As we reach the halfway point of the 2022 mutual P&I policy year, the prevailing tumultuous conditions around the globe show no sign of abating. It has undoubtedly been a challenging year so far for our Members and Clients.
Russia’s invasion of Ukraine has upended a world order established with the ending of the Cold War in the 1990s, a change likely to have long-lasting global political and economic consequences. The associated supply-chain shocks have sent the price of food, energy and other commodities skyrocketing, causing hardship for so many worldwide.
The ongoing COVID-19 pandemic, volatile economic conditions and climate change – combined with challenges in the maritime sector, including rapidly rising crew, material and energy costs – have created the most challenging environment for shipowners for many years.
I am proud to say that North’s fundamental purpose of supporting and enabling our Members and Clients to trade with confidence continues to underpin everything we do and has never been more important.
North has remained focused and resilient, delivering on our strategic initiatives to provide outstanding service and sustainable and dependable value for Members and Clients worldwide. Our financial results across our mutual and diversified businesses are strong, despite the ongoing economic turbulence.
Caring for the well-being of our people ensures that we can continue to provide the best service to our Members and Clients. Over the last year, we have continued to invest in our team and office network worldwide, ensuring that support for Members and Clients is always close at hand. I was delighted to see the efforts of our FD&D team recognised at this year’s Northern Law Awards. The team won two awards for their expertise and service: Legal Department of the Year and Team of the Year: Litigation and Dispute Resolution.
However, service at North is about more than just a rapid and efficient response. North’s Loss Prevention team provide proactive advice on a range of issues to help avoid expensive and time-consuming problems. Using a mix of the latest digital tools and services combined with bespoke advice, our in-house team work closely with Members and Clients to help ensure best practice across their maritime operations.
To further demonstrate our commitment to supporting a more sustainable maritime community, North recently joined the Maritime Anti-Corruption Network (MACN). Our membership represents a significant step on our sustainability roadmap, as we join over 165 global companies in working towards the elimination of all forms of maritime corruption.
As we have previously reported, North and Standard Club members recently overwhelmingly approved the merger of both clubs to create NorthStandard, which will be one of the largest global mutual marine insurers. NorthStandard, with 300 years of shared P&I heritage, will provide mutual cover to over 260M GT, as well as significant diversified products with an expected annual premium income of over US$750 million and, most importantly, will deliver a compelling service proposition for Members and Clients.
With the combined Club expected to be fully operational on 20 February 2023, I am incredibly excited for the future and the value and benefits we can deliver to our Members and Clients. I’d like to take this opportunity to thank you for your loyalty and support. Over the coming months, I hope that we can meet in person and build on the relationships that make the global maritime industry unique.