Britannia Report and Financial Statements 2024

ANNUAL REPORT AND FINANCIAL STATEMENTS
20 FEBRUARY 2024
THE BRITANNIA STEAM SHIP INSURANCE ASSOCIATION HOLDINGS LIMITED
DNK
BRITANNIA GROUP REGIONAL HUBS
THE BRITANNIA GROUP’S COPENHAGEN, DENMARK 4
MISSION STATEMENT IS TO BE
THE FINEST PROVIDER OF P&I
AND FD&D INSURANCE BY:
• OFFERING OUR MEMBERS THE

ESP
BILBAO, SPAIN 8
GBR
HIGHEST LEVEL OF SERVICE
• MAINTAINING OUR FINANCIAL LONDON, UK 7
STRENGTH
GRC
• SUPPORTING MUTUALITY
The strategic report outlines key information for the year ending PIRAEUS, GREECE 11
20 February 2024, while showing how we look to meet our
mission statement.
CONTENTS HKG
HONG KONG 15
JPN
STRATEGIC REPORT
1 Key performance indicators
2 Chairman’s statement
5 Financial review TOKYO AND KOBE, JAPAN 17
6 Investment strategy and performance
8 International Group reinsurance
KOR
10 Membership
12 Loss prevention
13 Sustainability
14 Class 3 – Protection and Indemnity (P&I) SEOUL, KOREA 12
16 Class 6 – Freight, Demurrage and Defence (FD&D)
19 Members of the Board
LUX
20 Corporate governance
21 Management and mutual nature
23 Statement of Compliance with
Section 172(1) of the Companies Act 2006 LUXEMBOURG 18
24 STATUTORY DIRECTORS’ REPORT
SGP
27 FINANCIAL STATEMENTS
27 Statement of directors’ responsibilities
28 Independent auditors’ report to the SINGAPORE 22
Members
35 Consolidated income and
expenditure account
36 Consolidated statement of financial
position
37 Consolidated statement of cash flows TAIPEI, TAIWAN 25
38 Company statement of financial position
39 Notes to the financial statements
USA
56 Class 3 – Protection and Indemnity
policy year statement
NEW YORK, USA 26

ANNUAL REPORT AND FINANCIAL STATEMENTS 2024 STRATEGIC REPORT 1
248 33
KEY
PERFORMANCE
INDICATORS
MEMBERS COUNTRIES
SHIPS BY TYPE (% OF TOTAL)

BULK CARRIER/ 31
4,217
OBO 35
TANKERS 16
(CRUDE) 15
TANKERS 17
(OTHERS) 16
SHIPS CONTAINERS 29
19
GENERAL CARGO 5
6
ENTERED TONNAGE BY
OTHERS 2
AREA OF MANAGEMENT
9
141.7m
CLASS 3 (% OF TOTAL)
START 0F 2023/24 POLICY YEAR
AGE OF SHIPS (% OF TOTAL)

42.3 ASIA
04 YEARS 19
20
11.0 SCANDINAVIA
OWNED TONNAGE
59 YEARS 26
20
38.7 REST OF EUROPE

1014 YEARS 28
28
1519 YEARS 19
4.0
55.2m
AMERICAS 17
20 YEARS + 8
3.4 MIDDLE EAST

15
ENTERED TONNAGE (OWNED)

0.6 AUSTRALASIA CHARTERED TONNAGE WORLD TONNAGE
20 FEB 2024 20 FEB 2023 20 FEB 2022

(m gt) (m gt) (m gt)
ENTERED TONNAGE (OWNED) 141.7 142.0 134.7

ENTERED TONNAGE (CHARTERED) 55.2 51.0 73.5
KEY FINANCIAL DATA USD(000) USD(000) USD(000)
CALLS AND PREMIUMS* 288,815 258,140 216,931

NET CLAIMS INCURRED* (181,261) (169,933) (164,888)
INVESTMENT INCOME* 63,573 (63,781) 16,048
NET OPERATING EXPENSES* (50,245) (46,490) (39,113)
NET (DEFICIT)/SURPLUS AFTER TAXATION* 58,243 (77,837) (13,950)
FREE RESERVES 549,931 501,688 587,869
COMBINED RATIO 102.3% 106.6% 116.4%
IG AVERAGE EXPENSE RATIO 15.48% 15.39% 12.53%
STANDARD & POOR’S RATING A (negative) A (negative) A (negative)
*These balances consist of The Britannia Steam Ship Insurance Association Holdings Limited (Britannia Holdings),
The Britannia Steam Ship Insurance Association Limited (Britannia (UK)), The Britannia Steam Ship Insurance Association Europe
(Britannia Europe), Universal Shipowners Marine Insurance Association Limited (USMIA) and Hydra Insurance Company Limited –
Britannia Cell.
2 THE BRITANNIA STEAM SHIP INSURANCE ASSOCIATION HOLDINGS LIMITED
CHAIRMAN’S STATEMENT
LONDON, UK
BILBAO, SPAIN
THE BRITANNIA GROUP REMAINS COMMITTED TO BEING THE FINEST P&I AND FD&D INSURER
AND THIS STRATEGIC REPORT DETAILS HOW WE STRIVE TO MEET THAT COMMITMENT.
This report on the Britannia Group’s past financial

year, the outlook for the coming years, and the
geopolitical and world economic situation, taken all
together, paint a very mixed picture.
Total claims, especially from Pool claims, have been

moderate, the past year’s corporate structure
changes have strengthened our organisation,
investments performed well and a further USD10m
capital distribution was made to mutual P&I
Members. Most important, the 2023/24 policy year
combined result has improved compared to 2022/23
as we move towards breakeven. At the same time
the conflicts resulting from the Russian invasion of authorities and policy makers to co-ordinate and
Ukraine and the Hamas attack on Israel continue, we promote the interests of the shipping community.
see geopolitical risks in other parts of the world and
several economies are in, or risk being in, recession. As in the past years, the result of the 20 February
There is also continuing uncertainty resulting from 2024 renewal confirms our Members’ loyalty to the
international sanctions and the increasing size of the Britannia Group and their appreciation of the
‘parallel’ fleet. Inevitably these negative factors consistent high level of service and financial
affect world trade and shipping as well as the stability. Tonnage remains unchanged at the
Britannia Group and its Members. beginning of the 2024/25 policy year. The quality of
our membership remains at the highest level and
The start of 2024 saw attacks on shipping off the the effective renewal cost increase to the Members
coast of Yemen and the re-emergence of piracy. The was a move to ensure a sustainable underwriting
security and health of ships’ crews remain a major base, while our mutual P&I Members also benefited
concern. Also, many of the shipping industry from a further USD10m capital distribution and the
changes required to meet environmental targets will reduction in reinsurance rates.
result in additional tasks and responsibilities for
both owners and their crew. Despite all of the The Britannia Group’s strategic targets sit
high-level pressures on shipping, we should ensure comfortably with our proven, long-term guiding
that crews and officers are not overburdened and values; financial stability, a superior level of
can continue to work safely. As a member of the service to Members, active cost control and
International Group, we interact globally with conservative growth.
NEW YORK, USA
SINGAPORE
CHAIRMAN’S STATEMENT
COPENHAGEN, DENMARK
SEOUL, KOREA
HONG KONG
AS IN PAST YEARS, THE RESULT OF THE 20 FEBRUARY 2024 RENEWAL CONFIRMS

OUR MEMBERS’ LOYALTY TO THE BRITANNIA GROUP AND THEIR APPRECIATION
OF THE CONSISTENT HIGH LEVEL OF SERVICE AND FINANCIAL STABILITY.
PIRAEUS, GREECE LUXEMBOURG
Aligned with our targets, the Britannia Group has I also thank K M Sheth, who was a member of the
made further investments in the organisation, Committee and MRC for 35 years. Both were active
specifically in the regional hubs and loss prevention. in advising the Board and the Managers.
The structure of our investment portfolio is
proactively adjusted to co-ordinate with claims It gives me pleasure to have welcomed the following
expectations and seeks to protect against market to the MRC: D Bond, J Cordeiro, A Laios and
fluctuations. Loss prevention continues to be a major K Sonoda. In addition, we welcomed N Yamamoto
focus. Further new business and growth to the Board (a member of the MRC since 2021).
opportunities will be evaluated as to their value in Full details of the membership of the Boards and
improving the quality of service to the Members MRC, and their subcommittees, are found on
after first having assessed possible risks. our website.
We monitor delivery of our services through regular Last, it is important that I acknowledge the incident
Members’ surveys, including tracking areas where on 26 March 2024 (after the 2023/24 policy year-end)
we can improve to ensure we provide the highest involving the DALI’s allision with the Francis Scott
level of service. Key Bridge, Baltimore. Any claim involving the loss
of life is tragic and my thoughts are with all involved.
Since 20 February 2023 we have had some changes In the meantime, our Members continue to
within both the Members' Representative Committee co-operate with all authorities.
(MRC) and Boards. So, I say farewell and thank you
to the following, who resigned from the MRC during
the course of the year: P Enoizi, S Enslev, A Bisbas,
S Kitazato, F A Alasmari, K Koo and K M Sheth.
I would like to especially thank Kenneth Koo, who
also Chaired our Standards Subcommittee for Anthony Firmin Chairman
seven years and was responsible for many positive
developments in the area of loss prevention.
TOKYO AND KOBE, JAPAN
TAIPEI, TAIWAN
BRITANNIA P&I DENMARK
OUR COPENHAGEN HUB WAS

ESTABLISHED IN 2018 WITH THE
AIM OF FURTHER STRENGTHENING
THE CLUB'S SUPPORT FOR THE
SCANDINAVIAN MARITIME SECTOR.
SCANDINAVIA IS A CRUCIAL
MARKET FOR BRITANNIA P&I,
CONSTITUTING APPROXIMATELY
11% OF OUR ENTERED TONNAGE.
THE HUB SPECIFICALLY SERVES THE
NEEDS OF NORDIC SHIPOWNERS
AND OPERATORS THROUGH
PROVIDING TAILORED MEMBER
SERVICES, CLAIMS ASSISTANCE,
AND RISK MANAGEMENT.
COPENHAGEN
FINANCIAL REVIEW
THE BRITANNIA GROUP IS RECOGNISED FOR ITS FINANCIAL STRENGTH, WITH S&P
ASSIGNING US AAA CAPITAL AND EXCEPTIONAL LIQUIDITY. THIS FINANCIAL STRENGTH
UNDERPINS OUR ABILITY TO SUCCESSFULLY NAVIGATE AN UNCERTAIN AND CHANGING
WORLD AND TO PROVIDE THE HIGHEST LEVEL OF SERVICE TO MEMBERS.
This strength is built on the solid foundations of a Our investment performance was, again, volatile
prudent approach to reserving claims liabilities that but the return of USD63.5m showed positive
results in a strong balance sheet and sensible use of contributions from all areas of the portfolio. See the
Members’ capital. This capital strength reassures Investments section for more information.
Members that we will pay their claims when
required while looking to return surplus capital to Calls and premiums were USD288.8m (compared
Members whenever possible. with USD258.1m for the prior year). This reflects
increased tonnage and the start of the move to
On 26 March 2024 the container ship DALI, which achieving underwriting balance. Reinsurance costs
is entered with the Britannia Group, allided with one were higher, both for the GXL and the other
of the pillars of the Francis Scott Key Bridge, reinsurances bought by the Britannia Group.
Baltimore at approximately 01:30 local time on its
journey from Baltimore to Columbo. The ship’s Claims incurred in the financial year were slightly
owners and their managers continue to work with higher than the prior year, but the claims ratio
the relevant authorities. The exact cause of the showed a pleasing fall from 84% to 80%. Pool claims
incident is yet to be determined and a full in the 2023/24 policy year were again light, but in
investigation has been launched by the National contrast to last year there was no significant
Transportation Safety Board. In allision incidents deterioration in prior year Pool claims. See the
such as this there is a presumption of liability on the Claims section for more details.
part of the ship, however the quantum of any loss
and final liability are yet to be determined. Claims Our expense ratio was 22.2% (down from 22.9%)
arising from this incident will fall within the 2024/25 based purely as a proportion of net premium. This
policy year. differs from the ratio in note 9 as that also includes
investment income in the calculation. This reflects
The insurance position in relation to the DALI is that, the Board’s continued emphasis on providing value
in common with all IG P&I Clubs, the Britannia to our Members.
Group uses a combination of its own balance sheet,
intragroup reinsurers, Pooling between all 12 IG The Britannia Group remains in robust financial
Clubs and external reinsurers (the General Excess of shape with USD549.9m of free reserves at
Loss Contract (GXL)) to fund claims as they fall due. 20 February 2024 (up from USD501.7m a year ago).
See the Reinsurance section for more details. That capital strength enabled the Board to continue
to support its membership by declaring in October
Returning to 2023/24, the result for the year is a 2023 a further capital distribution of USD10m.
profit of USD58.2m, which consists of an
underwriting loss of USD5.3m and an investment
return of USD63.5m. The Britannia Group has a
strategic goal to return to underwriting balance i.e.
an underwriting balance equivalent to a combined
ratio of 100%. We continue to use our financial
strength to achieve that goal over a sustainable
timeline. The combined ratio for the year ended
20 February 2024 is 102% (compared to 107% in
2023 and 116% in 2022). Further progress has been
made at the 2024 renewal through a combination of
measures e.g. rate increases, changes in deductibles
and some targeted remedial action.
INVESTMENT STRATEGY AND PERFORMANCE
THE MARKET REMAINS VOLATILE IN PART DUE TO THE ONGOING WAR IN UKRAINE, THE
CONFLICT IN GAZA, AND THE DIFFICULTIES FACED BY VESSELS TRANSITING THE RED SEA TO
AND FROM THE SUEZ CANAL.
Continuing high inflation and interest rates have The year ended 20 February 2024 was challenging
also affected economic activity. In 2022, the Board for investment markets but has resulted in a very
agreed a new investment strategy which has proved positive investment return. There were three distinct
to be resilient and adaptable to market movements phases to the year for investment returns:
over the last year.
PHASE 1 – up until the end of July there were
During 2023, the Board re-examined its investment positive returns from all areas of the portfolio,
risk tolerance and the way in which it responds to particularly bonds and developed market equities.
market movements, both positive and negative.
Investment risk tolerance is a forward-looking metric PHASE 2 – from August until the end of October saw
that helps the Board set a long-term investment flat returns from bonds and equities give up all of
strategy and asset allocation. The tolerance has been the gains from the first phase.
set using a 1 in 10 value in risk over one year to
ensure the portfolio can withstand future volatility PHASE 3 – saw strong growth in all areas of the
while maintaining the flexibility to cater for portfolio, particularly equities, on the back of ‘the
short-term fluctuation. That flexibility enabled the magnificent seven’ US tech stocks.
Board to maintain the Britannia Group’s financial
strength but also take advantage of positive The graph below shows those three phases.
developments in the equity markets and relatively
high long-term interest rates. At the same time, we
maintained the strategic asset allocation that INVESTMENT RETURN 2023/24
USD
supports the Britannia Group’s financial strength.
60M
50M
The graph below shows the asset allocation at PHASE 3
20 February 2024. 40M
PHASE 2 30M
PHASE 1
20M
INVESTED FUNDS AT MARKET VALUE 10M
20 FEBRUARY 2024 0
TYPE OF INVESTMENT 10M
2023/24
ABSOLUTE RETURN BOND FUNDS 10%
CORPORATE BONDS 11% The overall return for the year was USD63.5m or
6.6%. As we head into the new policy year the
DIVERSIFIED GROWTH FUND 9% portfolio is well positioned within the strategic
asset allocation to navigate any future turbulence.
EM EQUITIES 2%
Longer-term expected returns from the portfolio
DM EQUITIES 11% are now 5.1% pa and reflect the expectation that
MATCHING PORTFOLIO 57% interest rates will begin to ease in 2024. This return
is considerably higher than in recent years and
nearer to the returns expected before the 2008
financial crisis.
SINCE ITS ESTABLISHMENT IN 1855, THE BRITANNIA P&I CLUB HAS MAINTAINED ITS
OPERATIONAL HEADQUARTERS IN LONDON, MAKING OUR UK HUB THE CENTRE FOR
THE CLUB'S WORLDWIDE OPERATIONS. WITH A TEAM OF OVER 230 PROFESSIONALS,
THE LONDON OFFICE OFFERS COMPREHENSIVE MEMBER SERVICES, INCLUDING
CLAIMS MANAGEMENT, UNDERWRITING, LOSS PREVENTION AND REGULATORY
COMPLIANCE SUPPORT, AND COORDINATES THE BRITANNIA GROUP’S OPERATIONS
AND ACTIVITIES WORLDWIDE.
BRITANNIA P&I UK
INTERNATIONAL GROUP REINSURANCE
THE INTERNATIONAL GROUP (IG) CONTINUES TO ARRANGE COLLECTIVE REINSURANCE FOR

