2016/17 financial year results
- Premiums reduced by 4.4% (though the club rebated USD 10.8m premium during the 2016/17 financial year meaning the underlying reduction was only -1.3%)
- Gross paid claims reduced by 11.5% while net paid claims increased by 14.4%
- Total net incurred claims reduced by -3% (USD 6.1m)
- USD 17.5m overall underwriting surplus (marginally improved on 2015/16)
- 3% investment return
Combined Ratio
The underlying results of the Standard Club are complicated by the 2016/17 return of premium and the underwriting losses from the Syndicate. Comparisons of the results including and excluding the Syndicate and premium rebate are as follows:
| Combined Ratio Comparisons |
Percent (%) |
| Full consolidation (including Syndicate and premium rebate): |
93 |
| Including Syndicate but excluding return of premium: |
90 |
| Including return of premium but excluding syndicate: |
87 |
| Excluding return of premium and excluding syndicate: |
83 |
Consolidated Financial Year Summary (USD 000s)
|
2014/15 |
2015/16 |
2016/17 |
| Income and Expenditure |
|
|
|
| Calls and Premiums |
354,000 |
354,300 |
338,800 |
| Reinsurance Premiums |
-92,000 |
-90,100 |
-77,000 |
| Operating Expenses |
-28,600 |
-39,600 |
-43,500 |
| Operating Income |
233,400 |
224,600 |
218,300 |
| Gross Paid Claims |
484,700 |
339,600 |
300,400 |
| Net Paid Claims |
236,600 |
200,300 |
229,100 |
| Net Change in Provision for Claims |
-2,800 |
6,600 |
-28,300 |
| Net Incurred Claims |
233,800 |
206,900 |
200,800 |
| Technical Surplus (Deficit) |
-400 |
17,700 |
17,500 |
| Investment Income |
12,200 |
-7,800 |
22,800 |
| Overall Surplus for Year (Deficit) |
11,800 |
9,900 |
40,300 |
| |
|
|
|
| Balance sheet |
|
|
|
| Net Assets |
956,500 |
972,800 |
984,700 |
| Net Outstanding Claims |
576,200 |
582,700 |
554,200 |
| Free Reserves |
380,300 |
390,100 |
430,500 |
| Entered tonnage (GT, millions) |
2015 |
2016 |
2017 |
| Owned / Mutual |
112 |
116 |
126 |
| Chartered / Fixed |
23 |
22 |
24 |
| Total |
135 |
138 |
150 |
| |
|
|
|
| S&P Rating History |
2015 |
2016 |
2017 |
| |
A |
A |
A |
| |
|
|
|
| Average Expense Ratio (AER) |
2015 |
2016 |
2017 |
| Five years ending 20 February |
11.4 |
12.2 |
12.4 |
Lloyd’s Syndicate and Club Diversification
The Standard Syndicate was launched at Lloyd’s on 1 April 2015. The Standard Club provides 40% of the capital in the Syndicate.The Standard Syndicate’s results are included in the consolidated results summarised above. A simplified breakdown of the Syndicate’s financial year results so far are below:
|
2015/16 |
2016/17 |
| Premiums |
6,400 |
30,400 |
| Reinsurance |
-1,500 |
-5,400 |
| Operating Expenses |
-6,900 |
-16,400 |
| Operating Income |
-2,000 |
8,600 |
| |
|
|
| Net Incurred Claims |
4,000 |
22,900 |
| Technical Deficit |
-6,000 |
-14,300 |
| |
|
|
| Investment Income |
1,500 |
3,000 |
| Deficit for year |
-4,500 |
-11,300 |
