Welcome to The Swedish Club The Swedish Club 2018 1 It all started - PowerPoint PPT Presentation

Welcome to The Swedish Club The Swedish Club 2018 1

It all started in 1872 The Swedish Club 2018 2

It all started in 1872 • 1872 - Established in Göteborg as a Hull Mutual • 1910 - P&I introduced • 1971 - International with the first non- Swedish entry of the “Flowergate” • 1984 - FD&D introduced • 2011 - Energy introduced Offices in: • Gothenburg HQ 1872 • Piraeus 1980 • Hong Kong 1982 • Tokyo 1991 • Oslo 2010 • London 2015 The Swedish Club 2018 3

The Swedish Club has been a marine insurance provider since 1872. As a mutual organisation we have our members’ best interests at heart at all times We are committed to a strategy of • Prudent pricing • Long term relationships • Effective risk management Delivered through our core values of • Proactivity • Reliability • Commitment The Swedish Club 2018 4

Based on the Swedish values of flexibility, openness and responsibility, The Swedish Club provides: • Efficient case management • Prompt decision making • Fast, fair and effective claims settlements • In-house expertise and adjusting capabilities • A strategic local presence with a global reach The Swedish Club 2018 5

Our work is based on three key priorities: • Professional marine insurance cover • Swift claims processing handled by experts • Proactive loss prevention The Swedish Club 2018 6

Protection and Indemnity Hull and Machinery Freight Demurrage Increased Value and Defence Insurance and Freight Interest Insurance Loss of Hire and Delay Cover Energy and Offshore Kidnap and Ransom War Risks The Swedish Club 2018 7

First class service and in-house expertise delivered: • Through a team based approach - 24/7, 365 days a year • From The Swedish Club’s headquarters in Gothenburg, and offices in Piraeus, Hong Kong, Tokyo, Oslo and London • By expert lawyers, master mariners, naval architects, marine engineers and adjusters, all with specialist experience in their individual fields The Swedish Club 2018 8

Loss prevention is at the heart of everything we do. It: • Saves lives • Protects the environment • Delivers onboard efficiencies The Swedish Club 2018 9

Delivered through: • Training – Emergency Response Training, Maritime Resource Management (MRM) and Monthly Safety Scenario • Initiatives – The Swedish Club PEME, The Swedish Club Operations Review (SCORE), benchmarking and awareness campaigns • Information – Member Alerts, loss prevention publications and guidance The Swedish Club 2018 10

An essential part of your loss prevention programme, MRM fosters: • Positive and constructive attitudes • Good personal communication • Leadership excellence • Compliance with operating procedures • Reduced accidents and incidents • Increased situational awareness • More effective management of available resources • Improved onboard communication • Less complacency • Effective implementation of standard operating procedures The Swedish Club 2018 11

A comprehensive incident simulation process, helping you become better at emergencies. • Training at member’s location • Detailed incident scenario covering: progression of events, individual responsibilities, phases of the incident, the emergency response process • Involvement of salvors, media representatives, the port state authority, the flag state, the local coastguard etc. The Swedish Club 2018 12

Basic facts as of 22 March 2018 GT - Insurance Year Start P&I P&I* FD&D 240 H&M P&I + Charterer's P&I FD&D 1,751 931 Number of vessels 220 9.3 9.6 Average age 200 74.3 35.1 GT (million) 180 43,678 37,697 Average size (GT) 160 Million GT 140 120 Marine & Energy H&M Loss of Hire 100 2,587 1,003 Number of vessels 80 10.3 8.8 Average age 60 103.4 28.1 GT (million) 40 12.6 % 43.0 % Average share 20 39,982 28,040 Average size (GT) 0 8.2 0.8 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 Total values (USD billion) * including Charterer’s Liability The Swedish Club 2018 13

Highlights 2017 4 % P&I Discount USD376 USD214 2017 million 5 % P&I million Discount Investment assets Upgraded financial 2018 Free reserves at position to BBB+ record level Positive Outlook* USD19 104 % million USD153 surplus million Combined ratio Gross premium *S&P 2018 The Swedish Club 2018 14

Result 2017 and 2016 All amounts are stated in USD Million 2017 2016 Premiums net of reinsurance 117.5 130.5 Mutual premium discount (P&I) -3.4 - Investment income transferred from NTA 5.1 4.7 Claims of net reinsurance -98.1 -102.9 Net operating expenses -24.8 -25.4 Underwriting result -3.8 6.8 Financial result 27.7 9.7 Investment income transferred -5.1 -4.7 Result before appropriations and tax 18.8 11.8 Free reserves 213.9 194.9 Combined ratio 104 % 98 % Find more financial information on https://annualreport.swedishclub.com The Swedish Club 2018 15