THE BENEFIT OF ALL MUTUAL MEMBERS, REPRESENTING THE MOST EFFICIENT FORM OF
REINSURANCE AND RISK SHARING.
The Pooling and GXL reinsurance structure for the The main GXL placement has been maintained as
2024/25 policy year was finalised in late December three layers (Layers 1-3, USD2bn excess of
2023. The pooling arrangements are unchanged with USD100m). There continues to be the USD1bn
each Club retaining the first USD10m of each owned Collective Overspill cover excess of the GXL together
P&I claim. Between USD10m and USD100m, claims with three private placements in Layer 1 (maintaining
are pooled between the 12 IG Clubs. The IG’s captive their 25% overall share).
Hydra continues to reinsure the Clubs for claims in
excess of USD30m up to USD100m as well as for The Collective Overspill (USD1bn excess of USD2.1bn)
the Annual Aggregate Deductible within the first and ancillary covers were renewed with premiums
layer of the GXL. included within the overall rate per GT.
Notwithstanding some deterioration in prior years’ The IG’s Bermuda based reinsurance captive Hydra
claims within the Pool, the overall impact on the IG’s continues to support the IG through its risk retention.
reinsurance partners was not significant and the This enhances stability in pricing. The use of private
2023 hurricane season was less impactful than in placements has also continued to give shipowners
the previous year including other non-marine losses. greater pricing stability.
All vessel classes saw a reduction in reinsurance
costs, which was a more positive outcome than had
been expected at the start of the renewal process.
BRITANNIA P&I SPAIN
BILBAO
THE BRITANNIA GROUP'S EXCLUSIVE SPANISH

CORRESPONDENT, CORREDURIA GENERAL
MARITIMA, IS BASED IN GETXO (IN BILBAO’S
ESTUARY) AND HAS BEEN LINKED TO THE
BRITANNIA GROUP AND TINDALL RILEY FOR
125 YEARS. SINCE THE MID1980S CORREDURIA
HAS FOCUSED EXCLUSIVELY ON THE MARINE
INSURANCE BUSINESS, AS WELL AS ACTING AS
OUR LOCAL PORT CORRESPONDENTS TO ASSIST
VESSELS THAT MAY ENCOUNTER PROBLEMS
WHEN CALLING IN BILBAO.
REINSURANCE COST ALLOCATION 2024/25

As part of its annual analysis and in addition to reviewing premiums,
the IG’s Reinsurance Committee looked at vessel categories.
The conclusions were that there should be no change in the number

of categories at this time, but that there should be some adjustments to
the relative rate changes having regard to each category’s historical
claims performance against the GXL. The record for PCCs will remain
under review.
2024 RATE IN US CENTS % CHANGE IN RATE

TONNAGE CATEGORY PER GT PER GT
PERSISTENT OIL TANKERS 61.63 7.5%
CLEAN TANKERS 39.82 1.7%
DRY 58.63 2.1%
FCC 72.04 1.0%
PASSENGER 338.42 12.5%
CHARTERED TANKERS 31.27 0.0%
CHARTERED DRIES 15.26 0.0%
INTERNATIONAL GROUP EXCESS OF LOSS (GXL) REINSURANCE PROGRAMME 2024/25 POLICY YEAR (NOT TO SCALE)
THE DIAGRAM BELOW ILLUSTRATES THE LAYER AND PARTICIPATION STRUCTURE OF THE GXL PROGRAMME FOR 2024.
USD
3.1BN
COLLECTIVE OVERSPILL
USD1BN AND IN THE ANNUAL AGGREGATE,
(ONE REINSTATEMENT) xs USD2.1BN
2.1BN
LAYER 3 LAYER 3
USD600M xs USD1.5BN USD600M xs USD1.5BN
ANNUAL AGGREGATE USD600M
1.5BN
LAYER 2 LAYER 2
USD750M xs USD750M USD750M
(BUT USD250M FOR OIL POLLUTION)
xs USD750M
ANNUAL AGGREGATE USD750M
1BN
LAYER 2
USD250M xs USD750M
750M
LAYER 1 LAYER 1
USD650M USD650M
xs USD100M  75% ORDER xs USD100M  75% ORDER
PP 1  10%
PP 2  10%
PP 1  10%
PP 2  10%
PP 3  5%
PP 3  5%
USD107.1M AAD (FOR 75% ORDER) USD107.1M AAD (FOR 75% ORDER)
100M
POOL
OIL POLLUTION ONLY P&I MALICIOUS CYBER, COVID19 AND

LAYERS 2 AND 3 LIMITED COVER LAYERS 2 AND 3 LIMITED COVER PANDEMIC ONLY IN RESPECT OF
IN RESPECT OF MALICIOUS CYBER, IN RESPECT OF MALICIOUS CYBER, LAYERS 2 AND 3 ONLY.
COVID19 AND PANDEMIC. COVID19 AND PANDEMIC.
MEMBERSHIP
THE BRITANNIA GROUP IS COMMITTED TO MUTUALITY AND TO SAFEGUARDING ITS FINANCIAL
STRENGTH THROUGH ENHANCED PRICING ADEQUACY, ALLOWING FOR A MANAGED
SUSTAINABLE RETURN TO BREAKEVEN UNDERWRITING.
Following a number of years of premium reductions renewal target was a significant challenge when
across the market, there has been a gradual shipowners were extremely sensitive to increasing
increase in rates over the past couple of years costs. As a result there were a number of Members
which has started to reduce the underwriting with whom it was not possible to reach acceptable
deficit. The need to continue to address the renewal terms either in part or on whole fleet
underwriting imbalance and to reduce exposure to entries. This resulted in a modest reduction on the
underperforming sectors of the entry saw the day in entered tonnage, although the Britannia
Britannia Group’s Board target an improvement in Group commences the new policy year stronger in
the premium adequacy equal to a 7.5% increase on terms of both pricing adequacy and risk profile.
the expiring Estimated Total Call for the 2024 policy
year renewal. At the start of the 2024/25 policy year, the Britannia
Group’s owned tonnage totalled approximately
The technical-based approach to renewal promoted 141.7m gt, which meant the net reduction of tonnage
sustainable premiums and provided flexibility to at renewal matched the gains during the policy year.
consider a suite of measures to achieve the target, Committed tonnage for delivery during the new
including encouraging Members to retain more risk policy year is likely to result in further tonnage
in lieu of premium increases. Securing this year’s growth. Chartered tonnage now stands at
approximately 55m gt.
Entered tonnage by area of management reflects

ENTERED TONNAGE BY AREA OF the global reach of the Britannia Group supported
MANAGEMENT  CLASS 3 strongly by its regional hub offices, which underpin
(START OF 2024/25 POLICY YEAR) our commitment to service. The entry by ship type
underlines the continued commitment to core areas
ASIA 42.3%
of shipping and mutuality.
MIDDLE EAST 3.4%
SCANDINAVIA 11.0%
The Britannia Group aims to continue to improve
operating performance and reach breakeven
AUSTRALASIA 0.6%
AMERICAS 4.0%
underwriting over the medium term, with a strategy
for managing the existing entry and any future
growth that matches these key objectives.
REST OF EUROPE 38.7%
SHIPS BY TYPE (% OF TOTAL) AGE OF SHIPS (% OF TOTAL)

(START OF 2024/25 POLICY YEAR) (START OF 2024/25 POLICY YEAR)
BULK CARRIER/ 31 04 YEARS 19

OBO
35 20
TANKERS 16 59 YEARS 26
(CRUDE)
15 20
TANKERS 17 1014 YEARS 28
(OTHERS)
16 28
CONTAINERS 29 1519 YEARS 19
19 17
GENERAL CARGO 5 20 YEARS + 8
6 15
OTHERS 2
9 ENTERED TONNAGE (OWNED)
WORLD TONNAGE
THE GROWTH OF THE BRITANNIA GROUP’S TONNAGE IN GREECE PROMPTED

THE CLUB TO OPEN AN OFFICE IN 2018. THE HUB PROVIDES COMPREHENSIVE
MEMBER SUPPORT, CLAIMS MANAGEMENT AND RISK MITIGATION SOLUTIONS
TAILORED TO THE REQUIREMENTS OF OUR GREEK MEMBERS. THE TEAM
FOSTERS STRONG RELATIONSHIPS WITH LOCAL STAKEHOLDERS AND THE
HUB NOW ACCOUNTS FOR 16% OF OUR ENTERED TONNAGE.
BRITANNIA P&I GREECE

LOSS PREVENTION
PROVIDING A PERSONALISED LOSS PREVENTION SERVICE HAS ALWAYS BEEN A CRUCIAL ASPECT
OF THE BRITANNIA GROUP’S ETHOS AND CENTRAL TO THE LOSS PREVENTION STRATEGY.
The adoption of a data-driven and risk-based process. Loss prevention will meet with Members’
analytical approach enables loss prevention to tailor technical management teams to discuss areas that
its initiatives to address the main identified exposure may have a bearing on claims exposure and
areas to the Club and to Members. consider how loss prevention can assist in
mitigating any perceived risks.
The Britannia Group’s loss prevention team now
comprises ten marine specialists who, drawing on The Britannia Group continues to publish topical
extensive shipping experience, provide Members publications and materials including ‘Insight’
with technical expertise to understand and reports developed in collaboration with industry
effectively mitigate risks across all technical aspects experts. These publications provide useful guidance
of the shipping industry. With loss prevention on specific issues of interest to Members. Going
resources in both London and Singapore, there is forward the publication portfolio will also include
coverage across time zones ensuring a timely, papers providing a more technical focus to help
high-quality service to all Members as required. Members better understand emerging risks in a
shipping environment that has become increasingly
The loss prevention team continues to develop complex to navigate.
initiatives to help Members and the wider industry
mitigate their risk exposure. In 2024, a loss As part of the Britannia Group’s award-winning
prevention claims analysis programme will be BSafe initiative, quarterly case studies have been
introduced to assist Members’ understanding of launched in addition to a series of videos
their claims records, which will enable targeted addressing critical safety issues facing seafarers.
initiatives moving to a more preventive rather than The first video in the series on Working at Heights,
reactive approach. was well received and has been included in the
training programme of a large third-party technical
Management Reviews are routinely conducted as manager, making it available to almost 40,000
part of the Britannia Group’s new Member induction seafarers.
BRITANNIA P&I SOUTH KOREA
B KOREA WAS LAUNCHED IN 2021 AND ITS ESTABLISHMENT

REFLECTS THE BRITANNIA GROUP’S COMMITMENT TO
SHIPOWNERS AND OPERATORS IN KOREA. THE OFFICE IS
STAFFED BY A PROFESSIONAL TEAM WITH SUBSTANTIAL
EXPERIENCE IN THE P&I BUSINESS, WHO HAVE BEEN CLOSELY
ASSOCIATED WITH BRITANNIA P&I FOR MANY YEARS.
SUSTAINABILITY
IN AN EVER MORE COMPLEX AND FASTCHANGING WORLD FOR OUR MEMBERSHIP TO
NAVIGATE, THE BRITANNIA GROUP WILL CONTINUE TO MEET AND RESPOND TO THE
EXPECTATIONS OF OUR MEMBERS, OTHER STAKEHOLDERS AND THE SHIPPING
INDUSTRY TO ADDRESS ESG CHALLENGES AND WORK TOWARDS CREATING A MORE
SUSTAINABLE FUTURE.
Over the last year the Britannia Group has continued Furthermore, our aim is to help our Members to
its work on ESG to support a more sustainable achieve their ESG goals while ensuring that the
world. In October 2023 we issued our third annual Managers’ operations are appropriately resourced
sustainability report providing the latest status on to allow us to be a key partner in the transition
our sustainability journey. Sustainability is now a journey. We are supporting our Members in a
fixed part of the Britannia Group’s Board meetings, number of different areas – our loss prevention
and its Risk & Audit and Investments Committees, department continues to organise seminars and
where we address our sustainability strategy webinars to help raise awareness of specific hazard
progress and emerging ESG risks and opportunities. areas such as helping to ensure the safety and
wellbeing of seafarers and protecting the marine
Our strategy is aligned with the ten principles of the environment. The loss prevention department
United Nations’ (UN) Global Compact and ten of the regularly produces insight in the form of articles and
UN Sustainable Development Goals (SDGs). reports to assist our membership in mitigating risk
exposure during the transition to green energy and
on emerging risks in relation to climate change and
the use of alternative fuels.
The Britannia Group continues to be active in

contributing to the work of the IG, helping to shape
the IG’s strategy and contributing to its core
workstreams. As a member of the IG’s Sustainability
Committee we were influential in drafting the IG’s
first sustainability report, published in July 2022,
as well as its next report, to be published in 2024.
In 2024 the Managers will be joining ClimateWise,

which is part of Cambridge University’s Centre for
Sustainable Finance. ClimateWise represents a
network of leading insurance organisations which
helps to align the expertise of its members to
directly support society as it responds to the risks
and opportunities of climate change. This will benefit
the Britannia Group and its Members by providing
access to thought leadership in the ESG field from
The Britannia Group and its Managers continue to the world’s leading insurers and academics.
support a wide range of volunteering and charity
fundraising activities undertaken by its employees
across its office locations. It also supports local
and maritime charities, particularly those concerned
with seafarer welfare, through regular donations.
In July 2023 the Britannia Group made separate
one-off donations of USD75,000 to four maritime
charitable organisations based in Bermuda (home
to our primary intragroup reinsurer, USMIA).
All the charities support aspiring or more
experienced sailors as well as local maritime
communities in Bermuda.
CLASS 3  PROTECTION AND INDEMNITY (P&I)

The following charts compare P&I claims notified POOL CLAIMS
at 20 February 2024 with the prior year. The Britannia Group continues to benefit from the
financial strength of Pooling claims with the 11 other
RETAINED CLAIMS IG Clubs.
While the five-year average claim numbers and
values have increased, this in part mirrors the As at 20 February 2024, 12 Pool claims had been
growth in the Britannia Group’s entered tonnage. notified within the IG for the 2023/24 policy year,
with a total ground up value of USD256.4m and of
As usual, the vast majority of claims notified in the which USD136.4m is covered by the Pool.
2023/24 policy year have a value of significantly less
than USD1m. Claims above USD1m are often small The following chart shows Pool volatility over the
in number but have a significant impact on any given past five years, which have seen aggregate claims
policy year. As at 20 February 2024, there were 20 range from USD256m to USD1.2bn (as at 20
claims above USD1m in respect of the 2023/24 February 2024).
policy year. While 20 is in line with the five-year
average, their USD75m aggregate value is 12.5% We continue to see Pool claims from other IG Clubs
higher than the five-year average. involving collisions or property damage. During
2023/24, one such claim was PRINCESS EMPRESS,
Our professional handling of claims reinforces our an oil tanker that sank off the coast of the
support of mutuality and the Britannia Group’s Philippines. The cargo of oil escaped and affected
membership. This includes our loss prevention and the shoreline and other sensitive natural resources.
claims teams continuing to work with Members to WAN HAI A02 was a container ship that, upon
identify trends and ‘learn lessons’. departure from a port in Vietnam, collided with a
bulk carrier that was discharging cargo at the berth.
Bridge team management and navigation continue to The collision resulted in damage to the bulk
pose challenges, with two of our three largest claims carrier, a collapse of the jetty and damage to a
notified in 2023/24 involving collisions. The first moored barge.
claim related to the sinking of a tug in the Suez
Canal, with the subsequent salvage operation
resulting in a disruption to other ships navigating
in the canal. The second claim involved the sinking
of a bulk carrier following a collision in a traffic
separation scheme in the North Sea, sadly resulting
in loss of life. The third largest claim involved a ship
coming into contact with a gantry crane at a
European port. The gantry crane collapsed causing
damage to cargo and significant damage to the crane.
CLASS 3 P&I CLAIMS

NUMBER OF CLAIMS THAT ARE GREATER ESTIMATED CLAIMS
THAN USD1M (NET) AT 20 FEBRUARY 2024 (USDM) AT 20 FEBRUARY 2024
2014/15 16 2014/15 98 143

