Eagle Ocean Marine (EOM), the American Club’s facility providing fixed P&I cover chiefly to the operators of smaller vessels in local and regional trades, has entered its 10th year of business.
EOM’s primary security is provided by the American Club. However, unlike the American Club, EOM’s facility years commence on July 01. EOM traditionally arranges its reinsurance programs for the following 12 months from that date. The renewal of this program was recently completed on favorable terms, mainly with underwriters with Lloyd’s, EOM said.
Since 2015, EOM has posted a compound premium growth rate of about 17% per year, with the three most recent years averaging closer to 20%. The last three years have also seen a 34% increase in tonnage and a 52% rise in the number of insured vessels, EOM said. The average premium per ton has also increased by about 20% over the period. Currently, EOM insures a fleet of nearly 1,300 vessels of about 2.5 million gross tons, generating a total premium of about $15 million. About 39% of EOM’s business comes from Northeast Asia, 32% from South and Southeast Asia, 20% from Europe and 9% from the rest of the world.
“Eagle Ocean Marine enters its 10th year of service to the global maritime community in excellent shape,” said Joe Hughes, chairman and CEO of Eagle Ocean Agencies. “The sterling report recently received from EOM’s reinsurers was a vote of confidence in the sustainability of its business model for the future. In a world of continuing uncertainty, EOM remains the gold standard in the fixed-premium P&I sector. It looks with optimism at the many exciting opportunities it is poised to develop over the years ahead.”