Gard, a shipowner-controlled protection and indemnity (P&I) marine and energy insurer, has outlined the terms of its 2019 reinsurance program, which it arranged through the International Group of P&I Clubs (IGP&I).
The structure of the cover reinsured through the pool includes club retention of $10 million, general excess loss cover of $2 billion (in excess of $100 million), and common overspill protection of $1 billion.
It also includes pool retention of $90 million (in excess of $10 million) in two layers, consisting of lower pool retention of $40 million (in excess of $10 million) and upper pool retention (in excess of $50 million).
Gard explained that the owners’ P&I cover reinsured through the pool is subject to special limits of $1 billion for oil pollution, $3 billion for passenger and seamen combined, and $2 billion for passenger (sub-limit).
The program also provides for special P&I war risks cover, with the limit of insurance remaining at $500 million for any one event on each ship.
The war risks cover continues to include liabilities arising from terrorism, but excludes events related to chemical, biological, biochemical and electromagnetic weapons.
IGP&I recently announced that it had renewed its $3.1 billion reinsurance program for the 2019/20 year with rate reductions across all of its vessel categories.