2015/16 14 2015/16 89 483
2016/17 7 2016/17 66 71
2017/18 10 2017/18 80 103
2018/19 17 2018/19 109 241
2019/20 17 2019/20 94 126
2020/21 27 2020/21 150 278
2021/22 18 2021/22 147 223
2022/23 33 2022/23 174 221
2023/24 20 2023/24 127 183
NET
POOL AND REINSURANCE RECOVERIES
香 BRITANNIA P&I HONG KONG
港
OUR HONG KONG OFFICE OPENED
IN 2013 AND SERVES MEMBERS
IN HONG KONG, TAIWAN AND
MAINLAND CHINA, AS WELL AS IN
SOUTH KOREA, AND REPRESENTS
APPROXIMATELY 21% OF THE
BRITANNIA GROUP’S ENTERED
TONNAGE. THE HUB HAS A
DEDICATED TEAM OF 20
PROFESSIONALS FOCUSED ON
MEETING THE NEEDS OF OUR
MEMBERS ACROSS THE REGION.
CLASS 6  FREIGHT, DEMURRAGE AND DEFENCE (FD&D)
Class 6 FD&D provides our Members with insurance The charts below shows the number and value of
for legal costs relating to shipping disputes that are claims notified at 20 February 2024, compared to the
not already covered under Class 3 P&I or any other prior policy years at year end. Most FD&D disputes
form of insurance. The most common disputes relate are settled but a small number of cases are only
to the payment of hire, freight, demurrage and other resolved by a hearing after several years of legal
sums due under charterparties, cancellation and proceedings. These inevitably produce the highest
breaches of charterparty, hull damage and bunker value claims with estimated costs increasing as the
claims. For further details see: case progresses, with the most significant costs
https://bit.ly/FDandD usually being incurred in relation to the hearing
itself. This is illustrated by the chart showing the
The Britannia Group has a well-established global number of claims greater than USD50,000.
FD&D team, which seeks to handle as many claims
as practical in-house. For more complex claims or
where the amount in dispute is significant, we usually
work with external lawyers as well as experts.
CLASS 6 FD&D SHIPS ENTERED
2015/16 933
2016/17 878
2017/18 867
2018/19 938
2019/20 924
2020/21 931
2021/22 924
2022/23 1,003
2023/24 1,017
2024/25 1,120
CLASS 6 FD&D CLAIMS

NUMBER OF CLAIMS NOTIFIED TO DATE THAT ESTIMATED RETAINED CLAIMS
ARE GREATER THAN USD50,000 (NET) (USDM) AS AT 20 FEBRUARY 2024
2014/15 20 2014/15 4.0

2015/16 13 2015/16 3.4
2016/17 17 2016/17 3.8
2017/18 18 2017/18 4.3
2018/19 15 2018/19 9.3
2019/20 11 2019/20 3.9
2020/21 18 2020/21 5.7
2021/22 8 2021/22 3.9
2022/23 9 2022/23 6.2
2023/24 4 2023/24 5.1
GROSS AND NET

EVOLVING FROM THE BRITANNIA GROUP’S EXCLUSIVE

CORRESPONDENT IN JAPAN, OUR JAPAN OFFICES HAVE
A DEEPROOTED CONNECTION WITH THE CLUB AND
OUR MEMBERS. THE BRITANNIA GROUP’S PRESENCE IN
JAPAN DATES TO 1953 THROUGH OUR FORMER LOCAL
EXCLUSIVE CORRESPONDENTS, CORNES & CO. LTD. IN
1989, BRITANNIA P&I JAPAN WAS GRANTED THE FIRST
OVERSEAS P&I CLUB BUSINESS LICENCE IN JAPAN.
日
本
BRITANNIA P&I JAPAN
TOKYO
KOBE
BRITANNIA EUROPE’S HEADQUARTERS, BASED IN LUXEMBOURG,

IS STRATEGICALLY POSITIONED TO SERVE THE CLUB'S EUROPEAN
MEMBERSHIP BASE. WITH A DEDICATED TEAM, WE ENSURE THAT
BRITANNIA EUROPE MEETS ALL REGULATORY EXPECTATIONS.
BRITANNIA P&I LUXEMBOURG

MEMBERS OF THE BOARD
1
A J Firmin Hamburg1, 2, 3, 4 R Ching Hong Kong E Verbeeck Antwerp1 Risk & Audit Group
2
(Chair) S-C Lan Taipei2 X Villers London1, 3 Nomination Subcommittee
3
L Martel Montreal3 J Warwick London3, 4 Remuneration Group
4
C Munch Copenhagen1, 3 N Yamamoto Tokyo Investment Group
M Rothkopf Hamburg4 (Appointed 9 May 2023)
R L Sadler London1 A J Cutler London (Manager)2, 4
D F Saracakis Athens2, 4 M R A Hall London (Manager)2, 4
Taken at the Board meeting on 24 October 2023 in Athens.

CORPORATE GOVERNANCE
TRUSTED BY OUR MEMBERS SINCE 1855, OUR CORE VALUES REMAIN MUTUALITY, TRUST,
INTEGRITY, EXPERTISE AND EXCELLENCE. OUR PRIORITY IS OUR MEMBERS AND OUR TRACK
RECORD OF FINANCIAL STRENGTH, TOGETHER WITH A PREMIUM SERVICE, HAVE ESTABLISHED
THE BRITANNIA GROUP AS ONE OF THE MARKET LEADERS IN THE INTERNATIONAL GROUP (IG).
ONE OF OUR STRATEGIC AIMS IS A COMMITMENT TO THE IG AND WE CURRENTLY HOLD THE
ROLES OF IG CHAIR (ANDREW CUTLER) AND CHAIR OF THE PIVOTAL REINSURANCE COMMITTEE
(MIKE HALL).
THE CHART BELOW DETAILS THE CORPORATE STRUCTURE OF THE BRITANNIA GROUP
THE BRITANNIA STEAM SHIP INSURANCE

ASSOCIATION HOLDINGS LIMITED
(BRITANNIA HOLDINGS)
THE BRITANNIA STEAM SHIP INSURANCE THE BRITANNIA STEAM SHIP INSURANCE HYDRA INSURANCE
ASSOCIATION LIMITED ASSOCIATION EUROPE COMPANY LIMITED
(BRITANNIA (UK)) (BRITANNIA EUROPE) BRITANNIA CELL
(HYDRA)
BRITANNIA (UK) is regulated by the

BRITANNIA EUROPE BRANCHES
Prudential Regulation Authority
(PRA) and the Financial Conduct
Authority (FCA). UK
UNIVERSAL SHIPOWNERS MARINE
INSURANCE ASSOCIATION LIMITED
(USMIA) HONG KONG
90% quota share between USMIA and both

Britannia (UK) and Britannia Europe. JAPAN
SINGAPORE
TINDALL RILEY*
(BRITANNIA) DENMARK APS
Further details can be found on our
TINDALL RILEY & CO LIMITED**
website, in the meantime: (GREEK BRANCH)
• Britannia Holdings is the controlling • The Boards are the ultimate decision BRITANNIA EUROPE is regulated by the
Commissariat aux Assurances (CAA) and
member of both Britannia Europe and making body (e.g. in respect of deciding its branches are regulated by both the CAA
Britannia (UK). This ensures that our strategy, cover and Rule changes, and the PRA/FCA (UK), Insurance
across the Britannia Group we apply risk and capital strategies, appointment Authority (Hong Kong), Japanese Financial
Services Agency (Japan) and Monetary
common procedures and policies, along of auditors and decisions on premium). Authority of Singapore (Singapore).
with a consistent approach to the cover However, an important element within
*Tindall Riley (Britannia) Denmark ApS is
provided to Members, solvency, capital our structure is the Members’ registered with the Danish Business
management, risk, underwriting and Representative Committee (MRC); and Authority and the Danish Financial
Supervisory Authority and treated by the
claims handling; CAA as a regulatory branch of Britannia
• The MRC’s role includes acting as Europe.
• Whether insured by Britannia Europe a sounding board on all significant
** Tindall Riley & Co Limited (Greek
or Britannia (UK), every Member is part matters considered by the Boards Branch) is registered with the Bank of
of and benefits from the strength of the e.g. strategy, changes to our Rules Greece and treated by the CAA as a
regulatory branch of Britannia Europe.
Britannia Group; and calls.
• The Boards of Britannia Holdings,

Britannia Europe and Britannia (UK)
are identical in representation and
include an independent non-executive
Chair, non-executive industry experts,
representation from Members and two
Manager appointed directors;
MANAGEMENT AND MUTUAL NATURE

OUR ARTICLES OF ASSOCIATION SET OUT THE TERMS UNDER WHICH WE OPERATE, WITH OUR
MUTUAL STATUS DEFINED BY THE PROVISIONS CONTAINED IN THOSE ARTICLES AND ALSO THE
RULES OF BRITANNIA EUROPE AND BRITANNIA (UK).
We have appointed Tindall Riley & Co Limited, through its Member’s premium based on their individual risk and
wholly owned subsidiaries Tindall Riley Europe Sàrl and claims record over a ten-year period. Underpinning this, our
Tindall Riley (Britannia) Limited, as the Managers who take experienced team supports all of our Members by providing
care of our day to day business. We pay the Managers a fee professional and proactive advice on loss prevention and
to manage and provide these services, which is disclosed in claims management. Understanding our Members enables
the Britannia Group’s annual report and accounts. us to adapt our services to meet their needs.
We are committed to mutuality. As a mutual insurer we do

not have to answer to shareholders, only to our Members,
most of whom have been with us for many years. When
considering new Members, we look to ensure that they
mirror our values. Our mutuality allows us to write each
THE CHART BELOW DETAILS OUR GOVERNANCE STRUCTURE, INCLUDING THE RELATIONSHIP BETWEEN THE BOARDS AND THE MRC
STANDARDS MEMBERS’ REPRESENTATIVE ELECTION

SUBCOMMITTEE COMMITTEE (MRC) SUBCOMMITTEE
THE BRITANNIA HOLDINGS BOARD
REMUNERATION INVESTMENT NOMINATION RISK &

GROUP GROUP SUBCOMMITTEE AUDIT GROUP
THE BOARD THE BOARD

(BRITANNIA EUROPE) (BRITANNIA (UK))
RISK & RISK &

AUDIT GROUP AUDIT GROUP
The Boards and the MRC devolve some of their

authority to subcommittees, whose Terms of
Reference are found on our website.
ESTABLISHED IN 2018, THE SINGAPORE

HUB LOOKS AFTER MEMBERS ENTERED
IN THE BRITANNIA GROUP FROM INDIA,
ASEAN AND AUSTRALIA. THE SINGAPORE
TEAM ALSO HANDLES CLAIMS ARISING
IN THE REGION AND, WHERE REQUIRED,
WORKS IN ASSOCIATION WITH OUR
NETWORK OF LOCAL CORRESPONDENTS.
IN 2019, SINGAPORE’S INSURANCE
REGULATOR GRANTED BRITANNIA P&I
A LICENCE TO UNDERWRITE BUSINESS
FROM OUR SINGAPORE BRANCH WHICH
CURRENTLY REPRESENTS 7% OF THE
BRITANNIA GROUP’S ENTERED TONNAGE.
WITH A TEAM OF 25, THE SINGAPORE
OFFICE ALSO HAS LOSS PREVENTION
AND PEOPLE RISKS DEPARTMENTS.
BRITANNIA P&I SINGAPORE

STATEMENT OF COMPLIANCE WITH SECTION 172(1)

OF THE COMPANIES ACT 2006
SECTION 172(1) OF THE COMPANIES ACT 2006 REQUIRES THE DIRECTORS TO PROMOTE
THE SUCCESS OF THE BRITANNIA GROUP FOR THE BENEFIT OF THE MEMBERS AND OTHER
KEY STAKEHOLDERS.
In doing so, the directors must have regard to six main areas: current membership of the Associations is 25 years,
and the partnering relationship with the exclusive
• THE LIKELY CONSEQUENCES OF ANY DECISION TAKEN IN THE correspondents goes back in some cases over
LONG TERM; generations.
• THE INTERESTS OF EMPLOYEES, WHICH IN THE CASE OF THE One of the Britannia Group’s seven risk appetite
BRITANNIA GROUP RELATES TO THOSE EMPLOYED BY ITS statements relates to the long-term sustainability of
MANAGERS; its business. All key decisions of the Board, such as
those set out above, have regard to this principle
• THE NEED TO FOSTER BUSINESS RELATIONSHIPS WITH such that ‘short-termism’ is avoided in favour of the
SUPPLIERS, CUSTOMERS AND OTHERS; long-term view. The Board also sets economic
capital targets at high levels of confidence with the
• THE IMPACT OF THE OPERATIONS OF THE BRITANNIA GROUP ON aim of achieving long-term financial stability.
THE COMMUNITY AND THE ENVIRONMENT;
The relationship between the Britannia Group and
• THE DESIRE TO MAINTAIN A REPUTATION FOR HIGH the Managers, which dates back over 166 years, is
STANDARDS OF BUSINESS CONDUCT; AND symbiotic, in that the success of one is inextricably
linked to the success of the other. Decisions taken by
• THE NEED TO ACT FAIRLY AS BETWEEN THE MEMBERS OF THE the Board that directly impact the Managers, such as
BRITANNIA GROUP. the amount of the management fee, take full account
of this relationship, having regard to service levels
The Britannia Group’s key stakeholders are the and accountability.
Members, who comprise the shipowners and
charterers who have ships entered with it. Our We have a robust Environmental, Social and
corporate governance structure, explained in detail Governance (ESG) policy, which is used to assess
on pages 20 and 21, includes the Members’ the impact of our operations on the communities
Representative Committee, which includes in which it operates and on the wider environment.
representatives drawn from the Britannia Group’s It includes an assessment of the likely effects of
shipowner Members, and which allows wider political and climate change.
engagement with the membership on the impacts of
the main decisions of the Board, which include call Through its regulated entities, the Britannia Group
setting, capital distributions and investment strategy. aligns the way in which it does business with the
Regulators’ conduct rule, such as ‘treating customers
Further engagement with the membership takes fairly’. As a mutual insurance business, the fair
place through the Standards Subcommittee and the treatment by the Britannia Group of its Members is a
Loss Prevention Programme, described on page 12, fundamental principle. It has in place a Standards of
and the annual European and Asian Member Forums. Business Conduct policy, which sets out the
regulatory conduct rules and covers additional areas
The other principal stakeholders that have been such as the whistleblowing policy, how we manage
identified by the Board are the Managers, and their conflicts of interest, the remuneration policy, the
employees worldwide, who carry out all the day to Britannia Group’s modern slavery statement and the
day operational and management functions of the anti-bribery and corruption policy. We also have a
Britannia Group, and those others that provide Financial Crime policy.
services to it such as investment managers,
professional advisers, the exclusive and local Our reputation is fundamental to our ability to carry
correspondents, local experts such as surveyors, out business and we seek to protect this reputation
the Britannia Group’s reinsurance providers and by sticking firmly to the principles of fairness and
insurance brokers. We have built strong sound business conduct that the Board has
relationships with these stakeholders over the established.
years. In particular, the average length of the
STATUTORY DIRECTORS’ REPORT

THE PRINCIPAL ACTIVITIES OF THE BRITANNIA GROUP AND ITS SUBSIDIARIES DURING
THE YEAR WERE THE INSURANCE AND REINSURANCE OF THE RISKS OF PROTECTION AND
INDEMNITY (CLASS 3) AND FREIGHT, DEMURRAGE AND DEFENCE (CLASS 6).
PRINCIPAL ACTIVITIES Regulations 2018 (the Regulation) require the Group

The Strategic Report on pages 1 to 23 reports on to report publicly on its UK energy use and carbon
these activities and the financial results of the emissions as the Britannia Group has annual
Britannia Group for the year together with likely turnover in excess of GBP36m and a statement of
future developments. financial position balance in excess of GBP18m.
However, as the entirety of the management of the
FINANCIAL PERFORMANCE business is outsourced and managed by Tindall
The directors are satisfied with the performance Riley & Co Limited, the Britannia Group has no direct
as stated on page 1. control over these costs.
FINANCIAL INSTRUMENTS Hence, effectively this would classify the Britannia

Information on the use of financial instruments Group as a ‘low energy user’ and therefore no
by the Britannia Group and its management of disclosures have been made.
financial risk is addressed in Note 16 to the financial
statements. Our exposure to cash flow risk is FUTURE DEVELOPMENTS
addressed under the headings of credit risk, liquidity Likely future developments of the Britannia Group
risk and market risk in that note. are discussed in the Strategic Report.
AUDITOR DIRECTORS
The Managers are responsible for the preparation The members of the Board are directors of the
of the financial statements and have confirmed they Britannia Group for the purposes of the Companies
have provided all relevant audit information of Acts. The present members of the Board are listed
which they are aware. The Risk & Audit Group have on page 19 of this report.
considered the financial statements with the
Managers, met privately with the auditors, and On 17 May 2023 Mr E Verbeeck was re-elected to the
reported to the Board. Board following a change in his employment status.
He was then re-elected at the AGM on 4 July 2023.
So far as each of the persons who is a director at
the time of this report is aware, there is no relevant A J Cutler, A J Firmin, M R A Hall, D F Saracakis and
audit information of which the Britannia Group’s X V N Villers all retire by rotation at the forthcoming
auditors are unaware. The directors confirm that AGM and, being eligible, offer themselves for
they have taken all steps that they ought to have re-election as directors.
taken as directors to make themselves aware of any
relevant audit information and to establish that our DIRECTORS’ INDEMNITY INSURANCE
auditors are aware of that information. The Britannia Group has purchased directors’ and
officers’ liability insurance in respect of all of its
Deloitte LLP have expressed their willingness to directors and also its representatives on the MRC.
be reappointed as auditors of the Britannia Group.
A resolution to reappoint them as the Britannia GOING CONCERN
Group’s auditors and to authorise the directors to In accordance with the requirements of Financial
fix their remuneration will be proposed at the annual Reporting Standard 102, the Board of Directors has
general meeting (AGM). assessed the Britannia Group’s ability to continue as
a going concern. Our financial position, cash flows
The directors confirm that, to the best of their and liquidity position all form part of these financial
knowledge, the Strategic Report on pages 1 to 23 statements. Principal risks and uncertainties are set
includes a fair review of the development and out in Note 16 to the Financial Statements and
performance of the business and the position of the include reference to the Britannia Group’s objectives
Britannia Group, together with a description of the for managing capital in line with its financial risks as
principal risks and uncertainties that it faces. set out in its SFCR.
CARBON REPORTING Our most recent ORSA was completed during

