North and Standard Club members approve merger

Members of Clubs North and Standard voted in favor of the merger between the two marine insurance companies, creating one of the largest providers of mutual coverage in the marine industries.

The P&I clubs, which revealed plans to merge earlier this year, each held special general meetings on May 27 where members voted to greenlight the decision to join forces as single and largest mutual insurer. Pending regulatory approval, NorthStandard is expected to form a unified club in time for the renewal date of February 23 next year.

The merger will create one of the largest mutual coverage providers in the marine industries with consolidated annual premiums of approximately $750 million. With 300 years of shared P&I heritage, NorthStandard will also bring together some of the most respected teams of experts in maritime risk management. The new organization will be jointly led by Standard Club CEO Jeremy Grose and North CEO Paul Jennings.

“This is a great result and a great moment for our industry,” Grose said. “NorthStandard will be a major new force in marine insurance, providing members with the resilience members need from their P&I partners to meet the challenges and competitive landscape of a changing shipping world. We are delighted that our proposal has received such strong support from members of both clubs. »

“For the merger to proceed, it was essential that we gain their recognition of the positive outcomes of the proposal for continued service excellence, as well as the opportunities offered by diverse product lines, economies of scale and reach. world.” NorthStandard will bring together two unique mutuality advocates working within the International Group of P&I Clubs, whose complementary cultures, ambitions and approaches will work together to deliver added value to all members, Grose said.

“Northern members have expressed overwhelming support for the merger based on the tangible benefits for shipowners that consolidation will bring,” Jennings said. “Members welcomed the proposal on the grounds that it would enhance stability and enhance competition in the P&I sector, encourage innovation and stimulate product diversification.

“A larger organization will also attract and retain even more top talent to ensure NorthStandard provides the highest levels of member service and support,” Jennings concluded.