Profitability of the protection-and-indemnity (P&I) clubs is under threat from the financial pressures facing shipowners, according to a pre-renewal assessment of the marine mutuals by the Standard & Poor’s (S&P) ratings agency.
S&P is forecasting insignificant growth in P&I premiums and warns the clubs will find achieving sufficient income to counteract rising claims a challenge.
The ratings agency views the capital base the clubs have built up over recent years as a factor that will make it harder to enforce general increases on hard-pressed shipowners.
The