Companies (Directors' Report) and Limited Liability November 2023. An important component of the
Partnerships (Energy and Carbon Reporting) ORSA process is an assessment of the Britannia
ANNUAL REPORT AND FINANCIAL STATEMENTS 2024 STATUTORY DIRECTORS’ REPORT 25
TAIWAN
THE TAIWAN OFFICE IS STAFFED BY AN EXPERIENCED TEAM,

WHO HAVE WORKED CLOSELY WITH THE BRITANNIA GROUP
FOR MANY YEARS. THEIR COLLECTIVE EXPERIENCE IN P&I
CLAIMS IS UNPARALLELED IN THE LOCAL MARKET. WITH A
FOCUS ON MEMBER SERVICES, CLAIMS ASSISTANCE, AND
RISK MANAGEMENT, B TAIWAN CATERS TO THE SPECIFIC
NEEDS OF TAIWANESE SHIPOWNERS AND OPERATORS.
Group’s projected future SCR and its projected own Accordingly, the Board considers it appropriate
funds available to meet its SCR. These forward- to adopt the going concern basis of accounting in
looking assessments project the Britannia Group preparing these financial statements.
managing its risks successfully and maintaining
sufficient financial resources to meet its SCR over SUBSEQUENT EVENTS
the period assessed. On 26 March 2024 the container ship DALI, which is
entered with the Britannia Group, allided with one of
The Britannia Group is exposed to a number of the pillars of the Francis Scott Key Bridge, Baltimore
financial risks, as set out in Note 16 to the Financial at approximately 01:30 local time on its journey from
Statements, which could negatively impact future Baltimore to Columbo. The ship’s owners and their
operating performance and financial strength. Events managers continue to work with the relevant
currently unfolding in Ukraine have contributed to authorities. The exact cause of the incident is yet to
what was already an elevated level of volatility in be determined and a full investigation has been
financial markets, but to date have not led to an launched by the National Transportation Safety
escalation in claims activity. Our Capital Management Board. In allision incidents such as this there is a
Plan lists potential management actions for the presumption of liability on the part of the ship,
Board to consider if there is ever a need to remedy a however the quantum of any loss and final liability
future capital deficiency. One potential management are yet to be determined. Claims arising from this
action is for the Board to exercise its contractual incident will fall within the 2024/25 policy year.
right, as a mutual organisation, to set Supplementary
Calls on our Mutual Members. By order of the Board
H J Connell
The Board has a reasonable expectation that the 6 June 2024
Britannia Group has adequate resources to continue
in operational existence for the foreseeable future, Companies House Number 11686576
and for at least 12 months from the date when these
financial statements were approved and signed.
THE BRITANNIA GROUP'S NEW YORK HUB,

ESTABLISHED IN 2020 AND OFFICIALLY
BECOMING PART OF THE BRITANNIA GROUP
IN 2023, PROVIDES SUPPORT TO ALL OUR
MEMBERS REQUIRING ASSISTANCE WITH
CLAIMS IN THE AMERICAS. THE OFFICE HAS
AN EIGHTSTRONG TEAM DEDICATED TO
PROVIDING EXCEPTIONAL SERVICE. NORTH
AMERICA IS AN INCREASINGLY IMPORTANT
MARKET FOR THE BRITANNIA GROUP AND
ACCOUNTS FOR APPROXIMATELY 4% OF OUR
ENTERED TONNAGE.
BRITANNIA P&I USA

ANNUAL REPORT AND FINANCIAL STATEMENTS 2024 FINANCIAL STATEMENTS 27
FINANCIAL STATEMENTS
STATEMENT OF DIRECTORS’ RESPONSIBILITIES
The directors are responsible for preparing the Strategic Report, Directors’ Report and the financial statements in accordance
with applicable law and regulations. Company law requires the directors to prepare financial statements for each financial
year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom
Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law, including FRS 102
‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’). Under Company law the directors must not
approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the
Britannia Group and its income and expenditure for that period. In preparing these financial statements, the directors are
required to:
• select suitable accounting policies and apply them consistently;
• make judgements and accounting estimates that are reasonable and prudent;
• state whether applicable accounting standards have been followed, subject to any material departures disclosed and
explained in the financial statements;
• prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Britannia Group
will continue in business.
The directors are responsible for keeping proper accounting records that show the Britannia Group’s transactions and disclose
with reasonable accuracy at any time the financial position of the Britannia Group and enable them to ensure that the financial
statements comply with the Companies Act 2006. They are also responsible for taking such steps as are reasonably open to
them to safeguard the assets of the Britannia Group and to prevent and detect fraud and other irregularities.
INDEPENDENT AUDITORS’ REPORT TO THE MEMBERS OF THE

BRITANNIA STEAM SHIP INSURANCE ASSOCIATION HOLDINGS LIMITED
REPORT ON THE AUDIT OF THE FINANCIAL STATEMENTS
1 OPINION
In our opinion the financial statements of The Britannia Steam Ship Insurance Association Holdings Limited (the ‘parent
company’) and its subsidiaries (the ‘Britannia Group’):
• give a true and fair view of the state of the Britannia Group’s and of the parent company’s affairs as at 20 February 2024 and
of the Britannia Group’s net surplus for the year then ended;
• have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice, including Financial
Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’; and Financial
Reporting Standard 103 ‘Insurance Contracts’ and
• have been prepared in accordance with the requirements of the Companies Act 2006.
We have audited the financial statements which comprise:
• the consolidated income and expenditure account
• the consolidated and parent company statements of financial position
• the consolidated statement of cash flows; and
• the related notes 1 to 24 (excluding the parts of note 16.6 (capital risk management) which are marked as unaudited.
The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting
Standards, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of
Ireland’; and Financial Reporting Standard 103 ‘Insurance Contracts’ (United Kingdom Generally Accepted Accounting Practice).
2 BASIS FOR OPINION

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our
responsibilities under those standards are further described in the auditor’s responsibilities for the audit of the financial
statements section of our report.
We are independent of the Britannia Group and the parent company in accordance with the ethical requirements that are
relevant to our audit of the financial statements in the UK, including the Financial Reporting Council’s (the FRC’s) Ethical
Standard and we have fulfilled our other ethical responsibilities in accordance with these requirements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
3 SUMMARY OF OUR AUDIT APPROACH
Key audit matters

The key audit matter that we identified in the current year was:
• Valuation of IBNR on retained claims reserves.
Within this report, the key audit matter is identified as follows:
<> Similar level of risk.

Materiality
The materiality that we used in the current year for the Britannia Group was USD16.5m which was determined on the basis of 3%
of net assets. For the parent company we used materiality of USD753,000 which was determined on the basis of 3% of net assets.
Scoping
Our scoping approach is to respond to the risk of material misstatement for financial significant components and components that
are material due to risk. The audit work was performed directly by the group audit engagement team.
Significant changes in our approach

There have been no significant changes to our approach in the current year.
4 CONCLUSIONS RELATING TO GOING CONCERN

In auditing the financial statements, we have concluded that the directors’ use of the going concern basis of accounting in the
preparation of the financial statements is appropriate.
Our evaluation of the directors’ assessment of the Britannia Group’s and parent company’s ability to continue to adopt the going
concern basis of accounting included:
• assessing the financial performance of the Britannia Group and parent company, including investment holdings, cash position,
technical provision reserves and net asset positions; this included performing a comparison analysis of the current year versus
prior year-end positions;
• evaluating management’s reverse stress testing within the Britannia Group Own Risk and Solvency Assessment (ORSA) report;
• assessing management’s forecasts for the 12-month period from the date of approval of the financial statements;
• assessing the historical accuracy of past forecasts; and
• assessing the appropriateness of the going concern disclosure in the financial statements.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that,
individually or collectively, may cast significant doubt on the Britannia Group's and parent company’s ability to continue as a
going concern for a period of at least 12 months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections
of this report.
5 KEY AUDIT MATTERS

Key audit matters are those matters that, in our professional judgement, were of most significance in our audit of the financial
statements of the current period and include the most significant assessed risks of material misstatement (whether or not due
to fraud) that we identified. These matters included those which had the greatest effect on: the overall audit strategy; the
allocation of resources in the audit; and directing the efforts of the engagement team.
These matters were addressed in the context of our audit of the financial statements as a whole, and in forming our opinion
thereon, and we do not provide a separate opinion on these matters.
5.1 Valuation of IBNR on retained claims reserves <>

Key audit matter description
Reserves for gross claims outstanding includes reserves for claims incurred but not reported (IBNR), which are typically
recognised to reflect the uncertainty around the ultimate losses that will be incurred arising from claims due to the long-term
nature of the Britannia Group’s exposure.
The IBNR reserve is inherently subjective with high estimation uncertainty, and alterations in underlying assumptions may have
a material impact of the financial position of the Britannia Group and on the results of its operations.
We have identified the valuation of IBNR on retained claims with a total amount of USD1.10bn (2022/23 – USD1.16bn) as our
key audit matter since reserving inherently involves uncertainty, and judgement in the selection of key methodologies and
assumptions relating to the frequency and severity of claims.
Further details are included in Note 7 of the financial statements.


5.1 Technical Provisions – Valuation of IBNR on retained claims reserves (continued)
How the scope of our audit responded to the key audit matter
We obtained an understanding of relevant controls over the reserving cycle and in relation to valuation of IBNR on retained
claims reserve;
With involvement of our actuarial specialists we assessed the appropriateness of the key assumptions and judgements used in
determining the valuation of IBNR on retained claims reserves;
We also performed audit procedures on testing the key inputs of the technical reserves balance by agreeing policy and claims
data to the underlying records; and
We performed a 'stand-back' analysis of technical provisions, evaluating whether audit evidence is robust and sufficient and
assessing for consistency with other information obtained during the audit.
Key observations
Based on the work performed, we concluded that the valuation of IBNR on retained claims reserves is reasonable.
6 OUR APPLICATION OF MATERIALITY
6.1 Materiality
We define materiality as the magnitude of misstatement in the financial statements that makes it probable that the economic
decisions of a reasonably knowledgeable person would be changed or influenced. We use materiality both in planning the scope
of our audit work and in evaluating the results of our work.
Based on our professional judgement, we determined materiality for the financial statements as a whole as follows:
Britannia Group financial statements Parent company financial statements
Materiality USD16.5m (2022/23 – USD15.3m) USD753,000 (2022/23 – USD750,000)
Basis for determining 3% of net assets (2022/23 – 3% of net assets) 3% of net assets (2022/23 – 3% of net assets)
materiality
Rationale for the The Britannia Group is a mutual insurance company, which exists for the benefit of its Members.
benchmark applied As such, we have judged net assets to be the most appropriate benchmark as this represents
the Britannia Group’s ability to meet claims as they fall due, which is deemed to be the most
significant to the Members. The parent is a holding company and we considered net assets to
be the most appropriate benchmark to use.
NET ASSETS USD551m
MATERIALITY USD16.5m
Risk & Audit Group
threshold USD0.83m
6.2 Performance materiality

We set performance materiality at a level lower than materiality to reduce the probability that, in aggregate, uncorrected and
undetected misstatements exceed the materiality for the financial statements as a whole.
Britannia Group financial statements Parent company financial statements
Performance materiality 65% (2022/23 – 65%) 65% (2022/23 – 65%)

of Britannia Group materiality of parent company materiality
Basis and rationale for In determining performance materiality, we considered the following factors:
determining performance a) the quality of the control environment and the fact that we did not rely on controls;
materiality b) our past experience of the audit, which has indicated a low number of corrected and
uncorrected misstatements identified in prior periods.
6.3 Error reporting threshold

We agreed with the Risk & Audit Group that we would report to the Committee all audit differences in excess of USD826,000 for
the Britannia Group (2022/23 – USD765,000) and USD37,000 for parent company (2022/23 – USD38,000), as well as differences
below that threshold that, in our view, warranted reporting on qualitative grounds. We also report to the Risk & Audit Group on
disclosure matters that we identified when assessing the overall presentation of the financial statements.
7 AN OVERVIEW OF THE SCOPE OF OUR AUDIT
7.1 Identification and scoping of components

The scope of our audit work was determined by obtaining an understanding of the Britannia Group and its environment and
assessing the risks of material misstatement at the Britannia Group level.
The Britannia Group is comprised of The Britannia Steam Ship Insurance Association Europe (Britannia Europe), The Britannia
Steam Ship Insurance Association Limited (Britannia (UK)), Universal Shipowners Marine Insurance Association (USMIA) and
Britannia’s Hydra cell (Hydra).
Britannia Europe is the main insurance risk carrier within the Britannia Group and, along with Britannia (UK) (a non-trading
regulated insurance company), is subject to full scope audit procedures performed by the Britannia Group audit team to
component materialities.
USMIA and Hydra provide reinsurance coverage within the Britannia Group, with mainly intra-group transactions and balances,
with the exception of investments and cash. Therefore, we performed specified audit procedures on prescribed balances
performed by the Britannia Group audit team to component materiality.
Component materialities ranged from USD238,000 to USD8.6m.
Based on the scope of our audit, we have scoped in 100% of consolidated calls and premiums, and 99% of consolidated net
surplus and consolidated net assets within our scope of testing.
7.2 Our consideration of the control environment

As an insurance business, the Britannia Group’s financial reporting processes are reliant on IT controls. In planning our 2023/24
audit, we worked with our in-house IT specialists to obtain an understanding of the two relevant IT systems (Oracle and BPMS)
that handle data relating to premiums, investments, reinsurance, reserving, claims, expenses and other balances.
While the Britannia Group has made improvements in its control environment compared to the prior year, we identified a
number of control deficiencies and reported these to the Risk & Audit Group. Due to the reliance of business processes on IT
controls and our findings, we adopted a fully substantive approach in our audit and we did not rely on the controls, this has
been communicated to the Risk & Audit Group in our report.
7.3 Our consideration of climate-related risks

As part of our audit, we have considered the impact of climate change on the Britannia Group’s operations and its impact on its
financial statements. We gained an understanding of management’s processes to address climate-related risks, including the
reporting and monitoring of climate-related risks to the Risk & Audit Group.
We performed our own risk assessment of the financial impact of climate risks on the financial statements. In doing so we
considered the estimates and judgements applied to the financial statements and how climate risks may impact their valuation.
We have read the disclosures relating to climate risks in management’s sustainability report on page 13 and the annual report
and consider whether they are materially consistent with the financial statements and our knowledge obtained in the audit.

