American Club posts solid 2020 P&I renewal

The American Club saw solid performance over the 2020 P&I renewal season despite challenging conditions in the shipping and insurance sectors. Year-on-year premium for the club’s mutual P&I class stayed flat. A small decrease in revenue for its freight, demurrage and defense (FD&D) business was offset by a commensurate increase in premium for charterer’s entries. Total income on renewal will be nearly identical for 2020 to that for 2019, the American Club said. Premium attributable to renewing P&I entries for 2020 posted an increase, in cash terms, of about 1.5%. However, when increases in deductibles, the modification of terms applying to the application of deductibles generally, and changes to other insurance conditions were accounted for, the overall premium increase was closer to 5%.