An overview

The covers are retention reinsurances, pool reinsurances and a major event policy.

Major event cover:

  • Covers the cost to the Club of a claim exceeding $200 million including the retention and pool share.

Retention reinsurances:

  • provide cover if we experience a year of heavier than usual claims within our own Club retention.

Pool reinsurances:

  • protect the Club from a run of higher than usual claims within the pool, whether the Club’s own claims or those of other International Group members.

Club specific reinsurances, mutual book

How these covers help

These covers protect the Club from a run of larger than usual claims, whether within its own retention or the pool. They also protect the Club from a one-off very large claim. Had these reinsurance policies been in place during the peak of the last claims cycle between 2004 and 2008, the Club would have benefitted from significant additional reinsurance recoveries.

How much this cover costs

The cost of our reinsurance protection is very competitive costing less than $11 million annually for total cover of $58 million.

Club specific reinsurances, charterers’ book

The Club has a comprehensive risk management programme to lay off exposure on larger claims on its charterers’ book of business.

Pool reinsurances

The International Group pool provides cover in excess of the individual Club retentions of $8 million up to $60 million. The pool is divided into two layers, with the upper layer from $22 million to $60 million being reinsured by Hydra, the International Group’s captive reinsurer, based in Bermuda. On behalf of all the clubs in the group, the International Group purchases reinsurance for claims in excess of the pool retention of $60 million. The first layer of $60 million to $560 million – the First General Excess – is 25% co-insured by Hydra, with the remainder being insured by the market. The reinsurances in excess of $560 million are insured in the market.

Allocating the cost

The cost of the International Group reinsurance is spread across the whole of the tonnage entered in its clubs. Each club calculates it as a rate per ton and it differs by trade type, reflecting the loss history of different types of ships in the pool, as well as the exposure they bring.

Emergency Contacts

If you need to call our offices out of hours and at weekends, click After Office hours for a up to date list of the names of the Duty Executives and their mobile phone numbers. 

Ship Finder

This Ship Finder is updated on a daily basis. Members who need to advise the Club of updates to their recorded ships' details should advise their usual underwriting contact.