Revenues Rise at North P&I Despite Pandemic Challenges
A global Tyne-based marine insurance specialist saw revenue increase 17%.
The North P&I Club – which is headquartered on the Newcastle Wharf with offices in Australasia, China, Greece, Ireland, Japan, Singapore and the United States – saw its revenues for 2020/21 increase from £ 42million to £ 287million. The company employs around 300 people in Newcastle and another 100 around the world.
The historic company, which can trace its history back to 1860, has reported year-over-year premium growth in its hull and machinery, fixed premium and aquaculture businesses.
The launch of a new line of insurance products for ocean-going vessels allowed the company to continue to diversify its portfolio and recorded a strong return on investment of 6.67%, its highest rate since several years.
In addition to increasing revenue and return on investment, North’s total owned and chartered tonnage – the measure of insured ocean vessels – has grown to 248 million gross tonnes.
Paul Jennings, CEO of North, said: “In the global context of Covid-19, I am extremely proud of how our company has met the challenges of 2020 and delivered on its commitment to provide both support to members and to customers and financial stability. .
“Despite unprecedented circumstances, we continued to diversify our product lines and maintained our exceptional support to Shipowners as they weather the impact of the pandemic.
“From the provision of essential digital tools and services to the assistance of several international maritime charities in supporting the well-being of seafarers; The needs of our shipowner members have always been at the center of our activities.
“On a personal note, I am incredibly proud of our team here in the North East and our colleagues around the world, all of whom have had to adapt to a new way of working.
“Despite the lack of face-to-face contact with our colleagues and members, we have continued to provide exceptional service and strengthened our position as one of the world’s leading marine insurers.”
North P&I is a leading global marine insurer and a core member of the international group of P&I clubs, which covers approximately 90% of the world’s ships by tonnage. Through its Sunderland Marine brand, it also provides cover for fishing boats and small craft.
The Club’s free reserves – cash reserves available to cover claims – also increased by £ 4million to £ 317million.
Although the organization said the continued impact of the coronavirus pandemic on the global economy remained uncertain, it said it was “well placed” to benefit from a return to normalcy.