8 OTHER INFORMATION
The other information comprises the information included in the annual report, and the parts of note 16.6 (capital risk
management) which are marked as unaudited, but exclude the financial statements and our auditor’s report thereon. The
directors are responsible for the other information contained within the annual report.
Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated
in our report, we do not express any form of assurance conclusion thereon.
Our responsibility is to read the other information and, in doing so, consider whether the other information is materially
inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be
materially misstated.
If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this
gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we
conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
9 RESPONSIBILITIES OF DIRECTORS
As explained more fully in the directors’ responsibilities statement, the directors are responsible for the preparation of the
financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors
determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due
to fraud or error.
In preparing the financial statements, the directors are responsible for assessing the Britannia Group’s and the parent
company’s ability to continue as a going concern, disclosing as applicable, matters related to going concern and using the going
concern basis of accounting unless the directors either intend to liquidate the Britannia Group or the parent company or to
cease operations, or have no realistic alternative but to do so.
10 AUDITOR’S RESPONSIBILITIES FOR THE AUDIT OF THE FINANCIAL STATEMENTS

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material
misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance
is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a
material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually
or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these
financial statements.
A further description of our responsibilities for the audit of the financial statements is located on the FRC’s website at:
www.frc.org.uk/auditorsresponsibilities
This description forms part of our auditor’s report.
11 EXTENT TO WHICH THE AUDIT WAS CONSIDERED CAPABLE OF DETECTING IRREGULARITIES, INCLUDING FRAUD
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with
our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to
which our procedures are capable of detecting irregularities, including fraud, is detailed below.
11.1 Identifying and assessing potential risks related to irregularities

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with
laws and regulations, we considered the following:
• the nature of the industry and sector, control environment and business performance including the design of the Britannia
Group’s remuneration policies and performance targets, key drivers for directors’ remuneration;
• the Britannia Group’s own assessment of the risks that irregularities may occur either as a result of fraud or error;
• results of our enquiries of management internal audit, the directors and the Risk & Audit Group about their own identification
and assessment of the risks of irregularities including those that are specific to the Britannia Group’s sector;
11.1 Identifying and assessing potential risks related to irregularities (continued)

• any matters we identified having obtained and reviewed the Britannia Group’s documentation of their policies and procedures
relating to:
– identifying, evaluating and complying with laws and regulations and whether they were aware of any instances of
non-compliance;
– detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected or alleged fraud;
– the internal controls established to mitigate risks of fraud or non-compliance with laws and regulations.
• the matters discussed among the audit engagement team and relevant internal specialists, including IT and actuarial
specialists regarding how and where fraud might occur in the financial statements and any potential indicators of fraud.
As a result of these procedures, we considered the opportunities and incentives that may exist within the organisation for
fraud and identified the greatest potential for fraud in the following area: valuation of IBNR on retained claims reserves.
In common with all audits under ISAs (UK), we are also required to perform specific procedures to respond to the risk of
management override.
We also obtained an understanding of the legal and regulatory framework that the Britannia Group operates in, focusing on
provisions of those laws and regulations that had a direct effect on the determination of material amounts and disclosures in
the financial statements. The key laws and regulations we considered in this context included the UK Companies Act and tax
legislation, authorisation by the Luxembourg Minister of Finance and regulations by the CAA, UK Prudential Regulation
Authority (PRA) and regulations by the Financial Conduct Authority (FCA) as well as branches in Hong Kong (regulated by the
Hong Kong Insurance Authority) and Singapore (regulated by the Monetary Authority of Singapore) and Japan (regulated by
the Japanese Financial Services Agency). In addition, we considered provisions of other laws and regulations that do not have
a direct effect on the financial statements but compliance with which may be fundamental to the Britannia Group’s ability to
operate or to avoid a material penalty. These included the regulatory solvency requirements and insurance regulations.
11.2 Audit response to risks identified

As a result of performing the above, we identified valuation of IBNR on retained claims reserves as a key audit matter related
to the potential risk of fraud. The key audit matters section of our report explains the matter in more detail and also describes
the specific procedures we performed in response to that key audit matter.
In addition to the above, our procedures to respond to risks identified included the following:
• reviewing the financial statement disclosures and testing to supporting documentation to assess compliance with provisions
of relevant laws and regulations described as having a direct effect on the financial statements;
• enquiring of management, directors, and the Risk & Audit Group concerning actual and potential litigation and claims;
• performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material
misstatement due to fraud;
• reading minutes of meetings of those charged with governance, reviewing internal audit reports and reviewing
correspondence with HMRC, the PRA and the FCA, and
• in addressing the risk of fraud through management override of controls, testing the appropriateness of journal entries and
other adjustments; assessing whether the judgements made in making accounting estimates are indicative of a potential bias;
and evaluating the business rationale of any significant transactions that are unusual or outside the normal course of business.
We also communicated relevant identified laws and regulations and potential fraud risks to all engagement team members
including internal specialists and remained alert to any indications of fraud or non-compliance with laws and regulations
throughout the audit.

REPORT ON OTHER LEGAL AND REGULATORY REQUIREMENTS
12 OPINIONS ON OTHER MATTERS PRESCRIBED BY THE COMPANIES ACT 2006

In our opinion, based on the work undertaken in the course of the audit:
• the information given in the strategic report and the directors’ report for the financial year for which the financial statements
are prepared is consistent with the financial statements; and
• the strategic report and the directors’ report have been prepared in accordance with applicable legal requirements.
In the light of the knowledge and understanding of the Britannia Group and the parent company and their environment obtained
in the course of the audit, we have not identified any material misstatements in the strategic report or the directors’ report.
13 MATTERS ON WHICH WE ARE REQUIRED TO REPORT BY EXCEPTION
13.1 Adequacy of explanations received and accounting records

Under the Companies Act 2006 we are required to report to you if, in our opinion:
• we have not received all the information and explanations we require for our audit; or
• adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been
received from branches not visited by us; or
• the parent company financial statements are not in agreement with the accounting records and returns.
We have nothing to report in respect of these matters.
13.2 Directors’ remuneration

Under the Companies Act 2006 we are also required to report if in our opinion certain disclosures of directors’ remuneration
have not been made.
We have nothing to report in respect of this matter.
14 USE OF OUR REPORT

This report is made solely to the company’s Members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act
2006. Our audit work has been undertaken so that we might state to the company’s Members those matters we are required to
state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume
responsibility to anyone other than the company and the company’s Members as a body, for our audit work, for this report, or
for the opinions we have formed.
Adam Addis FCA

Senior statutory auditor
For and on behalf of Deloitte LLP
Statutory Auditor
London, United Kingdom
6 June 2024
CONSOLIDATED INCOME AND EXPENDITURE ACCOUNT

20 FEBRUARY 2024
2024 2023
Technical account – general business Note USD(000) USD(000)
Earned premiums, net of reinsurance
Calls and premiums 4 288,815 258,140
Reinsurance premiums 5 (62,602) (55,164)
226,213 202,976
Allocated investment return transferred from
the non-technical account 39,859 22,744
Total income 266,072 225,720
Claims incurred net of reinsurance

Net claims paid 6 (239,424) (184,282)
Change in provision for claims 7 58,163 14,349
Net claims incurred (181,261) (169,933)
Net operating expenses 9 (50,245) (46,490)
Total expenditure (231,506) (216,423)
Balance on technical account 34,566 9,297
Non-technical account
Balance on the technical account 34,566 9,297
Investment income 10 46,370 62,735
Investment expenses (1,832) (1,739)
Unrealised gain/(loss) 19,036 (124,777)
Allocated investment return transferred
to the technical account (39,859) (22,744)
Net surplus/(deficit) before taxation 58,281 (77,228)
Taxation 12 (38) (609)
Net surplus/(deficit) after taxation 58,243 (77,837)
All amounts are derived from continuing operations. The notes on pages 39 to 55 form part of these financial statements.
There are no recognised gains and losses other than those included in the consolidated income and expenditure account.
CONSOLIDATED STATEMENT OF FINANCIAL POSITION

20 FEBRUARY 2024
2024 2023 (restated)

Assets Note USD(000) USD(000)
Investments
Financial investments 13 934,920 827,532
Intangible assets 14 5,748 5,914
Reinsurers’ share of technical provisions

Claims outstanding 7 420,617 414,840
Debtors
Direct insurance operations – Members 18 127,478 96,927*
Reinsurance operations 19 28,422 26,148
Taxation – 20
Other debtors 6,370 7,444
162,270 130,539
Other assets
Cash at bank 182,130 296,337
Prepayments and accrued income
Accrued interest 2,977 816
Other prepayments and accrued income 8,096 2,809
Total assets 1,716,758 1,678,787
Liabilities
Reserves
Investment reserve 21 109,795 86,227*
General reserve 21 55,000 55,000
Income and expenditure account 21 385,136 360,461*
549,931 501,688
Technical provisions
Gross outstanding claims 7 1,102,947 1,155,333
Creditors
Direct insurance operations – Members 46,421 15,000
Reinsurance operations 16,399 5,394
Other creditors 1,060 1,372
Total liabilities 1,716,758 1,678,787
*Restated balances disclosed in note 20.
The notes on pages 39 to 55 form part of these financial statements.
A J Cutler Director
M R A Hall Director
6 June 2024
CONSOLIDATED STATEMENT OF CASH FLOWS

20 FEBRUARY 2024
2024 2023
Cash flows from operating activities USD(000) USD(000)
Net surplus/(deficit) before tax 58,281 (77,228)
Adjustments for:
Amortisation of intangible assets 166 1,549
Change in provision for claims (net of reinsurance) (58,163) (14,349)
(Increase)/decrease in insurance and other debtors (39,199) 25,163
Increase/(decrease) in insurance and other creditors 42,114 (32,442)
Net investment return (63,573) 63,781
Cash from operations (60,374) (33,526)
Taxation paid (18) (629)
Net cash from operating activities (60,392) (34,155)
Cash flows from investing activities

Purchase of intangible assets (software development) – (538)
Purchase of equities (56,557) (84,329)
Purchase of fixed interest investments (625,321) (154,798)
Proceeds from sale of equities 43,190 120,937
Proceeds from sale of fixed interest investments 587,675 215,135
Net change to deposits with credit institutions (11,685) 69,646
Income received from equity investments 1,653 2,540
Income received from fixed income investments 11,788 4,300
Bank and other interest 5,113 7,746
Paid investment management expenses (1,832) (1,739)
Net cash from investing activities (45,976) 178,900
Cash flows from financing activities

Capital distribution to Members (10,000) –
Net cash from financing activities (10,000) –
Net (decrease)/increase in cash and cash equivalents (116,368) 144,745
Cash and cash equivalents at the beginning of the financial year 296,337 163,591
Exchange gains/(losses) on cash and cash equivalents 2,161 (11,999)
Cash and cash equivalents at the end of the financial year 182,130 296,337

COMPANY STATEMENT OF FINANCIAL POSITION

20 FEBRUARY 2024
2024 2023
Assets Note USD(000) USD(000)
Investments
Investment in Britannia Group undertakings 15 28,620 28,620
Other assets
Cash at bank 4 3
Total assets 28,624 28,623
Liabilities
Capital and reserves
Income and expenditure account 25,124 25,122
Amounts owing to Britannia Group undertakings 3,500 3,500
Taxation – 1
Total liabilities 28,624 28,623
The Britannia Steam Ship Insurance Association Holdings Limited (the Company) has taken advantage of the exemption in
Section 408 of the Companies Act 2006 from presenting its own Statement of Comprehensive Income and related notes as it
prepares consolidated accounts. The Company's surplus for the year ended 20 February 2024 was USD0 (2023 – USD0).
A J Cutler Director
M R A Hall Director
6 June 2024
NOTES TO THE FINANCIAL STATEMENTS

20 FEBRUARY 2024
1 GENERAL INFORMATION
The Britannia Steam Ship Insurance Association Holdings Limited is a company incorporated in England and Wales.
The address of the registered office is given on the back cover. The nature of the Association’s operations and its principal
activities are set out in the Strategic Report on pages 1 to 23 of this publication.
Basis of preparation
These Group financial statements, which consolidate the financial statements of the Company and its subsidiary undertakings,
have been prepared under the historical cost convention as modified to include investments at market value, in compliance
with Part 3 of Schedule 6 to the Large and Medium-sized Companies and Groups (Accounts and Reports) Regulations 2008 (SI
2008/410) (the Regulations) under the Companies Act 2006 and in accordance with applicable accounting standards in the UK.
In accordance with Financial Reporting Standard 103, ‘Insurance Contracts’ (FRS 103), the Britannia Group has applied existing
accounting policies for insurance contracts. The Regulations require the use of the term ‘profit and loss account’ as a heading.
This is replaced in these financial statements by ‘income and expenditure account’, consistent with the mutual status of the
Britannia Group. The individual statement of financial position of the Company is prepared in accordance with the provisions of
Section 394 of the Companies Act 2006 and the Regulations. Under FRS 102 Section 7 – Cash Flows, no Statement of Cash
Flows has been presented for the Company as the cash flows of the Company are included within the Consolidated Statement
of Cash Flows of the Britannia Group. An exemption has therefore been claimed under FRS 102 Section 1.12 (b).
Going concern
The directors have a reasonable expectation that the Britannia Group has adequate resources to continue in operational
existence for the foreseeable future. They therefore continue to adopt the going concern basis of accounting in preparing
the annual financial statements. Subsequent events have been considered and if required are disclosed in note 24.
Statement of compliance
These Group financial statements have been prepared in compliance with United Kingdom Accounting Standards, including
Financial Reporting Standard 102, ‘The Financial Reporting Standard applicable in the United Kingdom and the Republic of
Ireland’ (FRS 102), FRS 103 and the Companies Act 2006.
2 ACCOUNTING POLICIES
The following accounting policies have been applied consistently in dealing with items that are material to the consolidated
financial statements.
Basis of accounting
The Britannia Group’s business is accounted for on an annual basis. Separate accounts are maintained for each class of
business.
For the purpose of reporting to mutual Members, all transactions are allocated to individual policy years. Calls and premiums
(including reinsurance premiums), claims and reinsurance recoveries are allocated to the policy year to which they relate.
In the case of claims and reinsurance recoveries, the appropriate year is decided by the date of the incident giving rise to the
claim. All other income and expenditure items are allocated to the current policy year except investment returns which are
allocated to policy years on the same basis as they are credited to the technical account – general business.
Basis of consolidation
The consolidated financial statements incorporate the assets, liabilities and results of the Company and its subsidiary
undertakings drawn up to 20 February each year. Intra-group transactions, balances and gains and losses on intra-group
transactions are eliminated upon consolidation. Subsidiaries’ accounting policies have been changed where necessary to
ensure consistency with the policies adopted by the Britannia Group. The Britannia Group has applied merger accounting
to consolidate its subsidiaries of which it owns 100% by virtue of its controlling vote.

20 FEBRUARY 2024
2 ACCOUNTING POLICIES (CONTINUED)
Rates of exchange
The Britannia Group uses the US dollar (USD) as its currency of presentation and functional currency. Monetary assets and
liabilities denominated in other currencies are translated into USD at the rates ruling at the statement of financial position
date. Revenue transactions are translated at the actual rate applying at the date of transaction or, where this is not
practicable, the average rate for the year. Exchange rate differences are recognised in the non-technical account of the
income and expenditure account.
Calls and premiums

Calls and premiums in respect of policies incepting prior to the statement of financial position date are shown gross of
acquisition costs and net of returns and bad and doubtful debts. Since all mutual insurance policies are coterminous with the
Britannia Group's financial year, there are no unearned premiums at the year-end date. Reinsurance premiums are accounted for
in the same accounting period as the direct insurance premium or calls to which they relate.
Acquisition costs
Acquisition costs represent brokerage and commission charges relating to the writing of policies, underwriting management
costs, renewal of existing Members’ entries, negotiation with potential Members and the processing of entry documentation.
Claims paid
Claims paid comprise all claims and related expenses approved by the Board and advances made on account of claims during
the year. They include the Britannia Group’s share of claims under the Pooling Agreement, together with internal
management costs of handling and processing claims.
Reinsurance recoveries represent recoveries made and due in respect of claims paid by the Britannia Group in the year.
They include amounts recoverable under the Pooling Agreement and market reinsurance contracts.
Claims outstanding
The provision for claims outstanding in the financial statements comprises the Managers’ estimate of the ultimate outcome of
all reported claims based on current information, plus their forecast of the ultimate cost of claims incurred but not reported
(IBNR). The provision also includes an allowance for future claims handling costs.
The Britannia Group reserves individual reported claims within its retention on a ‘highest reasonable likely outcome’ basis,
except in circumstances where there is insufficient information available to make a meaningful estimate. In such cases, a
statistically derived reserve is applied, which is based on the development of similar notifications made in earlier years.
The IBNR provision for claims within the Britannia Group’s retention is determined by the Managers based on standard
actuarial projection techniques supported by stochastic modelling. The model uses historical information on claims
development, adjusted for inflation and other variables, such as the number of ships entered with the Britannia Group, to
project the ultimate cost of claims. The principal assumption underlying this approach is that past experience is a reliable basis
for projecting the ultimate cost of claims in more recent years. The confidence levels selected for setting IBNR reserves reflect
the Britannia Group’s risk tolerance.
Provisions in respect of the Britannia Group’s share of other Clubs’ Pool claims are based on information and data supplied by
the other parties to the Pooling Agreement, to which the Managers apply similar actuarial techniques and models to those
described above.
Provisions for all claims are based on information available at the statement of financial position date. Significant delays are
experienced in the notification of certain claims (sometimes of many years’ duration), and accordingly the ultimate cost of
claims cannot be known with certainty at the statement of financial position date. It is possible that subsequent information and
events may result in the ultimate liability varying from the amount provided. Any such differences between claims provisions
and subsequent settlement are dealt with in the technical account – general business in later years.
Claims provisions are recognised gross of any reinsurance recoveries. The reinsurers’ share of claims outstanding is derived
from an estimation of the amounts that will be recoverable from reinsurers based on the gross provisions (including the
IBNR provisions) and the structure of the Britannia Group’s reinsurance programme, and having due regard to the possibility
of default by reinsurers.
Investment return
The investment return recognised in the non-technical account comprises investment income (interest and dividends), realised
gains and losses on investments sold in the year and movements in unrealised gains and losses arising in the year, net of
investment management expenses.
Dividends are recognised from the date on which the shares are quoted ‘ex-dividend’ and include related tax credits. Interest
and expenses are recognised on an accruals basis. Realised gains and losses on investments are calculated as the difference
between the net sales proceeds and the purchase price. The movement in unrealised gains and losses recognised in the income
and expenditure account represents the difference between the valuation of investments at the statement of financial position
date and either their purchase price or their valuation at the commencement of the year, with an adjustment to reverse
previously recognised unrealised gains or losses on investments disposed of in the current year. Realised and unrealised gains
and losses include any related exchange gains or losses.
The transfer to/from the investment reserve represents the difference (net of tax) between the actual investment income for
the year and the investment return allocated to the technical account – general business.
Allocation of investment return

