marine insurance seminar 26 april 2012...short facts 31.3.2012 number of insured vessels insured...
TRANSCRIPT
Marine Insurance Seminar 26th April 2012 “Collision & Liability”
Report from the marine hull market
Jan Limnell
Short facts 31.3.2012
Number of insured vessels
Insured value (H&M+ interests)
Average share of risk
% of risks with claims lead
Total insured GT
Premium income 2011
Organisation
2.537
euro 7,7 billion
21,9%
57,6%
25,3 million tonnes
euro 30,9 million
23 dedicated marine insurance specialists
Gross written premium
17 18 22 22,1
25,3 28 28,3
30,9 33,8
0
200
400
600
800
1 000
1 200
1 400
1 600
1 800
2 000
2 200
2 400
2 600
2 800
0
5
10
15
20
25
30
35
2004 2005 2006 2007 2008 2009 2010 2011 2012 est
Premium income No of vessels
MEU
R
No
.
and no of insured vessels 2004 – 2010
Premium income Distribution per market – million euro
29% 30% 34% 36% 39% 40%
35% 37% 42% 41% 39% 40%
6% 7%
8% 8% 16% 15%
21% 18% 13% 12%
4% 3% 8% 8% 3% 3% 2% 2%
0 %
10 %
20 %
30 %
40 %
50 %
60 %
70 %
80 %
90 %
100 %
31.3.2012 31.12.2011 31.12.2010 31.12.2009 31.12.2008 31.12.2007
FIN SWE BALT NOR DEN
No of insured vessels Distribution per market
17% 17% 22% 22% 25% 26%
39% 43%
51% 56% 57% 58% 4%
5%
5% 7%
8% 6%
30% 24%
19% 12% 8% 7% 10% 11%
3% 3% 2%
0 %
10 %
20 %
30 %
40 %
50 %
60 %
70 %
80 %
90 %
100 %
31.3.2012 31.12.2011 31.12.2010 31.12.2009 31.12.2008 31.12.2007
FIN SWE BALT NOR DEN
2257 1836 1662 1375 1288
excluding international portfolio
2537
Current issues in marine insurance
Increased exposures
Sanctions
New technology
“Supersizing”
Piracy
New transportation routes
Risks from a marine insurers point of view
Ice, firm and ice belts, one-year / multi-year
Incomplete hydrographical surveys
Inexperienced crews
Navigational- & communicational equipment & reliability
Limited & expensive possibilities for repairs
Availability of and affordability of salvage resources
Availability of ice breaker capacity
Availability of charts and publications in English
Comparisons
”APL Panama”
• DWT 52250
• TEU 13 wide
• TEU 4038
(TEU aboard1805)
• 1445 different cargo interests
• 1600 man hours to adjust
• Not finished after 5 years
USD 68 millions in GA
”Emma Maersk”
• DWT 157000
• TEU 22 wide
• TEU 15000
(75% full – 11250 TEU aboard)
• 9006 different cargo interests!!!
• 9972 man hours to adjust !!!
(5 man years to adjust)
• How long ???
USD ??? millions in GA
”Supersize me”
Dwt 225.282
Pax: 6.296
Crew: 2.394
Dwt 114.147
Pax: 3.780
Crew: 1.100
Dwt 46.328
Pax: 2.435
Crew: 892
Size and & complexity
Risk for human life
Environmental damage
The financial risk as such
Loss of Hire / Business interruption
Complexity of salvage
Limited dry-docking capacity
Can class cope ?
Costa Concordia will affect the marine insurance market:
Focus on cruise/passenger vessels & ”high value” risks
Diminished risk appetite and more risk selection
Premium increase
Challenges gives opportunities
Long-term commitment
Specialists
Flexibility & pro-active
Loss prevention
Creative insurance solutions for the need of ship owners
Razor sharp competition