The group also announced that there will be no general increase in the estimated total call for owners’ mutual P&I or for mutual FD&D for the next year.
The first half of the 2019 financial year saw a steady performance across the group, which saw an investment return of $58 mill and led to equity of $1,211 mill.
CEO, Rolf Thore Roppestad, said: “This period has seen a good financial performance for the half year with premium growth despite a competitive pricing environment on P&I, a balanced combined ratio and a strong investment return.
“Our operations have demonstrated the steadiness that is a fundamental part of having strong mutual roots and a service-oriented mindset. Our view is always long-term; with an ambition to balance the mutual side of the group, where cost containment and service are key targets, with earning a modest return on our commercial insurance book that delivers capital benefits to our owners.
“This stability is particularly important when you operate in an industry as fundamentally volatile as marine insurance, and the last year has seen a level of claims across the industry that reminds us its inherent unpredictability. Many marine underwriters across the world have felt the negative effect of this and there has been a significant withdrawal of capacity in the sector.
“Our premium policy is an integral part of this strategy of long-term steadiness and sustainability. To support our Members, we aim to keep insurance costs as low as possible. In looking at the premium policy for the next year, there will be no general increase in the estimated total call for owners’ mutual P&I or for mutual FD&D. To ensure fairness over time, individual exposure and performance, in combination with existing premium level, will determine the renewal result.
“We also support our membership by lowering the forecasted premium when the circumstances allow. We have reduced the last instalment of premium for 10 consecutive years. The actual cost of insurance to mutual members has been decreased by $429 mill in the last decade,” he concluded.