23 December 2024
The P&I Pre-Renewal Review 2024
Explore our comprehensive analysis of the Marine Insurance landscape. This year's review highlights notable trends, including underwriting performance, claims insights, and market dynamics shaping the industry.
Key takeaways
2023/24 P&I market overview:
- 2023 produced USD858million overall surplus
- Free reserves reached an historical high of USD5.7billion
- Technical underwriting produced USD163m surplus
- Investment return produced a further USD732m surplus (unrealised)
- Combined ratios below 100% for two consecutive years
2025 P&I renewal & market outlook:
- General (or target) increase averaging at 5.15% ranging from 0% to 7.5% (and 4.04% for FD&D)
- Deductible increase requirements stated for 5 of the 12 P&I Clubs
- Capital returns from Britannia, Gard, Skuld and Steamship ranging from 5% to 12.5% (UKDC 15% for FD&D)
- 2024 combined ratios negative (mid-year) due to volatile pool claims year estimated at USD650m
- 2026 expected continuation of general increases and accelerated churn effect
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