Aon's P&I review 2015

Aon Risk Solutions
Global Broking Centre | Marine
Risk. Reinsurance. Human Resources.
Aon Marine Insurance
Review 2015
Protection & Indemnity

2 Aon Marine Insurance | Review 2015

IntroductionMutualClubs
P&IClubMarket
Reference
P&IComparativeDataSpecialistMarkets
Aon Marine Insurance | Review 2014 3
Introduction. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5
Mutual Clubs. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8
P&I Comparative Data . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 36
P&I Club Market Reference . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 42
Specialist Markets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 48
Contents

Introduction
This coming renewal will mirror the last with an overall average low single digit general
increase across the International Group. While most Clubs have enjoyed a trouble-free year
with strong technical underwriting results, there has been no joy from investment income.
The days of heavily relying on investment income are long gone, but this naturally still has
an influence on the final results of each year. If last year’s returns were gloomy, then the
current position is positively dire with a number of Clubs reporting negative investment
returns. Conservative investment programmes following the meltdown of 2008 has
negated the volatility, but the pressure caused by the present financial environment
will no doubt figure heavily in renewal negotiations.
Across the International Group claims are a little higher
at the time of writing compared to last year and the same
can be said of pool claims. These are further reasons why
the Clubs will express their need for more premium at this
renewal. However, we should not paint a false picture here
since the majority of Clubs have never looked better with
free reserves climbing to another year of record high levels.
With the shipping industry seeing little improvement, it
is welcome news to see some announce zero increases at
this renewal. Nobody wants to see the International Group
falling backwards, but as we have highlighted on a number
of occasions, free reserves are not just there for show.
The International Group faced few new challenges through
the 2014/15 policy year, but a significant hurdle is still on
the horizon with the Maritime Labour Convention (MLC)
2006 where the Group will be expected to guarantee four
months crew wages. At the time of writing it is not entirely
clear how the additional exposure under the MLC will be
handled, although we believe this will be absorbed within
the individual Club retention. What happens above that
remains to be seen, but the message is clear that the Group
will find a workable solution. While the payment of wages
does not come into effect until January 2017, it will of course
be a discussion point in the coming policy year.
The Insurance Act 2015 came into effect in the UK this year.
Those Clubs incorporating the Marine Insurance 1906 will
contract out elements that are not applicable. However,
those writing yachts and some smaller craft will
be considered more in the consumer than in the
commercial category.
The seemingly endless desire to boast a fixed premium
facility has seen the London Club enter the arena along with
Thomas Miller who opened their wallet to purchase Osprey
Underwriting Agency. This now means that all thirteen
International Group Clubs, or their Managers, have a fixed
premium facility in some form or another. What started for
some as a safety net against the threat of fixed P&I providers
has developed into a hungry animal requiring a great deal
of feeding. Without the International Group Agreement’s
handcuffs, operators have the ability to move freely
at renewal and it will be interesting to see how this
space develops.
Some of these new fixed premium siblings are heavily
reinsured in the commercial market yet the certification is
often in the name of the Mutual Club, hence the acceptance
of Blue Cards and the like. However, the security provided
does not come from the Club, but instead the various
commercial insurers. With Blue Cards there is precious little
by way of defence and they allow for direct action. Albeit
remote, this does create an exposure should any reinsuring
insurer fail to pay.
What is crystal clear is that the International Group will
approach the New Year in good health and perfectly
positioned to tackle the challenges ahead.

“Due to the usual factors of ‘churn’, when new vessels entering the Club
pay much less than those departing, increased convention limits and
claims inflation, Aon expects general increases ranging from 0% to 7.5%.”
Where does your money go?
Navigating a Club’s loss ratio is far from plain sailing and in
stark contrast to the commercial market. It is not made any
easier by each Club having their own format causing some
Members with split entries a headache.
While Group reinsurance costs are a fixed sum, other
expenses such as abatement, management expenses,
incurred but not reported (IBNR) and pool contributions are
a moveable feast. The concept of transferring risk at cost is
to be applauded, but we would like to see more clarity on
these categories.
Quite rightly Clubs are conservative and cautious when it
comes to reserving, but what happens when those reserves
materialise at far lower levels? Free reserves get a welcome
addition, but the Member’s loss ratio may well reflect an
inaccurate higher ratio.
While the rationale behind itemising where the Member’s
premium goes is understandable (after all it is their money)
it does demonstrate how little retained premium there is to
pay claims within the individual Club retention. Obviously
there can never be complete consistency within the Group,
but we calculate that the average fixed cost amounts to 60
cents of every one US dollar. The costs of running a Club are
significant and again all report these in a different fashion.
The previously rumoured consolidation of Clubs appears
to be a forgotten topic, but we have little doubt this will
surface in the foreseeable future. Abatement costs are far
from consistent within the Group, ranging anywhere from
between 5 and 15 percent of the Member’s premium,
making a considerable mark on a Member’s loss ratio.
These factors are constantly monitored by Aon as they
have such a bearing on the Member’s record, the present
and what future stance the Clubs will take on renewal.
Fixed Markets
The fixed P&I market has seen another entrant in the shape
of the London Club and a potential rebirth of Osprey
Underwriting Agency. Osprey has been around since 1991
with a historical concentration on the US. Given there were
few competitors until the last decade, it is understandable
their book has come under pressure of late. Osprey already
underwrites a number of maritime lines of business and we
understand that UK Club’s Managers, Thomas Miller, will
look to develop these further.
To date there are more commercial fixed P&I providers
than there are International Group clubs, yet the premium
income represents less than 10% of the Group.
With all insurance sectors under pressure on premium
levels, the amount of ever-growing capacity and chronic
interest rates, it is little wonder attention has focused on
P&I. Whether this is viewed as a new nirvana or an element
of desperation, it will inevitably lead to the survival of
the fittest.
The cards are always stacked against the non-IG fixed
markets. The Group’s access to competitive reinsurance,
release calls and their undeniable lofty status, all provided at
cost, is a tough nut to crack. With the years of unbudgeted
calls and crippling general increases behind them, this is a
time for the non-IG fixed markets to re-group.
With practically every Group club offering a fixed premium
alternative it is clear there is simply not enough business
to go around. As Aon has constantly stated we thrive off
competition but this must be coupled with sustainability
and service. More than any other class, the complexities
and long-tail nature of P&I requires a high level of expertise
and heavy staffing. Couple this with the necessity to
provide adequate security to enable vessels to operate
unencumbered and it is easy to see why over the years
few commercial insurers have turned their attention to
this class of business.
Today we see a great volume of business on a merry go
round at renewal putting intense pressure on premiums
with the inevitable outcome being reductions. Given
the number of underwriters there are varying degrees
of underwriting quality. Most notable and worrying is
settlement of claims - all have the ability to pay, but it is the
willingness that is the crucial factor. Couple this with the
ever-present need to provide adequate security and you
can see how careful selection is paramount.
Sadly we fail to see how all of the facilities can survive.
With rates spiralling downwards this creates an
unsustainable marketplace long-term. It is already creating
a false environment and managing expectations when
troubles arise will leave an unpleasant legacy.

Introduction
“Against the background of the good loss record since Costa Concordia
and the reasonably significant additional retentions taken by the Pool
and Hydra, we would be disappointed to see any further premium
increases at this renewal.”
Consolidation would make sense here. Mergers are an
obvious choice giving better economies of scale or perhaps
put egos to one side and operate on a collective basis by
way of subscription. We see many underwriters spreading
themselves too thinly across every maritime area. Would it
not make sense joining forces in many parts of the world
by writing a share of the risk in order to make underwriting
more cost effective? We have no wish to see premiums
escalate; consolidation would create a more sustainable
and ultimately better product.
All of this may sound alarming, but rest assured there
are a number of excellent fixed P&I providers in the market
today. They know the business well and provide a first class
service; simply there is not enough of that business to feed
every mouth.
The 2016 Group Reinsurance Renewal
After a difficult couple of renewals for the International
Group Excess of Loss Reinsurance contract, the 20 February
2015 renewal was a welcome change for shipowners
offering reductions for all but passenger ships.
As we now approach the 20 February 2016 renewal we are
pleased to advise the positive claims trend has continued
and although there have been major casualties there has
been nothing large enough to penetrate a long way into
the Excess of Loss layers.
Although not forgotten, the Costa Concordia and Rena claims
are no longer being used to penalise the International
Group. After the reduction in premium last year and further
good performance so far in the 2015 policy year, we would
expect the International Group and their reinsurance
brokers to push for further reductions in the cost of contract
this renewal. It is also anticipated Hydra will take further
risk away from the commercial reinsurance market meaning
that the competition among reinsuring underwriters will
increase. There is already an excess of capacity in the market,
which should make price reductions more easily achievable.
As mentioned, the claims view is so far positive. There is
however further evidence that wreck removal claims of
even small vessels have the ability to create large claims.
The Shipowners’ Club claim Yusuf Cepnioglu is estimated at
around USD 53 million and the Amadeo 1 for the Standard
Club is USD 76 million. These are both small vessels that in
the past would not have been associated with claims of
this size. Although neither of these claims are big enough
to reach the International Group Excess of Loss contract
they will make underwriters think that if a difficult small
vessel wreck removal can cost this much, what would it
cost to remove a 19,000 TEU container ship or a 220,000
GT cruise ship.
The other noticeable losses have involved ferries.
The Norman Atlantic fire resulted in a total loss and the
deaths of passengers. This was followed by the Sorrento fire.
At the time of writing the cause of these fires has not been
determined and we do not have a reliable figure for the
estimated claim amounts, but added to the Amadeo 1 loss
is a bad run of claims for the ferry sector after many years
without major incidents.
On the positive side, it has been mooted that the four
categories currently used should be split further, with
container ships being separated from other dry cargo
vessels after a spate of major container ship losses.
There have now been very few container ship losses over
the last couple of years; whereas there have been a couple
of major bulk carrier claims meaning that pressure has all
but ceased and we do not expect any further splits this year.
Similarly after Costa Concordia ferry operators had argued
they must be treated differently from cruise ships and it is
now ferry operators with large claims and cruise ships have
run well. This demonstrates that all ship types can have a
major claim and there does not appear to be specific trends
in major losses by ship type. The key trend is that most major
losses involve an extremely expensive wreck removal.
In summary, unless there is a significant loss before the
renewal we would expect to see reductions in the cost
of the International Group Excess of Loss programme,
the increased involvement of Hydra and perhaps the
participation of other non-traditional underwriters along
similar lines to the Berkshire Hathaway/Liberty placings.
We do not expect these reductions to be huge however
as the losses we have detailed demonstrate there is certainly
as much exposure to large P&I claims as there has always
been even if claims on smaller vessels have ultimately been
settled beneath the USD 80 million level.