An allocation is made from the non-technical account to the technical account – general business in respect of the longer-term
investment return on the total investment portfolio, since these investments relate wholly to the technical provisions and
Members’ funds held for mutually insured risks.
Financial instruments
Non-derivative financial instruments are shown at current market value at the statement of financial position date. Non-derivative
listed investments are stated at bid value. Non-derivative unlisted investments are valued by the directors on a prudent basis,
having regard to their likely realisable value.
Derivative instruments are held to support the Britannia Group's investment return. Derivatives are categorised as held for trading
and are classified as financial instruments at fair value through income. Derivative instruments are measured at initial recognition,
and subsequently at fair value, and changes in fair value are recognised in the income and expenditure account. Transaction costs
incurred in buying and selling derivative instruments are recognised in the income and expenditure account when incurred.
The fair value of a derivative instrument is determined by reference to published price quotations in an active market.
Investment in Britannia Group undertakings

Investments in Britannia Group undertakings and participating interests in the Company’s own statement of financial position are
stated at cost less impairment.
Intangible assets
The Britannia Group has chosen to apply FRS 102 to software development costs as they are directly attributable to bringing the
computer system into working condition for use within the business and therefore classified as intangible assets and amortised on
a straight-line basis over the estimated useful economic life. Amortisation is recognised in the income and expenditure account.
Policy year accounting

The calls and premiums, reinsurance premiums payable, claims paid and related expenses, reinsurance recoveries and
outstanding claims are all allocated to the policy years to which they relate. The allocated investment return and operating
expenses are allocated to the current policy year.
Investments
The Britannia Group has chosen to apply the recognition and measurement provision and the disclosure requirements of FRS 102.
The Britannia Group classifies its investments as financial assets at fair value. Gains and losses are taken to the Income and
Expenditure Account, which reflects the management of the portfolio on a fair value basis. Fair values of investments traded in
active markets are measured at bid price.

20 FEBRUARY 2024
Cash at bank
Cash at bank is defined as cash in hand, demand deposits and short-term, highly liquid investments readily convertible to
known amounts of cash and which are subject to insignificant risk of changes in value. Cash equivalents are investments with
original maturity of three months or less from the date of acquisition.
Taxation (current and deferred)

The charge for taxation is shown in the consolidated income and expenditure account. The tax effects of carry forwards of
unused losses or unused tax credits are recognised as an asset when it is probable that future taxable profits will be available
against which these losses can be utilised.
3 CRITICAL ACCOUNTING JUDGEMENTS AND ESTIMATION UNCERTAINTIES

The Britannia Group makes estimates and assumptions that affect the reported amounts of assets and liabilities. Estimates and
judgements are continually evaluated and based on historical experience and other factors, including expectations of future events
that are believed to be reasonable under the circumstances. Actual results may differ from these estimates.
The ultimate liability arising from claims made under insurance contracts
The estimation of the ultimate liability arising from claims made under insurance contracts is the Britannia Group’s most critical
accounting estimate. There are several sources of uncertainty that need to be considered in the estimate of the amount that the
Britannia Group will ultimately pay for such claims. Estimates are made of the expected ultimate cost of claims, whether
reported or unreported, at the end of the reporting period. The estimate of IBNR is generally subject to a greater degree of
uncertainty than that for reported claims. In calculating the estimated liability, the Britannia Group uses a variety of estimation
techniques based upon statistical analyses of historical experience which assume that past trends can be used to project future
developments. Refer to note 16 for disclosure on the sensitivities of these assumptions.
2024 2023
4 CALLS AND PREMIUMS USD(000) USD(000)
Advance calls and premiums
2023/24 policy year 287,476 261,065
2022/23 policy year (396) (3,349)
2021/22 policy year 1,499 383
Closed years 236 48
288,815 258,147
Deferred calls
Closed years – (7)
288,815 258,140
All insurance transactions of the Britannia Group are transacted by the subsidiary entities of the Company and therefore no
Company-only information is provided, as no such transactions are entered into by the Company. Other than calls and premiums
of USD18.7m (2023 – USD17.0m), USD9.0m (2023 – USD7.3m) and USD34.5m (2023 – USD30.7m) and USD3.0m (2023 – USD0)
written in Singapore, Hong Kong and Japan and the UK respectively all other business is written in Luxembourg. All calls and
premiums written are in the Marine class of business.
2024 2023
5 REINSURANCE PREMIUMS USD(000) USD(000)
Group excess of loss 41,097 36,146
Other 21,505 19,018
62,602 55,164
2024 2023
6 NET CLAIMS PAID USD(000) USD(000)
Gross claims paid
Members’ claims 208,872 154,877
Share of Pool claims 48,146 41,007
257,018 195,884
Recoveries on claims paid

From the International Group excess of loss reinsurance 667 288
From the Pool 5,854 13,490
Other reinsurers 11,073 (2,176)
17,594 11,602
239,424 184,282
2024 2023
7 CHANGE IN NET PROVISION FOR CLAIMS USD(000) USD(000)
Claims outstanding
Members’ claims 958,847 987,114
Share of Pool claims 144,100 168,219
1,102,947 1,155,333
Reinsurers’ share of claims outstanding

From the International Group excess of loss reinsurance 123,590 123,750
From the Pool 188,650 199,251
Other reinsurers 108,377 91,839
420,617 414,840
Net claims outstanding carried forward 682,330 740,493

Net claims outstanding brought forward 740,493 754,842
Change in net provision for claims (58,163) (14,349)
Claims outstanding includes provision for IBNR claims which is set by reference to, amongst other factors, standard actuarial
techniques and projections. The IBNR reserve includes an amount for Occupational Disease claims amounting to USD20.7m
(2023 – USD32.9m) on a gross and net basis. Occupational Disease claims have a significant latency period making them
particularly uncertain for reserving purposes. The reserve has been set with reference to industry studies and the Britannia
Group’s historical experience. These studies include a projection of the number of deaths expected, the probability of claims being
made and the expected cost of those claims.

20 FEBRUARY 2024
CLAIM DEVELOPMENT TABLES

The development of insurance liabilities provides a measure of the Britannia Group’s ability to estimate the ultimate value of claims.
The top half of each table below illustrates how the Britannia Group’s estimate of total claims outstanding for each policy year has
changed at successive year ends. The bottom half of the table reconciles the cumulative claims to the amount appearing in the
consolidated statement of financial position.
Insurance claims – gross (Class 3 and Class 6)

Estimate of ultimate claims cost attributable to the policy year
2014/15 2015/16 2016/17 2017/18 2018/19 2019/20 2020/21 2021/22 2022/23 2023/24
USD(000) USD(000) USD(000) USD(000) USD(000) USD(000) USD(000) USD(000) USD(000) USD(000)
End of reporting year 271,778 527,169 192,588 232,129 274,101 271,831 360,281 250,889 234,220 242,351
One year later 275,748 581,117 163,302 198,771 385,092 261,006 377,039 336,534 278,611
Two years later 254,220 634,315 157,210 200,047 375,305 235,553 400,776 338,872
Three years later 260,594 618,293 143,487 191,372 306,817 223,513 379,135
Four years later 250,122 578,433 132,394 173,812 329,156 212,099
Five years later 247,548 560,963 125,305 172,597 326,608
Six years later 241,643 563,164 122,157 173,253
Seven years later 214,856 562,714 116,960
Eight years later 212,847 559,501
Nine years later 195,748
Current estimate of
ultimate claims 195,748 559,501 116,960 173,253 326,608 212,099 379,135 338,872 278,611 242,351
Cumulative payments to date 175,159 447,743 111,313 142,493 238,702 169,116 236,296 180,239 97,460 67,672
Liability recognised in the
consolidated statement 20,589 111,758 5,647 30,760 87,906 42,983 142,839 158,633 181,151 174,679
Total liability relating to the
last ten policy years 956,947
Other claims liabilities 146,000
Total reserve included in the consolidated statement of financial position 1,102,947
Insurance claims – net (Class 3 and Class 6)

Estimate of ultimate claims cost attributable to the policy year
2014/15 2015/16 2016/17 2017/18 2018/19 2019/20 2020/21 2021/22 2022/23 2023/24
USD(000) USD(000) USD(000) USD(000) USD(000) USD(000) USD(000) USD(000) USD(000) USD(000)
End of reporting year 241,357 273,333 189,297 223,316 247,407 247,003 254,580 235,260 192,819 213,555
One year later 222,557 257,142 156,222 195,302 254,848 238,593 266,274 257,262 215,957
Two years later 201,707 247,529 152,022 196,152 244,761 223,206 278,455 263,143
Three years later 198,457 231,842 136,872 186,995 233,811 212,096 267,190
Four years later 186,557 200,442 126,512 173,745 232,189 201,570
Five years later 184,405 191,135 121,112 172,530 229,639
Six years later 179,396 191,401 117,969 173,187
Seven years later 182,258 190,986 112,032
Eight years later 179,973 187,739
Nine years later 174,561
Current estimate of
ultimate claims 174,561 187,739 112,032 173,187 229,639 201,570 267,190 263,143 215,957 213,555
Cumulative payments to date 155,200 171,816 106,488 142,426 194,075 158,663 173,170 180,239 97,460 67,672
Liability recognised in the
consolidated statement 19,361 15,923 5,544 30,761 35,564 42,907 94,020 82,904 118,497 145,883
Total liability relating to the
last ten policy years 591,363
Other claims liabilities 90,967
Total reserve included in the consolidated statement of financial position 682,330

2024 2023
8 MOVEMENT IN PRIOR YEARS’ CLAIMS PROVISIONS USD(000) USD(000)
Included within net claims incurred in the technical account are the following amounts in respect of adjustments to claims
provisions for years ending prior to 20 February 2023.
Net provision at beginning of the year 740,493 754,842

Net payments in the year in respect of
these provisions (171,752) (134,604)
Net provision at the end of the year in respect of
claims provided for at the end of the previous year (536,447) (599,647)
Improvement in respect of prior years 32,294 20,591
2024 2023
9 NET OPERATING EXPENSES USD(000) USD(000)
Directors’ fees 805 984
Auditor remuneration 673 884
Amortisation 166 1,549
Other expenses 19,867 17,546
Administrative expenses 21,511 20,963
Acquisition expenses 28,734 25,527
Net operating expenses 50,245 46,490
The highest paid director received USD120,300 (2023 – USD126,100). The Britannia Group employs no staff, management
services being provided by Tindall Riley (Britannia) Limited and Tindall Riley Europe Sàrl.
Auditors' renumeration includes GBP412,644 relating to the auditing of the financial statements and GBP75,000 for other
services (2023 – GBP0).
In accordance with the International Group Agreement 2023, the Britannia Group is required to disclose the average expense
ratio for its P&I business for the past five years. The ratio measures all costs of the Britannia Group (except those directly
related to the management of claims) as a function of call, premium and investment income for a five-year period. The Britannia
Group’s average ratio for the five years to 20 February 2024 was 15.48% (2023 – 15.39%). The ratio has been calculated in
accordance with the schedule and guidelines issued by the International Group.
2024 2023
10 NET INVESTMENT INCOME USD(000) USD(000)
Income from equity investments 1,653 2,540
Income from fixed income investments 11,788 4,300
Bank and other interest 5,113 7,746
Realised investment gain 25,655 60,148
Exchange gain/(loss) on cash balances 2,161 (11,999)
Investment income 46,370 62,735
11 LONGERTERM INVESTMENT RETURN

Investment income is allocated to the technical account – general business on the basis of longer-term rates of investment
return. The longer-term rates are based on historical real rates of return and current inflation expectations adjusted for consensus
economic and investment forecasts. The return is calculated by applying the rates to the investible assets held during the period
for each major market on a monthly basis. The following rates have been used:
Comparison of actual return achieved with the return allocated 10 years to 2024 10 years to 2023
to the technical account using longer-term rates USD(000) USD(000)
Actual return achieved 270,543 263,744
Longer-term return credited to the technical account 311,753 291,686
Deficit of actual returns over longer-term returns (41,210) (27,942)

20 FEBRUARY 2024
2024 2023
12 TAXATION USD(000) USD(000)
Analysis of charge for period
UK Corporation Tax charge – (4)
Underprovision in previous year (22) (25)
Unrelieved foreign withholding taxes (16) (580)
Taxation (38) (609)
By virtue of its mutual status, the Britannia Group is not liable to tax on its underwriting operations. The investment income of
the Britannia Group’s subsidiaries USMIA and its cell in Hydra are not subject to tax in Bermuda but do suffer irrecoverable
withholding tax on income from investments in certain jurisdictions.
Factors affecting the tax charge for period

The tax charge for the period is lower (2023 – lower) than that produced by applying the standard rate of Corporation Tax in the
UK of 19% until 31 March 2023 and 25% from 1 April 2023 to the surplus for the year to 20 February 2024 (2023 – 19%).
The differences are explained below:
2024 2023
USD(000) USD(000)
Net surplus/(deficit) before tax 58,281 (77,228)
Net surplus/(deficit) on ordinary activities multiplied by standard rate of Corporation
Tax in the UK of 19% to 31 March and 25% from 1 April (2023 – 19%) (14,205) (14,673)
Effects of:
Non-taxable mutual insurance underwriting operations (1,290) 2,554
Non-taxable investment income 15,495 12,123
Underprovision in previous years (22) 25
Unrelieved foreign withholding taxes (16) 580
Current tax charge (38) 609
13 FINANCIAL INVESTMENTS
Investments comprise fixed interest investments (UK and US government securities), equities and other investments, and
deposits with credit institutions. They are carried through to the income and expenditure account using the fair value methodology.
2024 2023
USD(000) USD(000)
Market value
Quoted shares and variable yield securities 341,452 321,780
Debt securities and other fixed income securities 554,811 428,310
Deposits with credit institutions 24,348 12,664
Derivatives at fair value through income – (4)
Unsettled investment transactions 14,309 64,782
934,920 827,532
Cost
Quoted shares and variable yield securities 272,094 258,726
Debt securities and other fixed income securities 543,220 429,447
853,970 765,619
Included in investments at market value were:

Listed on other investment exchanges 910,572 814,872
910,572 814,872
2024 2023
14 INTANGIBLE ASSETS USD(000) USD(000)
Cost
Opening balance 9,021 8,483
Capitalisation of software expenditure – 538
Closing balance 9,021 9,021
Accumulated amortisation
Opening balance (3,107) (1,558)
Amortisation for the year (166) (1,549)
Closing balance (3,273) (3,107)
Net book value 5,748 5,914
Intangible assets comprise capitalised software development costs amortised on a straight-line basis over the estimated useful
economic life of 10 years.
15 INVESTMENT IN BRITANNIA GROUP Country of Class of Principal 2024 2023

UNDERTAKINGS incorporation Share held shares activity USD(000) USD(000)
Direct related undertakings
The Britannia Steam Ship Insurance United
Association Limited (Britannia (UK)) Kingdom 100% N/A¹ Underwriting 8,000 8,000
The Britannia Steam Ship Insurance
Association Europe (Britannia Europe) Luxembourg 100% N/A² Underwriting 20,500 20,500
Universal Shipowners Marine
Insurance Association Limited (USMIA) Bermuda 100% Ordinary Reinsurance 120 120
Indirect related undertakings

Hydra Insurance Company Limited – Britannia Cell Bermuda 100% Preferred Reinsurance
Hydra Insurance Company Limited – General Cell Bermuda 7.69% Ordinary Reinsurance
Shares in subsidiary companies 28,620 28,620
The registered address of each Group undertaking is as follows:
Britannia (UK): Regis House, 45 King William Street, London, EC4R 9AN, United Kingdom
Britannia Europe: 53A rue Glesener, L-1631, Luxembourg
USMIA: Clarendon House, 2 Church Street, Hamilton HM 11, Bermuda
Hydra Insurance Company Limited: c/o Carey Olsen Bermuda Limited, Rosebank Centre, 5th Floor, 11 Bermudiana Road,
Pembroke HM 08, Bermuda
Britannia Holdings controls Britannia (UK) and Britannia Europe by virtue of controlling vote where in each Association it has
three times as many votes as the mutual Members. USMIA is controlled through the percentage of shares held which provides
Britannia Holdings with direct control of the company. Hydra is a Bermudian segregated cell-captive established by the
Members of the International Group of P&I Clubs, to reinsure part of the risks which are shared under the Pooling Agreement.
Under the terms of Hydra’s byelaws and the governing instrument, assets are segregated in separate cells in such a way that
they can only be used to satisfy the liabilities of the ‘owning’ club. Accordingly, the Britannia Group consolidates its Hydra cell in
these financial statements.
¹Britannia Holdings' investment in Britannia (UK) represents USD8.0m of contributed surplus.
²Britannia Holdings' investment in Britannia Europe represents USD20.5m of contributed surplus.


