Meeting near Bath (UK) , yesterday, the Britannia Committee approved a general rate increase of 5% for P&I calls for 2012/13 and agreed to waive half of the outstanding 15% deferred call for 2009/10.

In a Press Release Britannia comments:

”A year ago the 2009/10 policy year was showing a lower level of claims than the three previous years. Twelve months later, the hope that this might mark the beginning of a more sustained period of lower claims has so far proved unfounded: retained claims in the 2010/11 policy year have been higher than 2009/10 and the current policy year to date has seen a further increase. There is better news on Pool claims. The high level of claims seen in 2006/07 and 2007/08 appears to have represented a ‘spike’ rather than a new plateau; claims in the three succeeding years have been significantly lower.”

The first half of 2011 saw an unprecedented string of catastrophe losses; the Japanese earthquake, the New Zealand earthquake and the Australian storm. Insurance Day has compiled the below table of half year 2011 combined ratio’s. These follow after Lloyd’s announcement of its half year results, where some observers say 2011 could be the worst year ever.

Lloyd's, the world’s specialist insurance market, announced its interim results for the 6 months ended 30 June 2011 on Wednesday 21 September 2011. Lloyd's is warning that the insurance industry faces an extremely challenging outlook as the world's oldest market slipped deep into the red following record claims from natural disasters. Underpriced risks should not be insured, boss warns.