Mutual Clubs

MutualClubs
American Club . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10
Britannia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
Gard . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14
Japan Club . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16
London Club . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18
North of England . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20
Shipowners’ Club . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22
Skuld . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24
Standard Club . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26
Steamship Mutual . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28
Swedish Club . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30
UK P&I Club . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 32
West of England . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34
Commentary on individual Clubs has been supplied by the Clubs themselves.
Income Statement data includes combined P&I and FD&D figures if applicable.

American Club
American Steamship Owners Mutual Protection and Indemnity Association, Inc.
Shipowners Claims Bureau, Inc., 1 Battery Park Plaza, 31st Floor, New York, NY 10004, USA
american-Club.com t +1.212.847.4500
Number of ships (owned entries only)
Total owned entered GT
Total chartered GT
Entered GT by vessel type
Entered GT by region
2015 2014 2013
1,015 1,260 1,341

2015 2014 2013
13,900,000 16,700,000 15,100,000
2015 2014 2013
1,150,000 1,000,000 500,000
Manager’s comment
The American Club saw an increase in entered gross tonnage early
in 2014, and during the year there was some healthy consolidation
of a large fleet, with the Club’s overall tonnage remaining relatively
stable. The American Club’s fleet is well-balanced by ship-type at
48% bulk carriers, 40% tankers, 10% unitized/passenger/ro-ro and
2% small craft by GT, which is broadly in line with the global fleet.
Tugs/barges/
small craft
2%
Breakdown of investment by type
Tankers
40%
Europe
60%
Asia
23%
North
America
10%
Bulk types
48%
Unitised/
pax/roro
10%
Rest of world
8%

MutualClubs
Income Statement (year ending December) USD 000s
Release Call Percentage - as at August 2015
2014 2013
Income
Calls and
premiums
114,798 107,959
Excess Calls 0 0
Reinsurance
Premiums
-20,553 -18,581
Total Income 94,245 89,378
Expenditure
Net claims
incurred
-65,962 -65,064
Net operating
expenses
-34,795 -35,250
Total
expenditure
100,757 -100,314
Underwriting result pre investment
/other financial income and tax
-6,512 -10,936
Investment/other financial income 8,202 14,290
Tax/interest charged -434 -239
Overall result 1,256 3,115
Free reserves 58,600 57,344
S&P Rating Current Rating Aug-14
Rating BBB- BBB-
Outlook Stable Stable
Type of rating Interactive Interactive
Policy year 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
General
Increase %
10.0 10.0 20.0 7.5 0.0 2.0 5.0 10.0 10.0 4.5
Supplementary
Call Record %
0/35 0/30 0/25 20/20 25/25 25/25 0/0 0/0 0/0 0/0
2013 2014 2015
20% 20% 20%
“It is far from plain sailing for the Club. Results although steady, are
far from spectacular and growth is very much needed to address the
balance. Taking control of the ailing Hellenic Mutual is an interesting
expansion and we wait to see how that develops.”
Aon Comment
Cash/cash
equivalents
0.8%
Fixed income
securities
67.5%
Equities
31.7%

Britannia
The Britannia Steam Ship Insurance Association Limited
45 King William Street, London, EC4R 9AN, UK
britanniapandi.com t +44 (0)20 7407 3588
Total chartered GT
2015 2014 2013
2,925 2,924 2,925
2015 2014 2013
109,000,000 108,000,000 110,500,000
2015 2014 2013
27,000,000 23,000,000 25,000,000
Manager’s comment
2014/15 proved to be a benign claims year, with fewer high
value claims over USD 1 million than in previous years.
Similarly, routine claims declined both in number and value.
The Association achieved a positive investment return over the
year, although volatility in equities and exchange losses reduced
the overall return to a modest +0.4%. Disciplined underwriting
and releases of surplus claim reserves from earlier policy years
combined with improved projected claims from the 2014
year helped to produce a positive technical result of USD 41
million. With total resources in excess of USD 545 million, the
Association’s financial position remains strong, as confirmed
by S&P’s A (stable) interactive rating of the Club. That financial
strength has continued to allow the Club to help its Membership
during difficult economic times, most recently with reductions in
2014/15’s P&I and FD&D deferred calls saving Members almost
USD 10 million.
Others
0.81%
Bulk carriers
/General cargo
39.81%
Containers
30.80%
Tankers
28.58%
Asia Pacific
27%
Europe
20%
Americas
20%
Others
32%

MutualClubs
Income Statement (year ending February) USD 000s Breakdown of investment by type
2015 2014
Income
Calls and
premiums
269,726** 284,167*
Excess Calls 0 0
Reinsurance
Premiums
-48,941 -48,616
Total Income 220,785 235,551
Expenditure
Net claims
incurred
-132,991 -230,703
Net operating
expenses
-24,963 -26,811
Total
expenditure
-157,954 -257,514
62,831 -21,963
Tax/interest charged -1,016 -928
Free reserves including Boudicca 545,567 471,898
S&P Rating Current rating Aug-14
Rating A A
* Includes the effect of an increase in budgeted supplementary call.
** Includes the effect of an increase in budgeted supplementary call, however the increase applied to members’ accounts was 7.5% rebate on advance call.

* Calls and premiums for the year ending 20 Feb 2014 include the 7.5% P&I discount offered to renewing tonnage for the 2013/14 policy year and the waiver of half of the deferred call for FD&D for the
2012/13 policy year.
** Calls and premiums for the year ending 20 Feb 2015 include the reduction in the 2014/15 P&I deferred call from 45% to 37.5% and the FD&D deferred call from 50% to 30%, and the waiver of half of
the deferred call for FD&D for the 2013/14 policy year.

“Another solid performance enabling the Club to post a welcome reduction in
the 2014/15 deferred call. Whether the Club should spread its wings to new
parts of the globe is open to conjecture, but what is crystal clear is that the Club
maintains its position in the very top tier.”
Aon Comment
Government
bonds (short)
24%
Government
bonds
(medium)
14%
Inflation
linked
bonds
14%Corporate
bonds
18%
Equities
20%
Cash
10%
Policy year 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
General
Increase %
2.5 5.0 23.8* 23.8 5.0 5.0 5.0 16.5** 2.5 2.5
Supplementary
Call Record %
30/30 30/30 40/40 40/32.5 40/40 40/40 40/40 45/45 45/37.5 45/45
2013 2014 2015
7.5% 7.5% 15%

Gard
Assuranceforeningen Gard
Gard AS, Kittelsbuktveien 31, NO-4836 Arendal, Servicebox 600, NO-4809 Arendal, Norway
gard.no t +47 37 01 91 00
Total chartered GT
2015 2014 2013
6,300 6,050 5,900
2015 2014 2013
188,700,000 169,800,000 158,700,000
2015 2014 2013
57,500,000 57,500,000 57,500,000
Total MOU Entered GT
2015 2014 2013
18,900,000 16,900,000 15,700,000
Manager’s comment
Gard performed strongly for the financial year ending 20
February 2015, recording a surplus after tax of USD 87 million on
an Estimated Total Call (ETC) basis, a Combined Ratio Net (CRN)
of 88% and a return on our investments of 1.8%. Gross written
premium grew by 3% to USD 991 million on an ETC basis.
These accounting results reflect a 10 percentage point reduction
(USD 37 million) in the deferred call agreed by the Board of
Directors for the 2014 policy year.
For P&I, gross written premium for the year was USD 666 million
and gross claims to 20 February 2015 totalled USD 424 million.
The most recent renewal on 20 February 2015 saw the highest
net tonnage increase since 2007. Over 2014, we saw a net inflow
of tonnage of 19 million GT, and owners’ tonnage increased by
11% to 189 million GT.
Entered GT by vessel typeEntered GT by vessel type
Containers
18%
Americas
9%
Europe
64%
Other
1%
Asia Pacific
26%
Tankers
30%
Bulk carriers/
General cargo
29%
Others
21%
Passengers
2%

MutualClubs
Income Statement (year ending February) USD 000s
2015 2014
Income
Calls and
premiums
666,004 620,414
Excess Calls -37,332 -34,808
Reinsurance
Premiums
-132,615 -141,308
Total Income 496,057 444,298
Expenditure
Net claims
incurred
-425,970 -444,645
Net operating
expenses
-59,723 -43,397
Total
expenditure
-485,693 -488,042
10,364 -43,744
Investment/other financial income ** **
Tax/interest charged ** **
Overall result ** 49,332
Free reserves 968,590* 944,123*
Rating A+ A+
* After reduction in deferred call of USD 37 million.
** No longer allocated across individual lines of business.
2013 2014 2015
5% 15% 20%
“Gard continue to go from strength to strength with free reserves climbing
above USD 1 billion, spread over all classes. Members have become
accustomed to a lower deferred call; one that catches the eye with potential
new Members. We still wonder why release calls are set as high as they are.”
Aon Comment
Real Estate
3.1%
Cash
5.5%
Bonds
75.8%
Equities
15.6%
Policy year 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
General
Increase %
7.5 5.0 10.0 15.0 0.0 0.0 5.0 5.0 5.0 2.5
Supplementary
Call Record %
25/20 25/25 25/25 25/10 25/15 25/20 25/15 25/15 25/15 25/25

Japan Club
Japan Shipowners’ Mutual P&I Association
2-15-14 Nihonbashi-Ningyocho, Chuoh-ku, Tokyo 103-0013, Japan
piclub.or.jp t +81 33 662 7401
2015 2014 2013
2,372 2,356 2,399
2015 2014 2013
90,547,803 89,311,735 89,372,736
Total chartered GT
2015 2014 2013
11,790,009 11,362,017 12,724,767
Manager’s comment
Japan Club achieved a remarkable financial result in 2014.
This was primarily due to low claims frequency, with the Club’s
active loss prevention initiative contributing to reduced losses.
In sum, the reserves under the financial strategy climbed to
¥20,714 million (USD 172 million), ¥4,657 million (USD 16 million)
up from last year, surpassing targets.
For the 2015 renewal, the Club, focusing on securing
competitiveness, asked for a 3% general increase for ocean-going
vessels, and a 5% for Charterers’ liability, although there was a nil
general increase for Naiko Class and FD&D entries.
In 2015, the Club established a new three-year Medium-Term
Operational Plan, entitled “JPI’s CHANGE Phase II” maintaining
the fundamental policies of the previous plan. Under the
new plan, the Club aims to strengthen its domestic business
foundation and expand its overseas operation to target ships
in the Asia region through its Singapore branch office opened
in 2013.
Bulk carriers/
General cargo
62.76%
Asia Pacific
100%
Containers
8.06%
Tanker
13.57%
Others
15.48%
Passenger
0.12%

