Marine Log

August 24, 2006

Scandinavian insurers plan merger

Skuld and the Swedish Club say they are entering into negotiations with the intention of signing a final and binding agreement of integration of the two associations.

Skuld and The Swedish Club are both leading mutual marine insurers, providing Protection and Indemnity (P&I), Charterers' liability and Hull & Machinery insurance services to their members.

Both associations are members of the International Group of P&I Clubs.

Integration of the two clubs is subject to the approval of the respective Boards, Committees and authorities.

"We are of the opinion that an integration of the operations of the two associations will be mutually beneficial," says Erik Gloersen, Chairman of the Board of Oslo-based Skuld.

"There are obvious potential synergies," adds Christer Olsson, Chairman of the Board of The Swedish Club, which is headquarterd in Gothenburg.

"We foresee improved risk bearing abilities, reduced exposure in case of major insurance incidents, higher efficiency and an increased competitive position on the global marine insurance market," noted Olsson. "It will also place us in a better position to influence issues at the International Group level."