With a 4% increase in total market premiums and a 3% reduction in net incurred claims it is little surprise that the overall underwriting result of the market improved materially in 2014/15. The surplus in 2014/15 was roughly the same as the underwriting loss the previous year (USD 80 million).

Behind this very positive overall result, it is interesting to note that administration costs increased by 7.5% and reinsurance costs by 3.6% over the same period. In a soft reinsurance market, the increase in costs implies that clubs are increasing the scope of their individual reinsurance programmes.