MutualClubs
Income Statement (year ending March) USD 000s
2015 2014
Income
Calls and
premiums
233,086 237,738
Excess Calls 0 0
Reinsurance
Premiums
-55,257 -56,264
Total Income 177,829 181,474
Expenditure
Net claims
incurred
-155,635 -168,548
Net operating
expenses
-16,546 -24,052
Total
expenditure
-172,181 -192,600
5,648 -11,126
Tax/interest charged -12,198 -4,147
Rating BBB BBB
2013 2014 2015
5% 5% 5%
“A satisfactory underwriting result for the Club this year. However, they
are coming under increasing pressure from other Group Clubs opening
up shop in Japan.”
Aon Comment
Others
8.98%
Cash and
deposits
(JPY)
39%
Corporate
bonds
52.02%
Policy year 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
General
Increase %
0.0 10.0 20.0 20.0 12.5 10.0 3.0 5.0 7.5 3.0
Supplementary
Call Record %
30/60 30/30 30/30 40/40 40/50 40/40 40/40 40/40 40/40 40/40

London Club
The London Steamship Owners’ Mutual Insurance Association Limited
A Bilbrough & Co Ltd, 50 Leman Street, London E1 8HQ, UK
londonpandi.com t +44 (0)20 7772 8000
Total chartered GT
2015 2014 2013
1,110 1,014 1,174
2015 2014 2013
43,580,000 43,100,000 41,390,000
2015 2014 2013
10,850,000 5,000,000 5,060,000
Manager’s comment
In 2014/15, the Club saw an unusual elevation in P&I claims in
the layer in excess of USD 1 million. There were 14 such claims
with no obvious connection or trend, which was in stark contrast
to the Club’s experience over the previous decade in which the
number of claims in this band had only once exceeded 8 at expiry.
At the same time, there was progress in other areas including a
4.1% increase in the Club’s gross premium income, supported by
growth in its Owners’ entries as well as its Charterers’ business.
There was also positive investment performance augmented by a
revaluation gain in the value of the Club’s London office. A strong
free reserve of USD 157.4 million provides a robust platform from
which the Club works to deliver its specialised brand of the highest
quality P&I service and support.
Americas
4%
Tankers
23%
Southern Europe
43%
Asia Pacific
34%
Northern
Europe
19%
Bulk Carriers
56%
Gas Carriers
3%
General Cargo
2%
Containers
16%

MutualClubs
2015 2014
Income
Calls and
premiums
111,290 106,895
Excess Calls 0 0
Reinsurance
Premiums
-24,445 -20,754
Expenditure
Net claims
incurred
-104,277 -92,956
Net operating
expenses
-12,483 -11,921
Total
expenditure
-116,760 -104,887
-29,915 -18,736
Overall result -3,230 6,615
Rating BBB BBB
Type of rating Interactive Pi
2013 2014 2015
12.5% 15% 15%
“Underwriting results are still a concern. The Club has an extremely
loyal Membership who value the excellent service provided by the Club.
Still we feel the Underwriting Net Loss Ratios must make a positive turn
to put them back on the front foot.”
Aon Comment
Alternatives
0.20%
Fixed income
67.50%
Equities
23.60%
Cash and cash
equivalents
8.70%
Policy year 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
General
Increase %
12.5 7.5 17.5 15.0 5.0 5.0 5.0 12.5 10.0 6.0
Supplementary
Call Record %
40/89 40/89 40/75 40/40 0/0 0/0 0/0 0/0 0/0 0/0

North of England
North of England P&I Association Limited
The Quayside, Newcastle Upon Tyne, NE1 3DU, UK
nepia.com t +44 (0)191 232 5221
Total chartered GT
2015 2014 2013
3,500 3,500 3,500
2015 2014 2013
126,141,453 130,801,946 133,510,307
2015 2014 2013
40,000,000 49,000,000 43,000,000
Manager’s comment
Overall, it has been an interesting year for North and as a result
of the poor claims experience in 2014/15, we took robust action
at the 20 February 2015 renewal. We also had to absorb a further
USD 23.9 million technical pension accounting impairment due
to extraordinarily low corporate bond yields. On the positive side
we achieved an increase in our free reserves, a healthy investment
return and a USD 41 million contribution from acquiring
Sunderland Marine in 2014.
The following factors contributed to the overall result:
• Acquisition of Sunderland Marine contributed USD 41 million
• North P&I Investment return of +4.29% contributed
USD 25 million
• Newcastle Quayside property revaluation gain contributed
USD 7 million
• North P&I Underwriting loss of USD 28.3 million
• Large number of high-value claims for North P&I: 50 claims in
excess of USD 1 million
• Further Group pension deficit of USD 23.9 million, USD 57
million impairment over two years
• North P&I Combined Ratio: 109%
• S&P A rating for the 11th consecutive year
We have seen positive developments since the start of the policy
year, with claims activity reducing in terms of number and value.
Bulk carrier/
general cargo
38.90%
Greece
24%
Middle East
13%
Asia Pacific
27%
Americas
8%
Europe
26%
Containers
20.19%
Tanker
29.76%
Others
10.7%
Passengers
0.45%
Others
2%

MutualClubs
2015 2014
Income
Calls and
premiums
394,900 383,534
Excess Calls 0 0
Reinsurance
Premiums
-78,400 -77,885
Total Income 316,500 305,649
Expenditure
Net claims
incurred
-292,900 -231,627
Net operating
expenses
-51,900 -53,660
Total
expenditure
-344,800 -285,287
-28,300 20,362
Recognition of defined benefit
pension scheme liability
-19,100 -33,451
Sunderland Marine Free reserve
at 20 February 2015
41,400 -
Overall result 25,900 38
Rating A A
2013 2014 2015
5% 5% 20%
“A slight change in fortunes this year with a number of claims hitting
retained premium. This is only a blip following a series of positive
underwriting years. Bolstered by the Sunderland Marine free reserves
the Club is in good shape.”
Aon Comment
Government bonds
39.40%
Short dated US
treasuries and cash
28.06%
Non-
government
bonds
23.32%
Equities
9.22%
Policy year 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
General
Increase %
7.5 7.5 20.0 17.5 5.0 3.0 5.0 15.0 7.5 4.75
Supplementary
Call Record %
0/0 0/0 0/0 0/0 0/0 0/0 0/0 0/0 0/0 0/0

Shipowners’ Club
The Shipowners’ Mutual Protection and Indemnity Association
St Clare House, 30-33 Minories, London EC3N 1BP, UK
shipownersclub.com t +44 (0)20 7488 0911
2015 2014 2013
32,008 33,899 32,781
2015 2014 2013
23,579,295 26,613,022 21,920,725
Manager’s comment
Key drivers to the Club’s recent performance have been high
business retention levels, coupled with organic and new Member
growth, leading to an increase in gross annual premium.
However, as a result of withdrawing from the US fishing vessel
sector, we reported a slight reduction in entered vessels, from
33,899 to 32,008. Whilst claims costs continue to rise, the Club
reported a combined ratio of 94.6%, leading to an increase
in capital and free reserves to USD 300.3 million. This was
achieved against a background of continued competition and
a strengthening US dollar. Although the average cost of claims
increased, the total value of claims, net of reinsurance, reduced
by 8% to USD 145.5 million.
Trading conditions are still challenging for many, hence the
need to continue to offer ‘insurance at cost’ with no hidden
extras. The Club has a zero release and supplementary call
strategy, and understands the need for stability of premiums
for our membership.
Africa
1%
Worldwide
11%
Middle East
and India
8%
Australia, NZ
and South
Pacific
4%
Barges
33.91%
Offshore
24.87%
Tankers
12.77%
Harbour
7.68%
Canada
and USA
3%
Fishing
3.65%
Yachts
1.6%Passengers
4.19%
Dry cargo
11.33%
Central and
South America
9%
South East Asia
and Far East
47%
Europe
17%
Total chartered GT
2015 2014 2013
n/a n/a n/a

MutualClubs
2015 2014
Income
Calls and
premiums
247,342 243,715
Excess Calls 0 0
Reinsurance
Premiums
-36,243 -30,664
Total Income 211,099 213,051
Expenditure
Net claims
incurred
-145,493 -158,462
Net operating
expenses
-54,168 -52,255
Total
expenditure
-199,661 -210,717
-11,438 2,334
Investment/other financial income -11,077 21,818
Tax/interest charged 1,057 -930
Rating A- A-
2013 2014 2015
0% 0% 0%
“Not much hits the radar at Shipowners, but this year we have seen
some high claims and not so high fall on the Club. Their financial
strength and that of the mutual system has meant business as usual.
This well run Club continues to set the standard in the small ship sector.”
Aon Comment
Fixed interest
investments
65.27%
Equities
25.92%
Deposits with
credit institutions
8.81%
Policy year 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
General
Increase %
0.0 5.0 15.0 15.0 5.0 0.0 0.0 5.0 5.0 0.0
Supplementary
Call Record %
25/0 25/0 25/0 10/0 10/0 10/0 10/0 0/0 0/0 0/0

Skuld
Assuranceforeningen SKULD
(Gjensidig), Ruseløkkvn. 26, 0251 Oslo, Norway
skuld.com t +47 22 00 22 00
2015 2014 2013
4,823 4,354 3,856
2015 2014 2013
82,200,000 81,700,000 75,600,000
2015 2014 2013
5,400,000 5,100,000 3,600,000
Manager’s comment
Skuld continues to follow a long-term growth strategy, where
diversification and innovation are key. In recent years we have developed
our marine portfolio to meet our customers’ requirements for a full
insurance package. The diversified product range is provided by
Skuld P&I and our Syndicate at Lloyd’s, Skuld 1897. Through synergies
between the two we can tailor-make new products for our members
and clients.
Keeping our objectives of controlled growth and financial strength in
mind, we continue to deliver positive results and to maintain a combined
ratio below 100%. No release calls or general increases are part of this
picture. Written premiums continue to grow and a significant portion of
growth is now driven by our non-mutual business and Lloyd’s Syndicate
1897 operation.
Skuld is a truly international organisation and together we make up
a very strong, cohesive team that will continue to abide by the Skuld
promise of delivering service and competence that our members and
clients can rely on.
Containers
11.19%
Bulk
carrier
33.82%
Asia
37%
Europe
29%
Nordic
24%
Americas
6%
Others
3%
Tanker
38.44%
Others
10.95%
General
cargo
5.60%
Total chartered GT
2015 2014 2013
n/a n/a n/a

