2014 Nordic Marine Insurance Statistics - Reports as of 31 December 2014
Major claims impact: low in 2014
Claim cost: stable
Claims frequency: at long-term low
Fire frequency on RoRo and passenger vessels: stays high
The post financial crises favourable claims trend has continued.
The 2014 Cefor Annual Report gives an overview over the general ocean and coastal hull claims trends and the NoMIS portfolio. A special focus article investigates the high fire frequency on passenger and RoRo vessels.
The detailed NoMIS reports for ocean and coastal hull business provide breakdowns of the claims trends by vessel type, age group, size group, sum insured layers and further subgroups. The trends are illustrated by key figures such as claims frequency and claim cost by vessel, by gross ton, by sum insured, and the average claim cost per claim.
Exposure curves for hull business are included in the ocean hull report.
The 2014 Cefor Annual Report
2014 June Cefor Hull Claims Trends Update
Extraordinary absence of major claims in 1st half of 2014
In 2012 and 2013, major claims had a substantial impact on the claims cost. In the first half year of 2014, there was only one claim exceeding USD 10 million, compared to ten such claims in 2012 and 2013. Given the risk exposure represented by increasing vessel sizes and values, the suprising fact is that the number of claims in excess of USD 10 and USD 5 million is significantly lower than the 2009-2013 average.
The overall claims frequency has fallen after the peak in 2008 and shows a long-term positive trend. Also the average repair cost has a stable to positive trend since 2009 - the peak in 2013 mainly being due to two exceptional major losses exceeding 60 USD million each. 2014 figures confirm that the positive trend continues.
However, despite the positive claims trends in 2014, the risk exposure and accordingly the potential risk of major losses remains high, due to the increasing share of high-value vessels in the portfolio.
Read more about the hull claims trends as of June 2014 here:
Cefor Hull Claims Trends Update as of 30 June 2014