ViganSailors SocietyTBA GroupTMS Awards 2023Van AalstBühler GmbH
  • Vigan
  • Port of Stockton
  • TBA Group
  • Cimbria
  • Van Aalst
  • Telestack

North’s strategy rises to challenges

North’s strategy rises to challenges

(Posted on 26/05/21)

Following a challenging period for the global economy and shipping in a year which saw a record level of International Group (IG) pool claims, North is reporting positive returns for its 2020-2021 financial year.

North’s recently published Annual Review posts robust growth across a number of diversified lines and, at 6.67% (equivalent to US$64.5M), its highest return on investments for many years.

In continuing its transformation from a monoline P&I Club to a diversified global marine insurer, North achieved premium income growth of US$60M across its mutual and diversified business lines, reaching US$406M. Thya Kathiravel, North’s Chief Underwriting Officer, commented that “year on year, premium increases were especially notable for Sunderland Marine Hull, P&I and Aquaculture lines and the newer, diversified Owners’ Fixed Premium P&I as well as North’s Hull facilities.”

Ed Davies, Chief Financial Officer, North, commented: “Prudent growth through diversification provided shelter during a year when 19 claims were made via the pooling arrangements shared between the 13 IG clubs with an unprecedented value of US$463M. North absorbed over US$90M in pool costs for the financial year despite experiencing no pool claims in that period.”

North’s 113.7% combined ratio represented a “positive achievement given the twin pressures of pool claims and Covid-19”, following the peak of 125% for 2019-2020 year, he added.

COVID-19 had made 2020-2021 “a year like no other for all of us, and especially for seafarers”, said Paul Jennings, Chief Executive, North. “COVID-19 variants also mean that crew transfers are again becoming complex, while the pandemic’s long-term impact on the global economy is uncertain.”

“Working lives at North also changed in 2020-2021, although our offices have gradually reopened, with North’s Newcastle head office due to follow in the weeks ahead. Despite COVID-19 and an extraordinary level of pool claims, North’s core financial strength and diversification continue to inspire confidence.” In fact, North’s free reserves increased by US$6M, to US$450M, Jennings reported.

Prevailing economic conditions had brought challenges for achieving the 2021 P&I renewal objectives, but an equitable rating increase in line with business plans was achieved, he added. Future rates are expected to reflect the increase in claims and the hardening reinsurance market.

“We will continue to take the essential actions we know are needed to maintain our financial resilience in the years to come,” said Jennings, stressing that the Club is prioritising investments in technology, talent and sustainability.

In his first Annual Review, new North Chair, James Tyrrell, commented: “Through a period of exceptional challenge, we have supported all Members of North while continuing to be driven by our core purpose – enabling Members to trade with confidence.” He also saluted the contribution of previous Chair, Pratap Shirke, who oversaw a period of continuous growth for North during nine years in post.

Latest News

ESL to sell Supramaxes

(Posted on 25/03/24)

ESL Shipping, a leading carrier of dry bulk cargoes in the Baltic region, has signed a memorandum of... Read more


Sustainable fuels can reach cost parity with fossil fuels by 2035

(Posted on 25/03/24)

New Wärtsilä analysis shows EU ETS and FuelEU Maritime will close price gap, creating policy... Read more


Swedish Club delivers firm foundation for future growth

(Posted on 25/03/24)

The Swedish Club reported positive results for 2023, combined with an emphasis on supporting its members... Read more


DNV establishes Tanker and Bulker Expert Team in China

(Posted on 18/03/24)

DNV has established a Tanker and Bulker Expert Team based in Shanghai. With strong global demand and... Read more


ClassNK notation for improvements in living and working environment

(Posted on 18/03/24)

ClassNK has granted its “ELW” (Excellent Living and Working Environment) notation to &ldquo... Read more


Boers: crews' health should not be sacrificed while at out sea

(Posted on 15/03/24)

Leading crew change specialist Boers Crew Services says the industry should be collaborating more to... Read more


Wärtsilä simulator technology for Sharjah Maritime Academy

(Posted on 15/03/24)

Technology group Wärtsilä has supplied its latest simulator technology to the prestigious... Read more


ASL rebrands as Adhira Shipping and Logistics and expands range of logistics services

(Posted on 10/03/24)

Adhira Shipping and Logistics (ASL) has launched an integrated suite of logistics and transportation... Read more


Attack on MV True Confidence – INTERCARGO statement

(Posted on 10/03/24)

The International Association of Dry Cargo Shipowners (INTERCARGO) had joined shipping industry associations... Read more


Diverse Algoma fleet contributes to revenue growth

(Posted on 29/02/24)

Algoma Central Corporation has reported its results for the year ended December 31, 2023. Algoma reported... Read more


CimbriaPort of South LouisianaPort of StocktonTelestackGeneva Dry
  • Sailors Society
  • TMS Awards 2023

Subscribe to our newsletter

Keep up to date with the latest global news in bulk cargo handling and shipping