MutualClubs
2015 2014
Income
Calls and
premiums
411,246 379,391
Excess Calls 0 0
Reinsurance
Premiums
-63,622 -56,557
Total Income 347,624 322,833
Expenditure
Net claims
incurred
-259,057 -245,554
Net operating
expenses
-87,781 -73,321
Total
expenditure
-346,838 -318,875
786 3,959
S&P Rating Jun-15 Aug-14
Rating A A
2013 2014 2015
0% 5% 15%
“Steady growth with good net underwriting results. Always with an
eye for opportunity, we are seeing a little more conservatism in their
strategy. The expansion in London with some well-respected figures
is reaping rewards.”
Aon Comment
Commodities
1%
Hedge fund
1%
Private
equity
3%
Fixed income
66%
Equities
23%
Cash
6%
Policy year 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
General
Increase %
5.0 2.5 7.5 7.5 5.0 n/a n/a n/a n/a n/a
Supplementary
Call Record %
0/0 0/0 0/0 0/0 0/0 0/0 0/0 0/0 0/0 0/0

Standard Club
The Standard Steamship Owners’ P&I Association (Bermuda) Limited
12/13 Essex Street, London WC2R 3AA, UK
standard-Club.com t +44 (0)20 3320 8888
Total chartered GT
2015 2014 2013
8,340 8,743 8,007
2015 2014 2013
111,500,000 108,500,000 109,000,000
2015 2014 2013
23,500,000 22,500,000 26,000,000
2015 2014 2013
9,900,000 7,500,000 6,400,000
Manager’s comment
The Standard Club aims to provide sustainable, good value
cover with first class financial security and excellent service to a
high quality Membership. Consistent with these aims, the Club
delivered a stable ‘break even’ underwriting performance in
2014-15, combined with conservative, selective growth.
Tonnage increased over the policy year by 3% to 135 million GT
from 131 million GT. This increase was achieved in spite of a small
reduction in tonnage at renewal, as some members were not
renewed due either to unacceptable operating standards
or an unwillingness to align their premiums with the risk brought
to the Club. The investment return was 1.8%, resulting in an
increase in free reserves of 3% (in line with tonnage) to USD
380 million. In June 2015, Standard & Poor’s affirmed the Club’s
A (strong) rating, with a stable outlook, in recognition of the
Club’s continuing financial strength and the stability of its
underwriting results.
Container and
general cargo
25%
Dry bulk
23%
Tankers
31%
Americas
15%
Other
9%
Europe
49%
Asia Pacific
27%
Passenger
and ferry
5%
Offshore
14%
Others
2%

MutualClubs
2015 2014
Income
Calls and
premiums
354,000 336,100
Excess Calls 0 0
Reinsurance
Premiums
-92,000 -82,900
Total Income 262,000 253,200
Expenditure
Net claims
incurred
-233,800 -230,900
Net operating
expenses
-28,600 -26,500
Total
expenditure
-262,400 -257,400
-400 -4,200
S&P Rating Current Rating Jun-15
Rating A A
Outlook Stable Negative
2013 2014 2015
2% 3% 7%
“A good set of underwriting results has seen the Club maintain its solid
position in the top tier. With an excellent spread of Membership, the Club is
well-placed to face the future. The Lloyd’s syndicate enjoying a great deal of
support from Members is much needed in this difficult environment.”
Aon Comment
Cash
9%
Alternatives
7.7%
Bonds
70.50%
Equities
12.8%
Policy year 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
General
Increase %
5.0 5.0 15.0 15.0 3.0 3.5 5.0 7.5 12.5 5.0
Supplementary
Call Record %
0/0 0/0 0/0 0/0 0/0 0/0 0/0 0/0 0/0 0/0

Steamship Mutual
The Steamship Mutual Underwriting Association (Bermuda) Limited
Aquatical House, 39 Bell Lane, London E1 7LU, UK
simsl.com t +44 (0)20 7247 5490
Total chartered GT
2015 2014 2013
8,798 8,831 8,782
2015 2014 2013
74,298,503 68,727,878 65,294,099
2015 2014 2013
46,000,000 45,000,000 37,000,000
Manager’s comment
The Club had a particularly strong financial performance.
Free reserves have increased by USD 75 million to USD 376.2
million, putting the capital comfortably in excess of the AAA level
of target capital measured by Standard & Poor’s. The result is
mainly due to a good underwriting performance - the financial
year combined ratio was 78.6%.
The operating performance was due in part to releases from prior
years’ outstanding claims estimates, and in part from a benign
current year claims experience.
The release on prior years’ estimates reflects the high level
of prudence built into the claims reserves; whilst this year saw
a reduction in claims. One important factor is the Club’s
measured approach to growth and a rigorous assessment of risk.
The healthy financial position of the Club enabled the Board to
set a zero standard increase at the 2015 renewal.
Tankers
23.78%
Latin
America
10%
North
America
15%
Europe
29%
Far East
40%
Bulker / general cargo
47.25%
Container
13.94%
Passenger
11.87%
Others
3.16%
Africa and
Middle East
1%
Indian
Sub-Continent
5%

MutualClubs
2015 2014
Income
Calls and
premiums
365,341 345,731
Excess Calls 0 0
Reinsurance
Premiums
-69,002 -61,699
Total Income 296,339 284,562
Expenditure
Net claims
incurred
-187,614 -232,450
Net operating
expenses
-45,421 -42,823
Total
expenditure
-233,035 -275,273
63,304 9,289
Rating A- A-
2013 2014 2015
5% 5% 15%
“Lastyear’sresultwasnothingifnotspectacularmakingtoppingthatthis
yearallbutimpossible.However,thatboasthassenttheClubupanotchand
theyhaven’tdisappointedwithasolidperformance.Theyareheavilybiased
towardstheUS,butresultsclearlyshowtheyareaheadofmanyoftheirrivals.”
Aon Comment
Entere
EnteredGTbyregion
Breakdownofinvestmentbytype
Alternative
investments
7.72%
Equities
5.65%
Cash and
deposits
24.73%
Property
1.51%
Bonds
60.39%
Policy year 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
General
Increase %
12.5 9.0 15.0 15.0 5.0 0.0 5.0 7.5 10.0 0.0
Supplementary
Call Record %
0/12.5 0/14 0/20 0/0 0/0 0/0 0/0 0/0 0/0 0/0

Swedish Club
Swedish Club
Gullbergs Strandgata 6SE-411 04 Göteborg, Sweden
swedishclub.com t +46 31 638 400
Total chartered GT
2015 2014 2013
1,076 1,040 1,013
2015 2014 2013
41,400,000 37,100,000 34,800,000
2015 2014 2013
21,700,000 17,700,000 16,600,000
Manager’s comment
The year ended on a good note with A.M. Best awarding the Club a
financial strength rating of A- (Excellent) and an issuer credit rating
of “A-”, with a stable outlook, and stating that the Club is expected
to maintain an excellent risk-adjusted capitalisation throughout
2015. The operating result was strong given the claims experience
and ongoing market conditions, with the Club recording an overall
surplus of USD 18.4 million, while free reserves reached USD 186
million. The consolidated net combined ratio of 86% was more than
satisfactory and benefits were seen from the diversity of product mix
generating a good balance and some welcome synergies.
During 2014, the P&I entries reached the 60 million GT level, of
which 40 million GT were owned entries. Loss prevention is seen
as key to the long term success of the Club and the value it provides
to its members. Throughout the year the Club has provided quality
loss prevention advice and a range of informative publications, along
with its continuing support for the Maritime Resource Management
(MRM) scheme, which contributes to the global drive to reduce large
navigational claims arising from shortcomings in human behaviour.
Tanker
17%
Europe
55%
Asia Pacific
45%
Bulk Carrier /
general cargo
35%
Passenger
1%
Container
44%
Others
3%

MutualClubs
Income Statement (year ending December) USD 000s
2015 2014
Income
Calls and
premiums
105,727 98,868
Excess Calls 0 0
Reinsurance
Premiums
-27,059 -31,792
Expenditure
Net claims
incurred
-59,689 -60,154
Net operating
expenses
-15,250 -15,713
Total
expenditure
-74,939 -75,867
3,729 -8,791
Investment/other financial income -242 7,320
Tax/interest charged 0 0
Overall result 3,487 -1,471
Free reserves (includes reserves
available to non P&I business)
186,000 168,000
Rating BBB+ BBB+
2013 2014 2015
7.5% 12.5% 20%
“Another Club that has reported some good if not spectacular results.
They rightfully have an eye on growing their Membership and the
opening of a London office is a step in the right direction. ”
Aon Comment
European
Equities
1.93%
Emerging
market USD
Corp bonds
3.31%
Emerging
market
equities
1.74%
Alternative
Investments
4.73%
EUR
Sovereign
bonds
1.16%
Euro
Corporate
/Credit
8.89%
US Treasures
33.01%
US corporate
bonds
29.98%
Global
Equities
15.25%
Policy year 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
General
Increase %
10.0 7.5 15.0 15.0 2.5 2.5 5.0 7.5 7.5 2.5
Supplementary
Call Record %
0/35 0/35 0/0 0/0 0/0 0/0 0/0 0/0 0/0 0/0

UK P&I Club
The United Kingdom Mutual Ship Assurance Association (Bermuda) Limited
Thomas Miller P&I Ltd, 90 Fenchurch Street, London, EC3M 4ST, UK
ukpandi.com t +44 (0)20 7283 4646
Total chartered GT
2015 2014 2013
4,250 3,569 3,455
2015 2014 2013
127,000,000 124,000,000 120,000,000
2015 2014 2013
100,000,000 80,000,000 80,000,000
Manager’s comment
This has been a good year for the Club. The amount of
business offered to the Club continues to grow and the Club’s
financial strength provides the foundation for the confidence
which the market has in the UK Club. However, underwriting
discipline remains paramount in our determination to protect
the Club over the medium and longer term. Disciplined
underwriting has delivered a combined ratio for the financial
year of 104%, the fifth consecutive year that the Club has
performed at or close to its target of 100%. The Club’s
portfolio of investments has produced a healthy return of 5%.
After accounting for foreign exchange difference, the surplus
has increased total free reserves to USD 449 million with a
further USD 99 million held in hybrid capital.
Bulk Carrier
/ general cargo
37.80%
Asia Pacific
38%
Europe, Middle East
& Africa
53%
Americas
9%
Tankers
26.77%
Containers
14.96%
Others
17.32%
Passenger
3.15%