20 FEBRUARY 2024
16 RISK MANAGEMENT
The Britannia Group is governed by the Board which drives decision making from Board level to operational decision making by
the Managers. The Board considers the type and scale of risk that the Britannia Group is willing to accept in the ordinary course
of its activities and this is used to develop seven Risk Appetite Statements (RAS) that are used when setting strategy or making
material decisions. This is further expanded on in the Corporate Governance section on page 20, under the Regulation and Risk
Management section.
The framework of governance through which risk is managed as decisions are taken is as follows:
1) The Board meets five times a year and has a maximum of 14 members. The Board currently comprises a non-executive
chairman, up to eight non-executive directors drawn from the Britannia Group's shipowner Members, three non-shipowner non-
executive directors, and two executive directors from the Britannia Group's Managers. Its responsibilities include undertaking
reviews of the following matters: the Britannia Group's overall strategy, policy year results (including reserving) and proposed
calls, reinsurance, investments, risk management, compliance matters and capital adequacy as evidenced by the Own Risk
Solvency Assessment (ORSA). The Board also oversees implementation of the Britannia Group's investment strategy.
2) The Risk & Audit Group (RAG) comprises up to seven non-executive directors of the Britannia Group. Their responsibilities
include the financial statements and the regulatory returns to the relevant regulatory authorities, the risk management
framework, internal and external audit, and the robustness of internal financial systems and controls, including the making of
recommendations thereon to the Board. The RAG meets four times a year.
3) The Remuneration Group comprises up to five non-executive directors of the Britannia Group. Its responsibilities include an
annual review of the fee paid to the Managers and periodic reviews of directors’ remuneration. The group meets twice a year.
4) The Nomination Subcommittee comprises up to four non-executive directors of the Britannia Group and the two Manager
directors. Its principal responsibilities are to make recommendations to the Board on the appointment of new directors, the re-
election of existing directors and the appointment of the chairman of the Board, and to review the skills, training requirements
and performance of directors and Senior Insurance Management Function holders. The subcommittee meets as required during
the year.
5) The Investment Group comprises up to four non-executive directors and the two Manager directors. It is responsible for
monitoring the long-term performance and value-at-risk of the investments against the objectives set out in the investment
strategy and for carrying out periodic reviews of the investment strategy. The group meets four times a year.
The Britannia Group is focused on the identification and management of potential risks. This covers all aspects of risk
management including that to which the Britannia Group is exposed through its core activity as a provider of insurance services,
and the broader range of risks. The key areas of risk faced by the Britannia Group are as follows:
1) Underwriting risk – being premium and reserving risk
2) Market risk – being equity risk, interest rate risk, spread risk and currency risk
3) Counterparty default risk – being the risk that a counterparty is unable to pay amounts in full when due
4) Liquidity risk - being the risk that cash may not be available to pay obligations as they fall due
5) Operational risk – being the risk of failure of internal processes or controls
6) Strategic risk – being the risk that strategy is poorly set, executed or is unresponsive to external developments.
7) Group risk – being the governance, capital, reputational or regulatory issues that can arise from having a Group structure.
In order to manage these risks, the Britannia Group has continued to develop and review the internal and external governance
frameworks through the ORSA process.
The Board and Managers have established risk management procedures within the business through a compliance manual,
an internal quality management system and a risk management framework which considers and logs potential risks and how
they are to be managed. The Board monitors the development and operation of risk management policies and controls to
mitigate risk through a governance structure which includes an internal audit function (which reports to the RAG) and the Board
of the Managers.
The Britannia Group manages the risks relating to the operations of the Britannia Group through the quarterly risk register
update, which uses metrics to monitor risk outcomes and the effect of controls, and receives attestation on less significant
controls from risk owners. These risks are compared to the results of capital modelling, risk scenarios, self-reported risk
incidents and internal audit findings to ensure that a rounded view of the Britannia Group's risk profile is achieved.
16.1 Underwriting risk

The Britannia Group’s exposure to insurance risk is initiated by the underwriting process which selects Members and sets Call
levels based on estimated future claims on the Britannia Group from the membership. This risk is managed through the
underwriting process, the purchase of reinsurance cover, including the International Group Pooling Agreement, the
management of claims costs and the reserving process. The Britannia Group's underwriting risk is limited to two classes of
business, P&I and FD&D, which are both written on a worldwide basis.
16 RISK MANAGEMENT (CONTINUED)
16.1 Underwriting risk (continued)

Underwriting process
The Britannia Group provides Members with cover for P&I and FD&D risks. The Britannia Group sets a target level for Calls at
a confidence level which should ensure that the call and investment income are sufficient to meet net claims incurred for the
policy year. The development of claims is monitored monthly by the Managers and on a quarterly basis by the Boards of the
Managers and the Britannia Group.
Underwriting authority is delegated to specific individuals who apply their expertise and set underwriting methodologies under
the ongoing guidance and review of senior management. If required, a pre-entry inspection of new ships is carried out. In
addition, all new Members are usually subject to a risk management audit of their shore-based operations before acceptance.
Reinsurance and International Group Pooling Agreement

The Britannia Group’s reinsurance programme is driven by the Board’s objective to manage risk to an acceptable level and to
optimise the Britannia Group’s capital position. The programme comprises excess of loss reinsurance cover purchased jointly
with other members of the International Group, facultative reinsurance to cover specific risks, cover against a single
catastrophic event and an accumulation of smaller attritional claims.
The International Group Pooling Agreement provides a sharing of claims costs above an agreed retention between 12 member
associations.
The Britannia Group's chartered business is reinsured outside the International Group Pooling arrangements. The programme
is predominantly placed with Lloyd's underwriters and the liabilities from these risks are reinsured from the ground up with the
Britannia Group retaining a certain element of the risk.
Management of claims cost

The Britannia Group’s strategy is to help its Members to prevent and avoid the occurrence of incidents while ensuring the
efficient handling and management of claims when they occur. To facilitate this strategy, the Britannia Group has established
programmes to ensure a high quality of claims management and to reduce claims risk. This includes an extensive loss
prevention programme comprising technical seminars for crew and designated persons ashore (DPAs), information for
Members on common claims and how they may be prevented, completion of ship inspections and the production of guides for
safe carriage of goods and the avoidance of incidents.
Reserving process
The Britannia Group establishes provisions for unpaid claims, both reported and unreported, and related expenses, to cover its
expected ultimate liability. These provisions are established through the application of actuarial techniques and assumptions
and the key methods used by the Britannia Group in estimating liabilities are the chain ladder and stochastic bootstrap
modelling methods. In order to minimise the risk of understating these provisions, the assumptions made and actuarial
techniques employed are reviewed in detail by senior management and reserves are set to give a high level of confidence that
they will prove adequate. The results are reviewed by the RAG.
The Britannia Group considers that the liability for insurance claims recognised in the consolidated statement of financial
position is prudent. However, actual experience will differ from the expected outcome.
Sensitivity
The Britannia Group carries out sensitivity testing on its claims reserves. The results of sensitivity testing are set out below,
showing the impact on the surplus/deficit before tax, gross and net of reinsurance. For each sensitivity, the impact of a change in
a single factor is shown, with other assumptions unchanged. The sensitivity analysis assumes that a change in loss ratio is driven
by a change in claims incurred.
2024 2023
Increase in loss ratio by 5% USD(000) USD(000)
Gross 14,441 12,907
Net 11,311 10,149
A 5% decrease in loss ratios would have an equal and opposite effect.

20 FEBRUARY 2024
16.2 Market risk

Market risk is the risk of adverse financial impact as a consequence of market movements such as currency exchange rates, interest
rates and price changes. Market risk arises as a result of fluctuations in both the value of assets held and the value of liabilities.
The investment strategy, which is reviewed periodically, is set by the Board with the assistance of external investment consultants.
The strategy reflects the risk appetite of the Britannia Group and is designed to maximise return while holding risk to a level
deemed acceptable. The policy allows the investment managers to invest a proportion of the portfolio (the growth portfolio) in assets
which carry a greater risk but potentially higher return, such as equities, with the balance in lower risk investments that match
liabilities and provide a cash buffer (the matching portfolio).
Foreign currency risk management

The Britannia Group is exposed to currency risk in respect of liabilities under policies of insurance denominated in currencies
other than USD. The most significant currencies to which the Britannia Group is exposed are sterling, euro and yen. In order to
manage this risk, the Britannia Group holds a proportion of its investments in each currency at a level to match expected future
claim payments in those currencies. The split of assets and liabilities for each of the Association’s main currencies, converted to
US dollar, is set out in the tables below:
USD USD GBP GBP EUR EUR Other Other Total Total
Amounts in USD(000) 2024 2023 2024 2023 2024 2023 2024 2023 2024 2023
(restated) (restated) (restated) (restated) (restated)
Total assets 1,461,413 1,471,523 81,226 103,834 91,846 47,900 82,273 55,530 1,716,758 1,678,787
Total liabilities 931,070 932,583 61,950 74,264 109,047 71,845 64,760 98,407 1,166,827 1,177,099
Net assets 530,343 538,940 19,276 29,570 (17,201) (23,945) 17,513 (42,877) 549,930 501,688
The table below shows the effects of a 5.0% increase or decrease in exchange rates:
GBP GBP EUR EUR Other Other Total Total
2024 2023 2024 2023 2024 2023 2024 2023
5.0% increase in exchange rates (964) (1,479) 860 1,197 (876) 2,144 (980) 1,862
5.0% decrease in exchange rates 964 1,479 (860) (1,197) 876 (2,144) 980 (1,862)
Interest rate risk management

Interest rate risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes
in interest rates. Interest rate risk arises primarily from the nature and term of investments held and is managed through the
buying and selling of appropriate fixed interest securities of different durations.
The Britannia Group uses a number of sensitivity management tools to understand the volatility of surpluses/deficits. The table
below shows the effects of a 0.5% increase or decrease in interest on earnings from debt securities:

USD(000) USD(000)
0.5% increase in interest rates 2,716 2,147
0.5% decrease in interest rates (2,716) (2,147)
Equity price sensitivity analysis

The Britannia Group is exposed to price risk through its holding of equities. This exposure is limited to a maximum proportion of
the overall portfolio. At the year end the holding in equity instruments amounted to 14% (2023 – 16%) of the investment portfolio.
The Britannia Group also holds an investment in a diversified growth fund amounting to 9% (2023 – 10%) of the portfolio.
Where available, the Britannia Group uses closing bid market values to determine the fair value of an investment holding. The
carrying value of non-quoted equity holdings held by the Company at the year end amounted to USD28.6m (2023 – USD28.6m).
The table below shows the anticipated change in equity market values from a 5% increase or decrease in underlying prices:
2024 2023
USD(000) USD(000)
5% increase in equity price 11,905 10,921
5% decrease in equity price (11,905) (10,921)
The table above demonstrates the effect of a change in a key assumption while other assumptions remain unchanged. It should
be noted that these sensitivities are non-linear, and larger or smaller impacts should not be extrapolated or interpolated from
these results. Management actions could include selling investments, changing investment portfolio allocation and taking other
protective action. In addition, the financial position of the Britannia Group may vary at the time that any market movement occurs.
16.3. Counterparty default risk
Credit risk
Credit risk refers to the risk that a counterparty will default on its contractual obligations resulting in financial loss to the
Britannia Group.
The key areas where the Group is exposed to credit risk are:
– Amounts recoverable from reinsurance contracts, including other P&I Clubs
– Amounts due from Members
– Counterparty risk with respect to cash and investments
Amounts recoverable on reinsurance contracts

The Britannia Group is exposed to credit risk from a counterparty failing to comply with its obligations under a contract of
reinsurance. In order to manage this risk, the Managers consider the financial position of significant counterparties on a regular
basis and monitor aggregate exposure to each reinsurer. The Britannia Group has set selection criteria whereby each reinsurer
is required to hold a credit rating of at least A- at the time the contract is made. The majority of reinsurance is placed with Lloyd's
underwriters (A+ rated) with the benefit of the Central Guarantee Fund. Non-Lloyd's reinsurance is monitored and reported on
annually to the Board of the Managers.
Amounts due from Members

Amounts due from Members represent premiums owing to the Britannia Group in respect of insurance business written.
The Britannia Group manages the risk of Member default through a screening process to maintain the quality of new entrants
to the Britannia Group and the ability to cancel cover and payment of outstanding claims to Members that fail to settle amounts
payable. The Britannia Group's policy is that Members should have paid all outstanding Calls prior to being issued with Blue
Cards in advance of the coming policy year. In addition, the directors reserve the right to offset outstanding debts against claim
payments unless there is a contractual arrangement that prevents such offsetting. Amounts written off as bad debt have been
minimal over recent years.
Counterparty risk with respect to cash and investments

The investment policy manages the risk of default through ensuring a diversification of the portfolio by asset, currency,
geography, market and counterparty.
The following tables provide information regarding aggregate credit risk exposure for financial assets with external credit ratings.
2024 2023
USD(000) USD(000)
Debt securities 554,811 428,311
Derivatives at fair value through income – (4)
Reinsurers’ share of technical provisions 420,617 414,840
Reinsurance debtors 28,422 26,148
Member and other debtors 133,848 104,390
Cash at bank and in hand 182,130 296,337
Total financial assets bearing credit risk 1,358,484 1,347,468
An analysis of this exposure by credit rating is shown below

AAA 4,126 –
AA 305,948 526,042
A 679,714 276,572
BBB+ and below 45,769 58,410
No rating 322,927 486,444
Total financial assets bearing credit risk 1,358,484 1,347,468
The unrated exposure relates principally to amounts due from Members in respect of future dated calls and the Absolute Return
Bond Fund that is invested with M&G Investments.

