reduce the volatility of reinsurance rates for our members.

For more information, please see Press Release published by the IG.