MutualClubs
2015 2014
Income
Calls and
premiums
408,059 396,281
Excess Calls 0 0
Reinsurance
Premiums
-88,969 -93,502
Total Income 319,090 302,779
Expenditure
Net claims
incurred
-289,936 -268,906
Net operating
expenses
-49,522 -39,876
Total
expenditure
-339,458 -308,872
-20,368 -6,003
Free reserves
including Hybrid Capital
547,766 528,342
Free reserves
excluding Hybrid Capital
449,069 430,004
Rating A A
2013 2014 2015
10% 15% 15%
“Previous years have been a little bit of a struggle, but the turnaround
in fortunes is complete as the Club continues steady growth boasting
increased free reserves. Their decision to return 2.5% of premium for the
2014/15 policy year, whilst not huge, is to be applauded and other Clubs
should take note.”
Aon Comment
Absolute
return funds
0.04%
Cash & cash
equivalent
4.33%
Fixed interest
72.62%
Equities
23.01%
Policy year 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
General
Increase %
12.5 7.5 17.5 17.5 5.0 5.0 3.0 7.5 10.0 6.5
Supplementary
Call Record %
0/20 0/25 0/20 0/0 0/0 0/-2.5 0/0 0/0 0/-2.5 0/0

West of England
West of England Ship Owners Mutual Insurance Association (Luxembourg)
Tower Bridge Court, 226 Tower Bridge Road, London, SE1 2UP, UK
westpandi.com t +44 (0)20 7716 6000
Total chartered GT
2015 2014 2013
3,030 2,893 2,864
2015 2014 2013
67,500,000 59,300,000 53,700,000
2015 2014 2013
24,500,000 24,500,000 22,100,000
Manager’s comment
The Club’s financial position has continued to strengthen, with
the combined ratio recording its seventh consecutive year of
improvement to stand at 97.4% and free reserves growing
to a record USD 243.7 million. Claims performance remains
a key driver with Members’ own claims running at the same
consistently lower levels since 2010 and the older years again
having shown an improvement. A concentration on the provision
of core P&I and FD&D products supported by service excellence
rather than being drawn into diversification efforts which are
non-complimentary and unlikely to add value continues to be
rewarded by both existing and new Members, with significant
additional commitments to the Club now seeing the total entered
tonnage exceed 90 million GT.
Greece
20.1%
Other
5.9%
Asia Pacific
36.9%
Americas
4.3%
Other Europe
32.7%
Tanker & OBOs
30.7%
Bulk cargo
carriers
37.2%
General cargo
& reefers
10.7%
Container
17.2%
Other
1.8%
Passengers
2.5%

MutualClubs
2015 2014
Income
Calls and
premiums
216,798 203,311
Excess Calls 0 0
Reinsurance
Premiums
-40,619 -36,369
Total Income 176,179 166,942
Expenditure
Net claims
incurred
-136,280 -133,485
Net operating
expenses
-35,350 -34,854
Total
expenditure
-171,630 -168,339
4,549 -1,397
Tax/interest charged -1,146 -594
Rating BBB+ BBB
on an ETC basis
2013 2014 2015
3.7% 7.4% 14.8%
“AnothergoodyearfortheClubwhichhasseenasignificantturnaroundin
theClub’sfinancesandonewetrustwillcatchtheeyeofStandard&Poor’s.
Agreatdealofworkhasbeendoneandtocontinueinthatveinweexpecta
firmrenewalstanceinlightoftheir0%GeneralIncrease.”
Aon Comment
Absolute
return
0.0%
Fixed income
52%
Cash
29.2%
Equities
9.2%
Property
9.6%
Policy year 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
General
Increase %
12.5 5.0 15.0 15.0 5.0 5.0 5.0 7.5 7.5 2.5
Supplementary
Call Record %
20/55 20/55 20/45 30/30 30/30 30/30 30/30 35/35 35/35 35/35

P&I
Comparative
Data
Within this section of the review we bring together key
comparative data for all thirteen P&I Clubs in a user
friendly format. We have included information that
enables readers to easily compare the key performance
elements of each Club. These measurements have
previously been analysed at length in our post-February
renewal bulletin and through discussions with individual
clients. It is important to realise that each area of
comparative data has a direct impact on the financial
performance of your P&I Club. If you require a further
detailed explanation of how your Club(s) is performing
in relation to its peers in the International Group or how
any of the individual measurements impact your Club’s
overall financial performance, then please contact your
usual Aon broker or any of the London P&I team members
listed at the end of this review.

P&IComparativeData
Free Reserves. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38
Combined Ratio. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38
Overall Result Including Investment Income. . . . . . . . . . . . . . . . . . . . . . 39
Free Reserves / Net Call Income. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39
Owned Entered Tonnage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40
Lower Pooling Contributions. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40
2015 Investment Income. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 41
Data based on information supplied by the Clubs themselves

P&I Comparative Data
Notes
1. The Swedish Club’s year end is 31 December.
2. The American Club’s year end is 31 December.
3. The Japan Club’s year end is 31 March.
Combined Ratio
NB: (incurred claims + expenses) / (premium - reinsurance)
* Gard’s 2015 P&I combined ratio is 91% on ETC basis before the deferred call. The 2015 combined ratio for all classes of business is 88%.
Am
erican
Britannia
Gard
Japan
London
NorthShipowners
Skuld
StandardSteam
ship
Swedish
UK
W
est
Combied RaƟo
2015 2014
0
35%
70%
100%
140%
Am
erican
Britannia
Gard
Japan
London
NorthShipowners
Skuld
Standard
Steam
ship
Swedish
UK
W
est
Free Reserves
2015 2014
0
100,000,000
200,000,000
300,000,000
400,000,000
600,000,000
500,000,000
700,000,000
800,000,000
900,000,000
1,000,000,000
Free Reserves (USD)
* Gard’s 2015 overall result is after deduction in deferred call of USD 37 million.
** Swedish Club and Gard free reserves includes reserves available to non P&I business.
*** The UK Club’s free reserves include Hybrid Capital.

P&IComparativeData
Britannia
Am
erican
Japan
Gard
London
NorthShipowners
Skuld
StandardSteam
ship
Swedish
UK
W
est
Overall Result including Investment Income
-10,000,000
0
20,000,000
40,000,000
60,000,000
80,000,000 2015 2014
Overall Result Including Investment Income (USD)
* Gard’s 2015 overall result is after deduction in deferred call of USD 37 million. As Gard no longer provide an overall result for
P&I only the above figures include all classes of business.
Am
erican
Britannia
Gard
Japan
London
NorthShipowners
Skuld
Standard
Steam
ship
Swedish
UK
W
estFree Reserves /Net Call Income
2015 2014
0%
75%
150%
225%
300%
Free Reserves / Net call Income
Free reserves shown as a percentage of net call income.
Net call income reflects the Club’s assessment of current and future exposure and free reserves are the Club’s safety net.
The greater the ratio between free reserves and net call income the greater the Club’s safety net.
* Swedish Club and Gard free reserves includes reserves available to non P&I business.
** The UK Club’s free reserves include Hybrid Capital.

Am
erican
Britannia
Gard
Japan
London
NorthShipowners
Skuld
Standard
Steam
ship
Swedish
UK
W
est
Owned Entered Tonnage
2015 2014
0
50,000,000
100,000,000
150,000,000
200,000,000
Owned Entered Tonnage (GT)
Lower Pooling Contributions
* Provisional current year pooling contributions.
Am
erican
Britannia
Gard
Japan
London
NorthShipowners
Skuld
Standard
Steam
ship
Swedish
UK
W
est
Lower Pooling ContribuƟons
2015
0%
5%
10%
15%
20%

P&IComparativeData
Am
erican
Britannia
Gard
Japan
London
NorthShipowners
Skuld
Standard
Steam
ship
Swedish
UK
W
est
2015 Investment Income
2015
-1%
1%
3%
5%
7%
Investment Income - 2015 Financial Year End
* Britannia investment reduced to 0.4% after impact of strong US dollar.
Current Year Investments
As has been well reported, following the financial
downturn in 2008, all P&I Clubs have taken a more
conservative approach to their investment strategies,
instead focusing on underwriting discipline. Whilst this
moderates the return that any Club is likely to achieve,
usually within the realms of a few percent, it also certainly
has the effect of reducing some of the potential negative
investment volatility.
Although in recent years the investment returns have
been modest and therefore do not generally require
much further comment, given the current volatility in
the investment environment, most Clubs, especially
those with a higher exposure to equities, are likely to
be adversely affected as at the 2015/16 mid-year point.
Whilst patterns of growth remain mixed across the
global economy, with some advanced economies
performing well, growth within the major emerging
market economies has been weaker than expected which
triggered sharp declines in global financial markets in
the summer of 2015. The increase in volatility has been
evident across equity, bond and currency markets which
again will likely have adversely affected those Clubs with
a higher equity portfolio. Prior to this decline, markets
had been fairly flat since the beginning of the 2015 year.
Although it clearly depends on the coming six months,
we believe it is likely that the investment return across
the Clubs will be lower than previous years, which will
ultimately have some impact on the financial results.
This will of course have more of an impact for those Clubs
running with a combined ratio above break even, which
in recent years would usually be cushioned by a small
investment surplus. That said we would hope that the
conservative investment strategies adopted by the Clubs
would limit any substantial negative impact and indeed
given that the Club’s currently hold record levels of free
reserves, they are well placed to weather any modest
investment volatility.