20 FEBRUARY 2024
16.3. Counterparty default risk (continued)
Liquidity risk
Liquidity risk is the risk that cash may not be available to pay obligations as they fall due. The Britannia Group has adopted
an investment policy which requires the maintenance of significant holdings in cash funds and short-term deposits to ensure
sufficient funds are available to cover anticipated liabilities and unexpected levels of demand. Short-term cash needs are
monitored to ensure the most efficient investment of cash balances.
The following table provides a maturity analysis of the Britannia Group’s financial assets representing the date that a contract
will mature, amounts are due for payment or the asset could be realised without significant additional cost:
Short-term assets Within 1 year 1-2 years 2-5 years Over 5 years Total
At 20 February 2024 USD(000) USD(000) USD(000) USD(000) USD(000) USD(000)
Quoted shares and variable yield securities 341,452 – – – – 341,452
Debt securities and other fixed income securities 60,206 36,609 91,385 174,716 191,895 554,811
Deposits with credit institutions 24,348 – – – – 24,348
Unsettled investment transactions 14,309 – – – – 14,309
Reinsurers’ share of outstanding claims – 110,298 92,457 144,897 72,965 420,617
Direct insurance operations – Members 19,656 44,937 62,885 – – 127,478
Reinsurance operations 28,422 – – – – 28,422
Other debtors 6,370 – – – – 6,370
Cash at bank 182,130 – – – – 182,130
Accrued interest 2,977 – – – – 2,977
Other prepayments and accrued income 8,096 – – – – 8,096
Total assets 687,966 191,844 246,727 319,613 264,860 1,711,010
At 20 February 2023 (restated)

Quoted shares and variable yield securities 321,780 – – – – 321,780
Debt securities and other fixed income securities 10,200 13,291 106,355 116,850 181,615 428,311
Deposits with credit institutions 12,664 – – – – 12,664
Derivatives at fair value through income (4) – – – – (4)
Unsettled investment transactions 64,782 – – – – 64,782
Reinsurers’ share of outstanding claims – 117,785 86,955 137,651 72,449 414,840
Direct insurance operations – Members 4,067 39,324 53,536 – – 96,927
Reinsurance operations 26,148 – – – – 26,148
Taxation 20 – – – – 20
Other debtors 7,444 – – – – 7,444
Cash at bank 296,337 – – – – 296,337
Accrued interest 816 – – – – 816
Other prepayments and accrued income 2,809 – – – – 2,809
Total assets 747,063 170,400 246,846 254,501 254,064 1,672,874
The following is an analysis of the estimated timings of net cash flows by financial liability. The timings of cash flows are based on
current estimates and historic trends. The actual timings of cash flows may be materially different from those disclosed below:
Within 1 year 1-2 years 2-5 years Over 5 years Total

At 20 February 2024 USD(000) USD(000) USD(000) USD(000) USD(000)
Gross outstanding claims 289,226 242,441 379,952 191,328 1,102,947
Direct insurance operations – Members 46,421 – – – 46,421
Reinsurance operations 16,399 – – – 16,399
Other creditors 1,060 – – – 1,060
Total liabilities 353,106 242,441 379,952 191,328 1,166,827
At 20 February 2023 (restated)

Gross outstanding claims 328,033 242,171 383,359 201,770 1,155,333
Direct insurance operations – Members 15,000 – – – 15,000
Reinsurance operations 5,394 – – – 5,394
Other creditors 1,372 – – – 1,372
Total liabilities 349,799 242,171 383,359 201,770 1,177,099
16.4 Operational risk

Operational risks relate to the failure of internal processes, systems or controls due to human or other error. In order to
mitigate such risks, the Britannia Group documents all key processes and controls in a procedures manual. This manual is
embedded within the organisation, updated on a continual basis by senior staff and available to all staff. Compliance with the
procedures and controls documented within the manual is audited on a regular basis through quality control checks and the
internal audit function, which is directed and reviewed by the managers and the RAG. A staff handbook contains all the key
policies that have been documented.
16.5 Limitation of the sensitivity analyses

The sensitivity analyses in sections 16.1, 16.2 and 16.3 above show the impact of a change in one input assumption with other
assumptions remaining unchanged. In reality, there is normally correlation between the change in certain assumptions and
other factors which would potentially have a significant impact on the effect noted above.
16.6 Capital risk management

The Britannia Group maintains a resilient capital structure, consistent with the Britannia Group’s risk appetite. The Britannia
Group’s objective is to maintain sufficient capital to ensure it is able to continue as a going concern, meet regulatory
requirements and maintain an A rating with Standard & Poor’s, with a substantial margin in each case.
The Solvency II regime has been in effect since 1 January 2016. The Britannia Group is subject to these regulations. The Britannia
Group is required to meet the Solvency Capital Requirement (SCR) which is calibrated to ensure a 99.5% confidence of the ability
to meet obligations over a 12-month time horizon. The Britannia Group calculates its SCR in accordance with the standard formula
prescribed in the Solvency II regulations, as the assumptions underlying the standard formula are considered to be a good fit for
the Group’s risk profile.
The Board's policy is to develop and maintain a strong and flexible capital base in order to meet and exceed the capital
requirements of the relevant regulators. The SCR is monitored and updated annually, although if anything significant (such as
large investment or claims movements) occurs in the year, it is updated immediately. Other capital measures used by the Board
include an Economic Capital Benchmark, which is also monitored against actual capital resources.
In order to monitor capital requirements, the Board reviews the capital position on a quarterly basis and the Managers review
performance monthly. This is further expanded on in the Strategic report under the economic and regulatory capital section of
the Corporate Governance report on page 20.
The Britannia Group aims to maintain capital resources at a level which provides a comfortable margin above the requirements
of the Prudential Regulation Authority (PRA) and the regulators of its branch offices in Hong Kong, Japan and Singapore. Capital
resources for regulatory purposes for the Britannia Group consist of free reserves on a regulatory economic basis and an
allowance for the ability to levy additional premium on Members.
The Britannia Group and its branches were in compliance with their regulatory capital requirements throughout the financial year.
16.7 Fair value hierarchy

Fair value is the amount for which an asset or liability could be exchanged between willing parties in an arm’s length transaction.
Fair values are determined at prices quoted in active markets. In some instances, such price information is not available for all
instruments and the Britannia Group applies valuation techniques to measure such instruments. These techniques make
maximum use of market-observable data but in some cases management estimate other than observable market inputs within
the valuation model. There is no standard model and different assumptions would generate different results.
Fair values are subject to a control framework designed to ensure that input variables and outputs are assessed independently
of the risk taker. These inputs and outputs are reviewed and approved by the Managers. The Britannia Group has minimal
exposure to financial assets or liabilities which are valued at other than quoted prices in an active market.
The classification criteria and their application to the Britannia Group can be summarised as follows:
- The unadjusted quoted price in an active market for identical assets or liabilities that the Britannia Group can access at the
measurement date (Level 1)
- Inputs other than quoted prices included within Level 1 that are observable (i.e. developed using market data) for the asset or
liability, either directly or indirectly (Level 2)
- Inputs that are unobservable (i.e. for which market data is unavailable) for the asset or liability (Level 3)
2024 2023
Britannia Group USD(000) USD(000)
Level 1 365,800 334,444
Level 2 569,120 493,088
Level 3 – –
934,920 827,532

20 FEBRUARY 2024
17 TONNAGE INFORMATION
The Britannia Group provides Members with cover for P&I and FD&D risks. Members are only allowed to take up FD&D cover if
they have taken up P&I cover and therefore there are no Members in the Britannia Group solely with FD&D cover. As this cover
applies to ships at sea, it is not feasible to measure geographical concentration of insurance liabilities for either class of cover.
Consequently, the Britannia Group has identified P&I risk to be the only reportable area.
The analysis of its tonnage from P&I cover from Members by geographical area is as follows:
2024 2023
gt (000) gt (000)
Asia 59,980 61,668
Middle East 4,795 4,534
Scandinavia 15,551 17,681
Australasia 872 872
Americas 5,602 6,451
Europe 54,880 50,836
141,680 142,042

18 DEBTORS  DIRECT INSURANCE OPERATIONS USD(000) USD(000)
Calls and premiums due from Members 5,093 4,067
Future payment dates 122,385 92,860
Debtors – direct insurance operations 127,478 96,927
2024 2023
19 DEBTORS  REINSURANCE OPERATIONS USD(000) USD(000)
Amounts recoverable from the Pool 15,684 15,684
Other 12,738 10,464
Debtors – reinsurance operations – Britannia Group 28,422 26,148
As at 20 February 2023 As at 20 February 2022

20 PRIOR YEAR ADJUSTMENT USD(000) USD(000)
Direct insurance operations – Members
As previously stated 105,271 103,716
Prior year adjustment – correction of error (8,344) (8,344)
As restated 96,927 95,372
Income and expenditure account

Prior year adjustment - correction of error (6,986) (6,986)
As restated 360,461 383,120
Investment reserve
Prior year adjustment - correction of error (1,358) (1,358)
As restated 86,227 141,405
During 2019/20 the Britannia Group changed its policy management system. During the transfer of information, two batched entries,
for brokerage and distributions were not correctly transferred. This resulted in those entries remaining on the Statement of Financial
Position in error when they should have been recorded in the Income and Expenditure account. All payments were correctly made
at the time, but the incorrect accounting resulted in the overstatement of the Income and Expenditure account, Direct insurance
operations – Members and investment reserve in the prior year. The error was discovered during the year and has been treated as
a material prior period error and adjusted as above in accordance with FRS102.10.21 at 20 February 2024.
Income and
Investment General expenditure
reserve reserve account Total
21 RESERVES USD(000) USD(000) USD(000) USD(000)
At 20 February 2022 (restated) 141,405 55,000 383,120 579,525
Deficit for the financial year – – (77,837) (77,837)
Capital distribution – – – –
Transfer from investment reserve (55,178) – 55,178 –
At 20 February 2023 (restated) 86,227 55,000 360,461 501,688
Surplus for the financial year – – 58,243 58,243
Capital distribution – – (10,000) (10,000)
Transfer to investment reserve 23,568 – (23,568) –
At 20 February 2024 109,795 55,000 385,136 549,931
The investment reserve comprises the cumulative net transfers from the income and expenditure account. Annual transfers
equivalent to the net unallocated return/(deficit) on the Britannia Group’s investments are made to or from this reserve. The
investment reserve can also be used to make a distribution to Members of such amount in such manner as the Board thinks fit.
The general reserve was established in accordance with Rule 39(1) of the Associations to provide for any claims, expenses, losses
or other outgoings of the Associations (including any deficiency in respect of any closed policy year), or to eliminate or reduce any
call in respect of any policy year. The general reserve can also be used to make a distribution to Members of such amount in such
manner as the Board thinks fit.
22 LETTER OF CREDIT
The Britannia Group has a letter of credit facility available to it with DBS Bank (Hong Kong) Limited. The total letter of credit
available amounted to USD19.2m (HKD150m), with no amounts drawn during the financial year. The undrawn letter of credit
amount available at 20 February 2023 amounted to USD19.2m (HKD150m).
23 RELATED PARTY TRANSACTIONS

The Board, of up to 14 directors comprising a non-executive Chairman, two Manager nominees and a balance of representative
of the membership out the Britannia Group and non-member directors, is elected to oversee the management of the Britannia
Group on behalf of the Members. The members of the Board are directors of the Britannia Group and as such are related
parties. Because of the mutual nature of the Britannia Group's operations and its Members, being both insured and insurers,
the Members are in effect related parties. The aggregate of transactions with Members is disclosed in these financial
statements and, in the opinion of the directors, there are no individual transactions, or connected transactions, other than in
the ordinary course of the Britannia Group's business with Members, directors or their companies the disclosure of which is
necessary for an understanding of the financial statements.
The Managers earned management fees of USD52.3m (2023 – USD50.4m) for the year. Three directors of the Britannia Group
are also directors of the Managers.
24 SUBSEQUENT EVENTS
On 26 March 2024 the container ship DALI, which is entered with the Britannia Group, allided with one of the pillars of the
Francis Scott Key Bridge, Baltimore at approximately 01:30 local time on its journey from Baltimore to Columbo. The ship’s
owners and their managers continue to work with the relevant authorities. The exact cause of the incident is yet to be determined
and a full investigation has been launched by the National Transportation Safety Board. In allision incidents such as this there is
a presumption of liability on the part of the ship, however the quantum of any loss and final liability are yet to be determined.
Claims arising from this incident will fall within the 2024/25 policy year.
The financial statements were authorised for issue by the Board on 6 June 2024.
CLASS 3  PROTECTION AND INDEMNITY POLICY YEAR STATEMENT

20 FEBRUARY 2024
2023/24 2022/23 2021/22 Closed years Total

USD(000) USD(000) USD(000) USD(000) USD(000)
Advance calls and premiums
Year to 20 February 2024 278,963 (478) 1,231
Year to 20 February 2023 – 253,378 (3,780)
Year to 20 February 2022 – – 212,245
278,963 252,900 209,696
Reinsurance premiums
Group excess of loss (41,852) (36,871) (26,721)
Other (19,582) (19,030) (19,276)
(61,434) (55,901) (45,997)
Allocated investment return 35,467 24,910 29,793
Taxation (10) (807) (1,827)
252,986 221,101 191,666
Claims paid less reinsurance recoveries 62,674 90,426 173,871

Acquisition costs 26,686 23,117 20,531
Administrative expenses 20,876 20,403 16,739
110,237 133,946 211,141
Balance available to meet outstanding claims 142,749 87,156 (19,475) 963,504 1,173,933
Estimated outstanding claims

Own claims 152,110 166,845 125,147 499,954 944,056
Share of Pool claims 18,238 11,497 32,181 82,184 144,100
170,348 178,342 157,328 582,138 1,088,156
Estimated reinsurance recoveries
Group excess of loss – – – (123,590) (123,590)
Pool (24,132) (11,696) (50,235) (102,588) (188,650)
Other reinsurers (4,664) (50,957) (25,495) (27,251) (108,368)
(28,796) (62,653) (75,729) (253,428) (420,608)
Net estimated outstanding claims 141,552 115,688 81,599 328,710 667,548

Surplus/(deficit) 1,198 (28,532) (101,074) 634,794 506,385
Capital distribution – – – (130,000) (130,000)
Balance after distributions 1,198 (28,532) (101,074) 504,794 376,385
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MANAGERS: MANAGERS:
TINDALL RILEY (BRITANNIA) LIMITED TINDALL RILEY EUROPE SÀRL
Regis House, 45 King William Street, 53A rue Glesener, L-1631,
London EC4R 9AN Luxembourg
United Kingdom T: +352 28 80 32 00
T: +44 (0) 20 7407 3588 britanniapandi.com
britanniapandi.com
THE BRITANNIA STEAM SHIP INSURANCE ASSOCIATION HOLDINGS LIMITED

Registered Office: Regis House, 45 King William Street,
London EC4R 9AN United Kingdom
Registered in England and Wales No.11686576
THE BRITANNIA STEAM SHIP INSURANCE THE BRITANNIA STEAM SHIP INSURANCE UNIVERSAL SHIPOWNERS MARINE HYDRA INSURANCE COMPANY LIMITED
ASSOCIATION LIMITED ASSOCIATION EUROPE INSURANCE ASSOCIATION LIMITED Registered Office:
Registered Office: Registered Office: Registered Office: c/o Carey Olsen Bermuda Limited
Regis House, 53A rue Glesener, Clarendon House, Rosebank Centre
45 King William Street, L-1631 Luxembourg 2 Church Street, 5th Floor
London EC4R 9AN Hamilton HM 11, 11 Bermudiana Road
Authorised by the Commissariat
United Kingdom Bermuda Pembroke HM 08
aux Assurances
Bermuda
Authorised by the Prudential Authorised by the Bermuda
Regulation Authority Monetary Authority Authorised by the Bermuda
Monetary Authority
Regulated by the Financial Conduct Authority
and the Prudential Regulation Authority

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ANNUAL REPORT AND FINANCIAL STATEMENTS

THE BRITANNIA GROUP’S COPENHAGEN, DENMARK 4

• OFFERING OUR MEMBERS THE

24 STATUTORY DIRECTORS’ REPORT

NEW YORK, USA 26

SHIPS BY TYPE (% OF TOTAL)

AGE OF SHIPS (% OF TOTAL)

38.7 REST OF EUROPE

3.4 MIDDLE EAST

ENTERED TONNAGE (OWNED)

20 FEB 2024 20 FEB 2023 20 FEB 2022

ENTERED TONNAGE (OWNED) 141.7 142.0 134.7

KEY FINANCIAL DATA USD(000) USD(000) USD(000)

CALLS AND PREMIUMS* 288,815 258,140 216,931

This report on the Britannia Group’s past financial

Total claims, especially from Pool claims, have been

NEW YORK, USA

AS IN PAST YEARS, THE RESULT OF THE 20 FEBRUARY 2024 RENEWAL CONFIRMS

PIRAEUS, GREECE LUXEMBOURG

TOKYO AND KOBE, JAPAN

BRITANNIA P&I DENMARK

OUR COPENHAGEN HUB WAS

INVESTMENT STRATEGY AND PERFORMANCE

ABSOLUTE RETURN BOND FUNDS 10%

INTERNATIONAL GROUP REINSURANCE

THE INTERNATIONAL GROUP (IG) CONTINUES TO ARRANGE COLLECTIVE REINSURANCE FOR

BRITANNIA P&I SPAIN

THE BRITANNIA GROUP'S EXCLUSIVE SPANISH

REINSURANCE COST ALLOCATION 2024/25

The conclusions were that there should be no change in the number

2024 RATE IN US CENTS % CHANGE IN RATE

OIL POLLUTION ONLY P&I MALICIOUS CYBER, COVID19 AND

Entered tonnage by area of management reflects

REST OF EUROPE 38.7%

SHIPS BY TYPE (% OF TOTAL) AGE OF SHIPS (% OF TOTAL)

BULK CARRIER/ 31 04 YEARS 19

THE GROWTH OF THE BRITANNIA GROUP’S TONNAGE IN GREECE PROMPTED

BRITANNIA P&I GREECE

BRITANNIA P&I SOUTH KOREA

B KOREA WAS LAUNCHED IN 2021 AND ITS ESTABLISHMENT

The Britannia Group continues to be active in

In 2024 the Managers will be joining ClimateWise,

CLASS 3  PROTECTION AND INDEMNITY (P&I)

CLASS 3 P&I CLAIMS

2014/15 16 2014/15 98 143

香 BRITANNIA P&I HONG KONG

CLASS 6  FREIGHT, DEMURRAGE AND DEFENCE (FD&D)

CLASS 6 FD&D SHIPS ENTERED

CLASS 6 FD&D CLAIMS

2014/15 20 2014/15 4.0

GROSS AND NET

EVOLVING FROM THE BRITANNIA GROUP’S EXCLUSIVE

BRITANNIA EUROPE’S HEADQUARTERS, BASED IN LUXEMBOURG,

BRITANNIA P&I LUXEMBOURG

MEMBERS OF THE BOARD

Taken at the Board meeting on 24 October 2023 in Athens.

THE BRITANNIA STEAM SHIP INSURANCE

BRITANNIA (UK) is regulated by the

90% quota share between USMIA and both