Protection & Indemnity 2016

Standard | www.standard-club.com

Highlights

2015/16 financial year results

  • ƒƒTotal tonnage increased by 2.2%
  • ƒƒPremiums stable
  • ƒƒGross and net paid claims reduced by 30% and 15.3% respectively
  • ƒƒEstimates for net outstanding claims increased by USD 6.6m
  • ƒƒTotal net incurred claims reduced by -11.5% (USD 26.9m)
  • ƒƒUSD 17.7m overall underwriting surplus (USD 18.1m improvement from the marginal deficit in 2014/15)
  • ƒƒ-1.3% negative investment return
  • ƒƒOverall surplus USD 9.9 million
  • ƒƒAssets and Free Reserves increased by 1.7% and 2.6% respectively

Lloyd's Syndicate and Club Diversification

The Standard Syndicate1 was launched at Lloyd's on 1 April 2015. A breakdown of the Syndicate's first (partial) year results2 are below:

USD Millions 2015/16
Calls and Premiums 6.4
Reinsurance Premiums -1.5
Operating Expenses -6.9
Operating Income -2.0
Gross Paid Claims 0.5
Net Paid Claims 0.5
Net Change in Provision for Claims 3.5
Net Incurred Claims 4.0
Technical Surplus (Deficit) -6.0
Investment Income 1.5
Surplus for Year (Deficit) -4.5

1 The Standard Club provides 40% of the capital in the Syndicate.

2 The Standard Syndicate's results are included in the consolidated results summarised above.

Consolidated Financial Year Summary (USD 000s)

2013/14 2014/15 2015/16
Income and Expenditure
Calls and Premiums 336,100 354,000 354,300
Reinsurance Premiums -82,900 -92,000 -90,100
Operating Expenses -26,500 -28,600 -39,600
Operating Income 226,700 233,400 224,600
Gross Paid Claims 518,000 484,700 339,600
Net Paid Claims 203,700 236,600 200,300
Net Change in Provision for Claims 27,200 -2,800 6,600
Net Incurred Claims 230,900 233,800 206,900
Technical Surplus (Deficit) -4,200 -400 17,700
Investment Income 10,100 12,200 -7,800
Overall Surplus for Year (Deficit) 5,900 11,800 9,900
       
Balance sheet
Net Assets 949,300 956,500 972,800
Net Outstanding Claims 580,800 576,200 582,700
Free Reserves 368,500 380,300 390,100
       
Entered tonnage (GT) in millions 2014 2015 2016
Owned / Mutual 108.5 112 116
Chartered / Fixed 22.5 23 22
Total 131 135 138
       
S&P Rating History 2014 2015 2016
  A A A
       
Average Expense Ratio (AER) 2013/14 2014/15 2015/16
  10.9 11.4 12.2