P&I Club
Market
Reference

P&IClubMarket
Reference
2015 Policy Year Mutual Reinsurance Structure . . . . . . . . . . . . . . . . . . . 44
Excess of Loss . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 44
2014 and 2015 Policy Year Rating Comparison. . . . . . . . . . . . . . . . . . . . 44
Group Excess Reinsurance Historical Rating 2006-2015. . . . . . . . . . . . . 45
Pooling . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 45
Group Reinsurance Structure - 2015/16 Policy Year. . . . . . . . . . . . . . . . 46
Release Calls. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 46
P&I Class Supplementary Call History . . . . . . . . . . . . . . . . . . . . . . . . . . 47
P&I Class General Increase History . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 47

2015 Policy Year Mutual
Reinsurance Structure
Excess of loss
The 20 February 2015 renewal was a welcome relief
for shipowners after a difficult few years with General
Increases from Clubs exacerbated by large increases in
the cost of the International Group’s Excess of Loss
reinsurance programme.
We saw small General Increases across the International
Group with the Steamship Mutual and Shipowners’ Club
opting for no increase at all. The rating of all types of
cargo vessels for the Excess of Loss contract were reduced
by reasonable amounts. Unfortunately, passenger vessels,
still suffering the fallout from the Costa Concordia claim,
did not benefit from a reduction. There have been no
claims since the Smart bulk carrier wreck removal reached
the USD 80 million level required to hit the Excess of Loss
reinsurance programme. There have been significant
claims under that level, notably involving ferries. We
mentioned the Amadeo 1 in this review last year, which
has now been finalised at a significantly higher cost than
initially expected. As well as this there have been the total
losses of the Norman Atlantic and Sorrento both caused by
fires. The estimates on these two claims are unclear at the
time of writing, but could potentially sneak above the
USD 80 million level. Claims like this could increase the
pressure on the International Group Reinsurance
sub-committee from strictly cargo vessel Clubs to
not allow a reduction on the passenger ship rating.
The vast majority of the Clubs passed the reduction in
costs straight through to owners rather than attempting
to keep the money for themselves. There was however a
couple of Clubs who initially advised they would not be
passing the saving back to Members. This, in Aon’s view,
is completely unacceptable given all increases have been
passed on to the Membership. The offending Clubs did
tend to back down after coming under pressure. As was
the case last year we would like to repeat our praise of
the West of England who treats the International Group
Excess of Loss reinsurance as a completely separate cost
unlike all other Clubs who apply the General Increase to
premiums including the reinsurance rates. This means
that over successive General Increases the increases in
reinsurance cost we have seen over the last couple of
years are compounded. As we stated last year, the West of
England deserve more recognition than they receive for
their transparent policy on this matter.
The structure of the International Group Excess of
Loss programme remained very similar at 20 February
2015. The main differences are Hydra taking further
co-reinsurance positions in the first layer and a further
5 percent long-term placing with Liberty replicating the
deal done with Berkshire Hathaway the previous year.
Historically separate rating categories, determined by
vessel types, have been utilised to allocate premium and
this format continued for the 2014/15 policy year with
upward variations in the individual rating categories as
shown below:
2014 and 2015 Policy Year Rating Comparison
Vessel Type 2014/15 2015/16 Difference Difference
Dirty Tankers 0.7963 0.7317 - 0.0646 -8.11%
Clean Tankers 0.3415 0.3138 - 0.0277 -8.11%
Dry Cargo 0.5203 0.4888 - 0.0315 -6.05%
Passengers 3.7791 3.7791 0.0000 0.00%
Above figures are expressed as USD per GT per annum

P&IClubMarket
Reference
Pooling
The International Group pooling structure was left
relatively unchanged at the 20 February 2015 renewal.
Despite pressure from the larger Clubs the Individual
Club Retention remained at USD 9 million.
We mentioned last year we expected that to increase to
USD 10 million shortly and it has now been announced
that the Individual Club Retention will be increased to
USD 10 million on 20 February 2016.
The other major pool limits stayed the same as the last
renewal with the pool limit remaining at USD 80 million,
while the International Group is looking to increase the
participation of Hydra in the Excess of Loss contract. Hydra
now takes 60 percent of the USD 80 million – USD 120
million layer and also a 10% share of the USD 80 million
– USD 100 million layer. We predicted the increased
involvement of Hydra last year and expect Hydra to take
more of the risk away from the commercial market in the
short to medium term.
The Top Pool continues to cover the USD 60 million
to USD 80 million layer. This layer also maintains the
5 percent individual Club retention for the Club that
brought the claim to the pool. The rest of the pool
structure beneath this level remains the same with the
10% individual Club retention in the USD 15 million in
excess of the USD 45 million layer. This means that for a
claim that reaches all the way through to the Excess of
Loss contract, the Club bringing the claim to the pool will
retain USD 12.5 million in total before their contribution to
the pool will be affected, assuming no further changes at
this coming renewal.
With a soft reinsurance market, reinsurer capital being
at an all-time high and a continued absence of major
catastrophe losses, increasing the current pool limit of
USD 80 million is unlikely to benefit the International
Group. Instead of taking further risk by increasing pool
limits, we expect the International Group will look to
utilise the capacity of Hydra by further co-reinsurance
on the Excess of Loss programme.
Claims that exceed the overall limit of the Group’s Excess
Reinsurance contract, including the reinsured overspill
layer are then pooled among the Group Clubs. The overall
limit for this overspill remains unchanged at 2.5% of the
limitation funds under the 1976 Limitation Convention for
all mutual ships entered in the Group Clubs.
Group Excess Reinsurance Historical Rating 1998-2013
‘06 ‘07 ‘08 ‘09 ‘10 ‘11 ‘13 ‘14 ‘15‘12
Dry cargo
Year
USD
per
GT
per
annum
Dirty tankers
Passenger
Clean tankers
0.0
0.5
1.0
1.5
2.0
2.5
3.0
3.5
4.0
Group Excess Reinsurance Historical Rating 2006-2015

Group Reinsurance Structure – 2015/16 Policy Year
Release Calls as at August 2015
Oil Pollution
USD
1,000 million
USD
1,000 million
USD
500 million
USD
500 million
USD 20 million
USD 15 million
USD 15 million
USD 21 million
USD 9 million
USD 3,080 million
USD 2,080 million
USD 1,080 million
USD 580 million
USD 80 million
USD 60 million
USD 45 million
USD 30 million
USD 9 million
Owned Entries
USD 3,100 million
USD 2,100 million
USD 1,100 million
Protection & Indemnity
Collective Overspill
One Reinstatement
Third Layer
Unlimited Reinstatements
Second Layer 90%
Second Layer 90%
First Layer
First Layer
Coinsurance 30%
Reinsured
by Hydra
Coinsurance 30%
Reinsured
by Hydra
Hydra 30% Hydra 30%
*
*
*
*
*
*
*
*
*
*
*
*
5% ICR
10% ICR Upper Pool USD 45 million – USD 60 million reinsured by Hydra
Lower Pool USD 30 million – USD 45 million reinsured by Hydra
Lower Pool USD 9 million – USD 30 million
Individual Club Retention (ICR)
Top Pool USD 60 million – USD 80 million reinsured by Hydra
American Britannia Gard Japan London North Shipowners Skuld Standard Steamship Swedish UK West*
2013 20 7.5 5 5 12.5 5 0 0 2 5 7.5 10 3.7
2014 20 7.5 15 5 15 5 0 5 3 5 12.5 15 7.4
2015 20 15 20 5 15 20 0 15 7 15 20 15 14.8
* Coinsurance 5% reinsured by Hydra USD 80 million – USD 100 million.
** 5% reinsurance by Berkshire Hathaway from USD 100 million – USD 1.1 billion on a multi-year fixed placement basis.
* West of England’s Release Calls percentages are provided on an ETC basis so they are comparable with the other clubs.
Release Calls
We reported last year that Release Calls remained a
significant issue of debate both within and outside of the
International Group. The view of Aon has always been that
many Clubs use Release Calls as a deterrent to prevent
ship owners moving their business and unfortunately
nothing significant has happened in the last 12 months
to change our thoughts on the matter. It is important we
highlight that over the last couple of years some Clubs
have made significant strides in bringing Release Call
levels in line with the actual exposure the Club has to
making Supplementary Calls. The Standard Club, Skuld,
Britannia and Japan Club stand out, as of course does
the Shipowners’ Club, which has abolished the concept
completely. The Shipowners Club is subject to much
greater competition from the commercial market than the
big ship Clubs which influences their Release Call policy.
The Release Calls of many of the strongest Clubs in the
International Group are still far too high in our opinion and
we hope that this time next year we will be able to report
more Clubs following the example of those highlighted
above and aligning them more accurately with the
potential exposure.

P&IClubMarket
Reference
P&I Class General Increase History
P&I Class Supplementary Call History
Original estimate/actual or current estimate as percentage of advance call/estimated total call as applicable.
Percentage of advance call/estimated total call as applicable including any change in budgeted supplementary call estimate.
Excess Supplementary Call
Reduced Supplementary Call
* includes the effect of an increase in budgeted supplementary call.
** includes the effect of an increase in budgeted supplementary call, however the increase applied to members’ accounts was 7.5% rebate on advance call.
Policy Year 06/07 07/08 08/09 09/10 10/11 11/12 12/13 13/14 14/15 15/16
American Club 0/35 0/30 0/25 20/20 25/25 25/25 0/0 0/0 0/0 0/0
Britannia 30/30 30/30 40/40 40/32.5 40/40 40/40 40/40 45/45 45/37.5 45/45
Gard 25/20 25/25 25/25 25/10 25/15 25/20 25/15 25/15 25/15 25/25
Japan Club 30/60 30/30 30/30 40/40 40/50 40/40 40/40 40/40 40/40 40/40
London Club 40/89 40/89 40/75 40/40 0/0 0/0 0/0 0/0 0/0 0/0
North of England 0/0 0/0 0/0 0/0 0/0 0/0 0/0 0/0 0/0 0/0
Shipowners Club 25/0 25/0 25/0 10/0 10/0 10/0 10/0 0/0 0/0 0/0
Skuld 0/0 0/0 0/0 0/0 0/0 0/0 0/0 0/0 0/0 0/0
Standard 0/0 0/0 0/0 0/0 0/0 0/0 0/0 0/0 0/0 0/0
Steamship 0/12.5 0/14 0/20 0/0 0/0 0/0 0/0 0/0 0/0 0/0
Swedish 0/35 0/35 0/0 0/0 0/0 0/0 0/0 0/0 0/0 0/0
UK Club 0/20 0/25 0/20 0/0 0/0 0/-2.5 0/0 0/0 0/-2.5 0/0
West of England 20/55 20/55 20/45 30/30 30/30 30/30 30/30 35/35 35/35 35/35
Policy Year 06/07 07/08 08/09 09/10 10/11 11/12 12/13 13/14 14/15 15/16
American Club 10.0 10.0 20.0 7.5 0.0 2.0 5.0 10.0 10.0 4.5
Britannia 2.5 5.0 23.8* 23.8 5.0 5.0 5.0 16.5** 2.5 2.5
Gard 7.5 5.0 10.0 15.0 0.0 0.0 5.0 5.0 5.0 2.5
Japan Club 0.0 10.0 20.0 20.0 12.5 10.0 3.0 5.0 7.5 3.0
London Club 12.5 7.5 17.5 15.0 5.0 5.0 5.0 12.5 10.0 6.0
North of England 7.5 7.5 20.0 17.5 5.0 3.0 5.0 15.0 7.5 4.75
Shipowners Club 0.0 5.0 15.0 15.0 5.0 0.0 0.0 5.0 5.0 0.0
Skuld 5.0 2.5 7.5 7.5 5.0 n/a n/a n/a n/a n/a
Standard 5.0 5.0 15.0 15.0 3.0 3.5 5.0 7.5 12.5 5.0
Steamship 12.5 9.0 15.0 15.0 5.0 0.0 5.0 7.5 10.0 0.0
Swedish 10.0 7.5 15.0 15.0 2.5 2.5 5.0 7.5 7.5 2.5
UK Club 12.5 7.5 17.5 17.5 5.0 5.0 3.0 7.5 10.0 6.5
West of England 12.5 5.0 15.0 15.0 5.0 5.0 5.0 7.5 7.5 2.5