Free Reserves 2008 - 2017 (MUSD) 250 214,0 194,9 Eligible Own Funds 200 186,3 183,1 Solvency Capital Requirement 168,0 = 151,2 151,0 141,9 150 121,7 106,8 100 262 % 50 0 2017 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 The Swedish Club 2018 16

Our organisation The Swedish Club 2018 17

Our organisation 2018 Lars Rhodin Managing Director The Swedish Club Academy AB Corporate Legal Finance, Risk Mgmt. & IT Information Technology Martin Hernqvist Anders Leissner Mikael Kromli Magnus Axelsson Managing Director Director Director Manager Human Resources Marketing Communications Britta Patriksson Marina Smyth Samsjö Director Manager Strategic Business Development & Underwriting, Client Relations Reinsurance & Risk Control Lars A. Malm Tord Nilsson Director Director Team Pireus Team Asia Team Gothenburg Team London Team Norway Hans Filipsson Ruizong Wang Johan Kahlmeter Lars Nilsson Tore Forsmo Area Manager / General Area Manager / Managing Area Manager Area Manager Area Manager Manager Director Gothenburg Piraeus Hong Kong Tokyo Oslo London The Swedish Club 2018 18

Facts and Figures The Swedish Club 2018 19

Number of Vessels – Insurance Year Start (20 Feb.) 6000 H&M P&I + Charterer's P&I FD&D 5000 4000 Number of Vessels 3000 2000 1000 0 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 The Swedish Club 2018 20

GT – Insurance Year Start (20 Feb.) 240 220 H&M P&I + Charterer's P&I FD&D 200 180 160 Million GT 140 120 100 80 60 40 20 0 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 The Swedish Club 2018 21

Vessel Type: Distribution of Fleet The Swedish Club Fleet IG Group Fleet 4% 14% Bulker 35% 37% Tanker 19% Container 39% Other 31% 20% Source: Tysers P&I Report 2017 The Swedish Club 2018 22

P&I: Basic Facts per 22 March 2018 GT per market • Number of vessels 1,751 Figures exclude Charterer’s P&I • Average age 9.3 N Europe • GT (Million) 74.3 18% Asia Figures include Charterer’s P&I 48% 2 250 100 90 2 000 S Europe 80 1 750 26% Number of Vessels 70 1 500 GT (Million) 60 1 250 50 1 000 40 Mid East 750 8% 30 500 20 250 10 0 0 Vessels GT The Swedish Club 2018 23

FD&D: Basic Facts per 22 March 2018 GT per market • Number of vessels 931 Asia • Average age 9.6 55% N Europe • 23% GT (Million) 35.1 1200 45 40 S Europe 1000 17% 35 Number of Vessels 800 30 GT (Million) 25 Mid East 600 5% 20 400 15 10 200 5 0 0 Vessels GT The Swedish Club 2018 24

H&M: Basic facts per 22 March 2018 • Number of vessels 2,587 Vessels per market • Average age 10.3 • GT (Million) 103.4 Asia • Average share (GT) 12.6% 18% N Europe 57% Mid East 3 500 140 3% 3 000 120 Number of Vessels 2 500 100 GT (Million) S Europe 2 000 80 22% 1 500 60 1 000 40 500 20 0 0 Vessels GT The Swedish Club 2018 25

Asset mix as per 20 February 2017 100% 80% 60% Cash and other assets Bonds 40% Equities 20% 0% Source: Arthur J Gallagher, Marine P&I Pre-Renewal Review 2017 The Swedish Club 2018 26

Result 2006 – 2017 35 30 30 25 20 19 18 17 15 USD million 15 10 11,8 11 9 7 5 0 -2 -3 -5 -9 -10 -15 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 The Swedish Club 2018 27

Free Reserves 2006-2017 (MUSD) 250 213,9 194,9 200 186,3 183,1 168,0 151,2 151,0 150 141,9 121,7 106,8 102,0 99,7 100 50 0 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 The Swedish Club 2018 28

Combined ratio seven year averages 140% 120% 125% 121% 110% 100% 107% 106% 105% 105% 105% 101% 100% 100% 99% 96% 95% 80% 60% 40% 20% 0% Source: Arthur J Gallagher, Marine P&I Pre- Renewal Review October 2017 and TSC’s accounts The Swedish Club 2018 29

Board of Directors Board of Directors present at the AGM June 2017 The Swedish Club 2018 30