The role of the Group

The reinsurance function

One of the main roles of the Group is co-ordinating the operation and regulation of the clubsÌ claim-sharing agreement (the Pooling Agreement). All qualifying claims in excess of $8 million are shared between clubs in accordance with the terms of the Pooling Agreement by which the clubs reinsure each other for claims in excess of $8 million. Much of the Group's work involves defining and refining the scope of cover for pool claims and the rules and guidelines under which claims are shared.

This claim-sharing agreement is underpinned by a very extensive market reinsurance programme which the Group clubs arrange.

The representative function

The Group provides a forum for Group clubs to develop common policy and promote shipownersÌ interests in relation to liability and insurance issues.

The Group provides an effective voice for the members of the individual clubs to speak collectively on important industry issues, for example on international conventions and legislation affecting shipownersÌ liabilities and related insurance matters. It carries out this function in relation to, and liaises with:

• inter-governmental bodies such as IMO, UNCITRAL and OECD
• national governments and the EU
• other industry organisations such as ICS, Intertanko, BIMCO, OCIMF etc.

Exchange of information

The Group provides a useful forum for sharing information on matters of concern to clubs and their members. These include general issues such as oil pollution and personal injury as well as current issues such as maritime security, places of refuge for ships in distress, the carriage of particular cargoes etc.