Specialist
Markets

SpecialistMarkets
British Marine . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 50
Carina. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 51
Eagle Ocean Marine . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 52
Hanseatic . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 53
Hydor . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 54
Lodestar . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 55
Navigators . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 56
Osprey . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 57
RaetsMarine . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 58
Charterama. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 59
Charterers Club. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 60
Norwegian Hull Club . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 61
Specialist Market Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 62
Commentary on individual insurers has been supplied by Aon and the insurers themselves.

British Marine
Plantation Place, Fenchurch St, London, UK EC3M 3BD
british-marine.com t +44 (0)20 7105 5555
Key Data
Carrier: QBE
S&P Rating: A+
Limit of Cover: USD 1 billion
Annual P&I Income
Entered Tonnage
Number of Vessels
2014 2013 2012
97,500,000 100,000,000 106,000,000
2014 2013 2012
10,600,000 11,000,000 12,000,000
2014 2013 2012
7,300 7,500 9,500
Aon Comment
British Marine was established in 1876 and as such is the longest running
fixed premium P&I insurer, offering P&I, Charterers liability, H&M and
Defence products. They specialise in small to medium size tonnage and
can offer limits up to USD 1 billion for P&I, which was only recently rivalled
by its competitors. British Marine is undoubtedly one of the leading fixed
premium insurers and is certainly known for having one of the most
experienced claims teams in the fixed premium arena, which continues to
be a tremendous asset in a market which is otherwise mostly price driven.
Manager’s comment
We consider a wide range of vessel types, although our preference
is for smaller vessels typically below 15,000 GT. We have a high
level of experience in the offshore sector and offer a comprehensive
package of contractual and specialist operations liabilities as a
complement to P&I placement. We are also one of the larger super-
yacht underwriters. As the longest established P&I provider in the
fixed premium sector, British Marine certificates are widely accepted
by most flag states and port authorities. The fixed premium market
has seen increased competition in recent years as new capacity
has joined the market putting pressure on rating, which continues.
Our joint venture with our colleagues in QBE Asia Pac ,“QBE Asia
P&I”, continues to progress well in what is a very competitive and
price sensitive market. BM continues to write a substantial book of
small vessels’ H&M business (100% basis and in house claims and
processing), in conjunction with our QBE Syndicate 1036 colleagues.
Other
4%
Fishing
8% Unitised
6%
Bulk
22%
Insured GT by vessel type
Tank
7%
Miscelleneous
carriers
10%
Eastern
Europe and
Central Asia
7%
Asia Pacific
3%
Others
12%
Tonnage split by region (%)
Tonnage split by vessel type (%)
General Cargo
23%
Bulk
22%
Tug/Barge
13%
Smooth
water
7%
Middle East
11%
Far East
15%
Americas
17%
North and South
Europe
35%

SpecialistMarkets
Carina
Regis House, 45 King William Street, London, UK EC4R 9AN
carinapandi.com t +44 (0)20 7407 3588
Key Data
Carrier: 100% Lloyd’s
S&P Rating: A+
Limit of Cover: USD 500 million
Annual P&I Income
Entered Tonnage
Number of Vessels
2014 2013
10,000,000 Not available
2014 2013
3,000,000 2,000,000*
2014 2013
approx. 4,825 approx. 4,250
Aon Comment
Carina is a fixed premium facility, managed by Tindall Riley Marine
(UK) Limited, (also managers of Britannia P&I Club) offering P&I cover
for owners and charterers of smaller ships up to 5,000 GT. Although
Carina are one of the only fixed providers that have been true to
their selected portfolio of vessels, specifically under 5,000 GT, they
have certainly seen strong growth in tonnage due to their ability to
be competitive on the smaller ships. Cover is provided up to USD 500
million and is backed by Lloyds A+ rated security.
Manager’s comment
Over the past 12 months, the facility has seen its book of
business grow by 50% in terms of tonnage. This has been due
to existing insureds adding to their existing fleets and new
insureds purchasing cover from Carina. The products offered
include owners’ and charterers’ P&I cover of up to USD 500
million and a variety of ancillary covers. Last year we launched
the Carina Yachts P&I Cover, which is a fixed-premium product
for yacht owners, managers and charterers. Once again, all
policies are backed by underwriters at Lloyd’s. The vast majority
of shipowners insured by Carina trade regionally. Around 75% of
insured ships are below 500 GT; most of these ships are harbour
craft or operate in inland waterways. We are very pleased with
Carina’s excellent renewal retention rates in a market that is
extremely competitive. Our aim continues to be the provision
of a first class service to insureds and their brokers.
* As at 1st July 2014
Other
2%
Fishing
2%
General Cargo
4%
Tug/Barge
4%
Ferry
4%
Tank
9%
Europe
62%
Asia Pacific
26%
Barge
75%
Others
5%
Americas
7%

Europe, Middle
East and Africa
11%
Tanker Dirty
1%
Eagle Ocean Marine
c/o Eagle Ocean Agencies, Inc. One Battery
Park Plaza - 31st Floor, New York, NY 10004
United States
eagleoceanmarine.com t +1 212 847 4600
Key Data
Carrier: American Club
S&P Rating: BBB-
Annual P&I Income
Entered Tonnage
Number of Vessels
2014 2013 2012
7,000,000 6,500,000 6,000,000
2014 2013 2012
898,000 760,000 601,000
2014 2013 2012
465 268 263
Aon Comment
Formed in 2010 Eagle Ocean Marine is operated by Eagle Ocean Agencies
which is an affiliate of Shipowners Claims Bureau, Inc., managers of the
American P&I Club. This allows the facility to draw upon some of the
expertise and service of the American Club including the ability to issue
American Club guarantees. Eagle Ocean have recently increased their P&I
limit from USD 100 million to USD 500 million, which comes shortly after
an increase from USD 50 million in recent years. We believe this increase in
limit will assist the team with further growth of the Eagle ‘book’ given the
ongoing trend of a higher limit offering from the fixed arena.
Manager’s comment
With security provided by the American Club, Eagle Ocean Marine
(EOM) has continued to see stable growth over the past year, building
their book of business whilst maintaining a conservative approach to
underwriting. Since February 2015 EOM has capacity to offer cover up
to USD 500 million. This gives EOM the ability to compete for accounts
requiring higher limits of liability. EOM continues to have a strong
presence in China and South East Asia, following a commitment by the
American Club to increase its representation in the area. EOM has also
benefited from having the ability to issue American Club guarantees,
enhancing its claims handling service and American Club blue cards,
which are recognised worldwide. The facility also enjoys a relatively
low cost base, reducing the pressure to grow simply to meet
operational overheads.
Asia Pacific
59%
Others
33%
Tank
23%
General Cargo
23%
Container Ship
7%
Other
3%
Tug/Barge/Offshore
32%
Dry Cargo
48%
South and South
East Asia
68%
Americas
3%
Greater
China
18%
Tanker Clean
9%

SpecialistMarkets
Hanseatic P&I
c/o Zeller Associates Management Services
GmbH, Kreuzfahrtcenter, Van-der-Smissen-Str. 1, 22767
Hamburg, Germany
hanseatic-underwriters.com t +49 40 3890739 0
Key Data
Carrier: Hanseatic Underwriters Consortium
S&P Rating: A+
Annual P&I Income
Entered Tonnage
Number of Vessels
2014 2013 2012
21,000,000 19,500,000 19,700,000
2014 2013 2012
2,850,000 2,700,000 2,400,000
2014 2013 2012
1,720 1,610 1,560
Aon Comment
Hanseatic P&I is an insurance consortium managed exclusively by Zeller
Associates Management Services GmbH and provides fixed premium P&I
up to limits of USD 500 million, backed by Lloyd’s security. The consortium
has diversified its risk appetite on a geographical basis, although it retains a
focus on small to medium-sized general cargo and container vessels as well
as liquid cargo and dry bulkers. The London based representative office still
continues to be a key element to the steady growth of Hanseatic through
the London broking community. Hanseatic maintain a strong focus on the
Northern European market.
Manager’s comment
The business continues to grow on the back of sensible and sustainable
pricing and the on-going development of our geographical presence
has been highly encouraging. We have managed a growth in written
business of over 10% in 2014 and anticipate another 15% overall in
2015. The underwriting result has also developed exceptionally well.
We have always believed that a cautious and technically sound approach
to our operations would reward our participants, a view reflected
in their continued support. Being able to offer a fully Lloyds-backed
product, with a team which adds benefit for our clients by both its
general marine expertise as well as specific insurance pedigree, bodes
well in the actual market environment. We are the only international
P&I insurer to have been approved by China beyond the International
Group clubs, which tells its own story. Furthermore Hanseatic P&I is
fully approved by Japan, India and Australia.
Containership
15%
Asia Pacific
22%
Europe
69%
Americas
5%
Others
4%
Bulk
22%
General Cargo
46%
Tug/Barge
7%
Ro/Ro
2%
Other
4%
Fishing
3%
Tank
1%

