This year the Club has produced a surplus of $9.5 million, increasing the free reserves and hybrid capital to a new high of $494 million. Underpinning this result was a respectable underwriting performance in the face of mounting claims costs, and an investment return of 3.7%, equivalent to $39.6 million. Overall this was a good outcome, but it does not allow for complacency. The increased claims on the 2012 policy year are a warning that, despite weak global economic growth, claims inflation, particularly in the higher value claims, continues to be present. It is therefore essential to maintain a disciplined approach to underwriting in the coming years to achieve the target of a balanced underwriting result over the claims cycle.
Surplus of $9.5m for this year increasing free reserves and hybrid capital to a new high of $494m.
The print run of our Report & Accounts has been reduced to save Club expenses. We now provide all our Members and their brokers with a reference copy upon request. The Report & Accounts is also free to download from the website. Please call your usual Club contact if you require further copies.