Gard also had a combined ratio net of 91% on ETC basis – a profit of $59 mill on a gross written premium of $775 mill.
The investment return was 6.3%, or $144 mill, while the equity reserves were $1,249 mill, after the deferred call reduction.
As a result, the insurance cost for mutual members will be reduced by $79 mill - a cancellation of the entire deferred call.
CEO Rolf Thore Roppestad, said “I am pleased to say that, despite competitive market conditions, we made an underwriting profit across all areas of our business last year. We also benefited from a first-class investment result. The combination of these factors means that, for the 11th year in a row, we are able to give money back to our members by reducing their premiums through cancelling part or all of the deferred call.
“While the group’s income declined by 11%, primarily due to an ongoing reduction in pricing and values, as well as lower demand in some segments, the technical result benefited from a benign claims environment and the Club has benefited from quality members driving improvements in operations and, as result, attracting new owners of a similar quality with whom to share risk.
“These figures provide hard evidence that our focus on our core business; being the best in our market at assessing and pricing maritime risk and handling maritime claims, as well as delivering great client service, is a successful strategy. We must also have strong analytical capabilities so we can take the right business decisions in the future and remain financially strong in a challenging environment, delivering the stability and consistency that protects the assets, incomes, and reputations of our members and clients.
“Our history is one of responding to change and our future will be the same. Our consistent and robust financial performance gives us the rock-solid foundation on which to do this,” he concluded.