Hydor
Jonasmyra 20, 1390 Vollen
Norway
hydor.no t +47 2241 5000
Key Data
Carrier: Brit Syndicate 2987
S&P Rating: A+ Strong
Annual P&I Income
Entered Tonnage
Number of Vessels
2014 2013 2012
14,000,000 9,000,000 5,000,000
2014 2013 2012
1,657,000 1,300,000 1,200,000
2014 2013 2012
560 388 306
Aon Comment
Hydor was established in 2010 and began writing business in 2011
for vessels up to 10,000 GT. The facility is backed by 100% Lloyd’s
security through Brit Syndicate 2987 and offers owners P&I, charterers
liability and defence products up to a USD 1 billion limit. Hydor have
continued to take a unique approach to the claims handling process
and outsources this function to C Solutions Limited which is a legal
and claims consultancy.
Manager’s comment
Hydor AS has in the past year further positioned themselves
as a professional fixed priced Owners’ and Charterers’ P&I
facility, providing customised solutions for clients internationally.
Hydor AS continues to shape their competitive edge, thus
working with the client, rather than for the client to sustain in a
highly competitive market. We have seen a shift in focus towards
fixed P&I and we attract new segments which traditionally have
been placed 100% in the International Group (IG) system.
Our aim is to be complimentary to IG and attract those who want
an alternative with 1st class service and security outside the IG.
Fishing
17%
Bulk
16%
Tank
8%
Europe
78%
Asia
Pacific
8%
Americas
9%
General Cargo
27%
Tug/Barge
13%
Containership
19%
Others
5%

SpecialistMarkets
Lodestar Ltd
35 Seething Lane,
London, UK EC3N 4DQ
lodestar-marine.com t + (0)20 7068 8300
Key Data
Carrier: RSA
S&P Rating: A
Number of Vessels
2014 2013 2012
2,000 1,623 963
Aon Comment
Since its launch in September 2012 Lodestar has seen steady growth in
what still remains a very competitive market. The Lodestar underwriting
and claims team are widely considered to be highly experienced which
has certainly attributed to the growth and ongoing broker support.
Lodestar can now offer fixed premium P&I up to a limit of USD 1 billion,
which is among the highest in the fixed market, as well as Charterers
liability and FDD covers. They have maintained their RSA A rated
security and their security is widely accepted including in some of the
more challenging parts of the world such as India, Japan and Malaysia.
Manager’s comment
Notwithstanding difficult market conditions we continue
to grow without sacrificing our underwriting principals
or compromising our pricing model. We continually seek
quality new business to supplement our existing portfolio
which boasts a +95% renewal retention. At our clients
request we’ve enhanced our product and can now offer
limits up to USD 1 billion and write dry cargo/bulker vessels
up to 40,000 GT. Loss prevention surveys play a key part in
our development, the theory being that if we can stop
a claim happening it lessens the chance of having to ask for
more premium. Our ancillary cover package has also been
enhanced resulting in a surge of offshore business and all
other categories of business have also grown. We continue
to travel extensively doing our best to meet as many of our
existing and potential clients as possible.
Entered Tonnage
2014 2013 2012
3,427,958 2,756,154 1,777,512
Annual P&I Income
2014 2013 2012
30,000,000 25,000,000 n/a
Tug/Barge
12%
Tank
7%
Offshore
6%
Others
11%
Americas
10%
Asia Pacific
21%
Europe
58%
Bulk
13%
Fishing
3%
Ro/Ro
8%
Ferry
2%
Containership
5%
Yachts
1%
General Cargo
41%
Dredger
2%

Navigators P&I
7th floor, 2 Minister Court, Mincing Lane,
London, UK EC3R 7BB
navg.com t +44 (0)20 7220 6900
Key Data
Carrier: Navigators
S&P Rating: A strong
Number of Vessels
2014 2013 2012
1,000* 1,575 1,680
Aon Comment
Established in 2004, Navigators is a fixed premium facility providing
P&I to shipowners and charterers. Re-insurance is provided by Navigators
Insurance Company and the risk appetite remains consistent for most vessel
types under 10,000 GT but excluding passenger vessels and those with
US Flag/ US trading. Navigator’s has also recently increased their fixed P&I
limit from USD 500 million to USD 1 billion in line with the upward trend in
increasing limits. In what remains a challenging environment for the fixed
insurers, Navigators have recently appointed Jason Riley to head the P&I
team. This strengthening of the management will undoubtedly support
the team’s further growth and stability in the years to come.
Manager’s comment
Navigators P&I division celebrated our 10th anniversary in November,
confirming us as one of the more established Fixed Premium providers
in the market. We remain one of the few non-MGA providers, giving
us long-term stability that few in the marketplace enjoy; we are fully in
control of our own destiny. With the recent hire of Jason Riley from the
UK Club, to head up the operation, our P&I product is undergoing a
series of enhancements. There are a number of projects in the pipeline
that will take us forward in line with the changing needs of our clients.
Now being able to offer cover up to USD 1 billion, we are becoming
a very credible threat to the P&I Clubs, although for the time being
we will stick to our core vessel tonnage category of around 10,000 GT.
The soft market conditions make it difficult in a very crowded market,
especially as most of the P&I Clubs themselves have woken up to
the threat on their doorsteps, and Owners still look to price being
a significant factor in their insurance decision-making.
Entered Tonnage
2014 2013 2012
1,900,000 2,000,000 2,100,000
Annual P&I Income
2014 2013 2012
20,000,000 21,430,000 22,000,000
* As at June 2015
Containship
2%
Bulk
4%
Other
3%Tanker
6%
Tug
18%
Americas
23.10%
Others
16.20%
Asia
50.70%
Europe
11%
General
31% Fishing
10%
Barge & Supply
26%

SpecialistMarkets
Osprey
Fountain House, 8th Floor, 130 Fenchurch Street,
London, UK EC3M 5DJ
osprey-uwr.co.uk t +44(0)20 7283 1277
Key Data
Carrier: Lloyd’s of London
S&P Rating: A+
Number of Vessels
2014 2013 2012
2,100 1,800 2,500
Aon Comment
Osprey was formed in 1991 and as such is a well-established marine
insurance and fixed premium P&I provider. It should be noted that
Osprey recently announced that subject to regulatory approval,
Thomas Miller, a leading international provider of insurance and
managers of the UK P&I Club, ITIC and TT Club, recently acquired
a majority shareholding in Osprey Underwriting Agency. We would
anticipate this acquisition by the well-respected Thomas Miller group
to be well received by the market and indeed by Osprey’s existing
clients. It will undoubtedly also allow Osprey a platform for further
growth into the wider insurance market.
Manager’s comment
The past year has continued to be a competitive environment for
the development of new business, with competing markets more
determined on market share at any price. That said we have been
successful in positive expansion, albeit with high regard for risk
and exposure. Our proportion of non-US business has increased
as we have sought to continue the development of this part of our
account. In addition to P&I, the Agency continues to offer P&I war
risks, Hull & Machinery to USD 5 million value, Marine General
Liability and Maritime Employers liability coverage. We offer an
MLC financial guarantee product that is already compliant with
the proposed amendments due to be implemented by December
2016 as well as the provision of ‘Blue Cards’ that Owners are
required to provide in respect of Wreck Removal and Bunker
Pollution conventions, all secured by Lloyds.
Entered Tonnage
2014 2013 2012
n/a n/a n/a
Annual P&I Income
2014 2013 2012
27,500,000 30,000,000 38,500,000
South
America
6%
Europe
6%
Others
2%
Others
24%
Asia/Middle East
32%
North America
54%
Fishing
16%
Tug/Barge
40%
Offshore
18%
General
Cargo
2%

RaetsMarine BV
Fascinatio Boulevard 622, 2909 VA CAPELLE
A/D IJSSEL, the Netherlands
raetsmarine.com t +31-10-2425 000
Key Data
Carrier: Amlin Overseas Holding Limited
S&P Rating: A+
Number of Vessels
2014 2013 2012
21,500 21,000 23,000
Aon Comment
RaetsMarine is a specialist P&I and Marine insurance provider. Founded
in 1993, RaetsMarine Insurance B.V. is a 100% subsidiary of Amlin Plc
providing Shipowners’ P&I, Charterers Liability (including Damage To Hull)
and Multimodal solutions at fixed cost up to limits of USD 1 billion. Although
the fixed market has generally faced downward pressure on rating due to
competition, strong service and an innovative approach to underwriting
means RaetsMarine have maintained a steady position in the market in
recent years.
Manager’s comment
Shipowners are facing a difficult economic environment and an
increasing complexity of marine risks. Next to the increasing limits
on conventions and the increasing cost of casualties, it is obvious that
there is a challenge for both the ship owners and the fixed premium
providers. The fixed premium market is developing very quickly. It has
proven to be a real substitute for the International Group. The best
proof of this is the diversification of some members of the International
Group into fixed premium. The question that will be answered in the
near future is how the members of these Clubs will react to the fixed
premium placements within these Clubs. Brokers will have to explain
why some are in the mutuality and others are fixed premium as they are
servicing both markets. The increasing capacity in fixed premium has
put pressure on the rates. This competition is forcing the fixed premium
providers to be more creative, flexible and innovative. This has always
been the strength of RaetsMarine and is in our DNA.
Entered Tonnage
2014 2013 2012
15,500,000 15,366,000 15,806,600
Annual P&I Income
2014 2013 2012
78,500,000 77,500,000 77,000,000
Russia & CIS
1%
Middle East
8%
Africa
2%
Tank
6% Containership
1%
Tank
6%
Yachts
2%
Bulk
20%
Other
32%
Tug/Barge
17%
General
Cargo
19%
Far East
34%
Europe
46%
Americas
9%
Fishing
3%

SpecialistMarkets
Charterama BV
Veerkade 1
3016 DE Rotterdam
charterama.nl t +31(0)10 741 0 741
Key Data
Carrier: Royal & Sun Alliance Insurance Plc,
United Kingdom
S&P Rating: A
Annual P&I Income
2014 2013 2012
10,500,000 10,000,000 8,300,000
Aon Comment
Despite entering a congested arena, Charterama is becoming
a prominent player in the charterers market and continues to
see an expansion in their book of business and team of people.
Manager’s comment
Service and knowledge/experience are our main strengths.
Despite a highly competitive market we are glad to attract
quality clients, whose choice is not driven by price alone.
We take our clients seriously and we get respect in return.
Also the combination of having an office in Hong Kong,
the strong security of RSA and our increased limits contribute
to being a recognised provider in the higher segment of the
charterer’s liability market with top end operators/traders
amongst our clients.
Containership
2%
Other
2%
General Cargo
30%
Tank
18%
Bulk
47%
Others
4%
Asia Pacific
24%
Europe
61%
Americas
11%
Tug/Barge
1%

Aon's P&I review 2015

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