Ocean Marine

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Ocean Marine
Roger Howe, CPCU December 6th 2004
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Agenda

• Ocean Marine Overview
• Lines of Business
• Results
• Recent Loss Activity
• Outlook

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Historical Perspective

• Marine Insurance is the Oldest Form of Insurance
• 916 BC Rhodians initiated the concept of
  General Average
• Bottomry Bonds
• 1688 Lloyds
• First American Insurance Corporation
• 1792 Insurance Company of North America

4
Global Premium Growth TrendsUSD billions
Source IUMI 2004
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Ocean Marine Global Premium2003

• Geographic Split

Source IUMI 2004
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Global LOB Split2003USD Premium 14.83 Bn
Source IUMI 2004
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2003 Detail Geographic Premium WrittenUS Bn

• Top Five Premium writers (by country)
• 1) United Kingdom 2.426B
• 2) Japan 2.083B
• 3) United States - 1.558B
• 4) Germany 1.536B
• 5) France - 1.129B

Source IUMI 2004 Lines Hull/Cargo/Liabilities/O
ffshore Energy
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US PremiumUSD Bn
Source AIMU Calendar Year Operating
Ratios Including Yachts (not included in IUMI
numbers)
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US Premium Split by LOB2003
Source AIMU 2003
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Lines of Business

• Cargo
• Bluewater Hull
• Brownwater Hull and PI
• Offshore Energy
• Marine Liabilities
• Yachts

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Cargo
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Bluewater
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Brownwater Hull and PI
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Brownwater Hull and PI
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Offshore Energy
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Liabilities

• Brief Description

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Yachts413 ft Octopus
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2003 CY Results US MarketPremiums vs. Combined
Ratio(USD Bn)
Source AIMU 2003 Calendar Year Operating Ratios
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2003 CY Results US Cargo MarketPremiums vs.
Combined Ratio(USD Million)
Source AIMU 2003 Calendar Year Operating Ratios
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2003 CY Results US Ocean Hull MarketPremiums
vs. Combined Ratio(USD Million)

Source AIMU 2003 Calendar Year Operating Ratios
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2003 CY Results US All Other Hull
MarketPremiums vs. Combined Ratio(USD Million)

Source AIMU 2003 Calendar Year Operating Ratios
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2003 CY Results US PI MarketPremiums vs.
Combined Ratio(USD Million)

Source AIMU 2003 Calendar Year Operating Ratios
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2003 CY Results US Yacht MarketPremiums vs.
Combined Ratio(USD Million)

Source AIMU 2003 Calendar Year Operating Ratios
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2003 CY Results US Primary Liab MarketPremiums
vs. Combined Ratio(USD Million)

Source AIMU 2003 Calendar Year Operating Ratios
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2003 CY Results US Offshore MarketPremiums vs.
Combined Ratio(USD Million)

Source AIMU 2003 Calendar Year Operating Ratios
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Recent Loss Activity
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Rigs in Path Of Ivan _at_ 9/15/04
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Structures at 9/15/04
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Ivan - Ensco 64
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Ivan - Murphy Medusa Spar
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Petronius VK786
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Recent Loss Activity
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Outlook

• Current Market
• Profitable in many classes
• Offshore and Yachts presented CAT losses in 2004
• Quantitative Analysis
• Actuarial
• Cat Modeling