The Swedish Club’s core business continued to strengthen in 2008. There was a combined underwriting surplus of USD 4.0 million in 2008 (excluding the supplementary calls of about USD 35 million), as against a USD 18.0 million loss in the preceding year.

Lars Rhodin, The Swedish Club’s Managing Director, says: “Our free reserves increased from just under USD 100 million to about USD 107 million. Given the Club’s strong underwriting performance in 2008 and the fact that the recent capital injection has addressed a unique combination of factors in our 137-year history, we are now ready to move forward. The Club’s Board took the decision earlier this month not to make a supplementary call for 2008/09 and our results for 2008 bear witness to the fact that The Swedish Club is a sound business.”

The P&I surplus for 2008 was larger than expected. The book of business, as at 1 April, totalled 1,260 vessels of 38.4 million GT. Entered tonnage for P&I cover rose by over 30 per cent in the year to 1 December 2008. The Freight, Demurrage & Defence (FD&D) book totalled 593 vessels of 20.0 million GT at 1 April.

The Hull and Machinery portfolio at 1 April totalled 1,355 vessels of 54.6 million GT. The H&M business showed a marginal loss in 2008 and the Club is determined to bring this book into balance during 2009.

Lars Rhodin adds: “We have achieved improvements in all classes of business since early 2008. We are well positioned to put behind us the adverse conditions of 2008. We now have a clear mission: to grow our portfolio in a sustainable manner, to match premium income to risk exposure, to generate balances in all business areas and continue to refine our investment mix in challenging market conditions. We are resolved to make real progress in 2009.”
 
Contact:
Lars Rhodin  The Swedish Club  Telephone: +46 31 638 400
TRS Public Relations Telephone: +44 1304 813 366


The Swedish Club 
The Swedish Club was founded in 1872. It is a leading mutual marine insurance company, owned and controlled by its members. The Club writes Protection & Indemnity, Freight Demurrage & Defence, Hull & Machinery, Loss of Hire, War Risks and any additional insurances required by shipowners. The head office is located in Göteborg, Sweden, and branch offices are located in Piraeus, Hong Kong and Tokyo.

As at 1 April the Club covered 1,260 vessels for P&I, 593 vessels for FD&D and 1,355 vessels for Hull & Machinery.