Hellenic cuts premium rates

The Hellenic War Risks Club will reduce premium rates and offer members optional additional cover from 1st January 2008. Its Directors decided to reduce gross rates of advance premium contribution for 2008 by 15 per cent at a meeting in Paris on 26th November.

In 2008, the basic gross rate for the Hellenic war risks cover will be 0.011475 per cent of the entered fleet value. The Club continues to operate a sliding scale of member discounts, ranging from 20 per cent for fleets valued at up to $100 million to 50 per cent for fleets with over $1 billion entered value.

The Hellenic Club insures about 70 per cent of the Greek-controlled fleet for war risks.

Mr John M Lyras, Chairman of the Hellenic, emphasised the Club's competitive approach. "Cost is a concern for the membership, even in good shipping markets. This reduction will bring down the Hellenic advance contribution rates for 2008 to below those of 2002 when rates increased sharply in the aftermath of 9/11."

Mr John Culley of Hellenic Club managers Thomas Miller commented: "The low level of claims in recent policy years has continued in 2007. New fleets have joined the Hellenic and existing fleets have grown in value during the year. Membership now stands at about 2,200 ships with a total entered value of over $80 billion. The Club's income has stayed stable, even though there have been rate reductions at the recent renewals. A sound financial base allows the Club to continue offering members the advantages of mutual cover at very competitive rates."

The Hellenic will also offer members war risks loss of hire insurance from 1st January 2008. Loss of hire will be an optional additional insurance for Hellenic members, available on application.

Mr Culley explained: "With a buoyant shipping market, members have expressed greater interest in loss of hire cover. By making this cover available, the Hellenic is responding flexibly to members' current needs within its traditional, mutual framework."

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