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International Group of P&I Clubs Reported 2025/26 Surplus

All 12 member clubs finished the 2025/26 policy year in surplus thanks to strong investment returns.

Updated on Sept. 23, 2026 in Corporate Finance

Isometric editorial illustration of a brass navigation sextant on a dark desk, symbolizing stability in maritime insurance.
The International Group of P&I Clubs achieved a collective surplus in the 2025/26 policy year, bolstered by over $1 billion in investment gains. AI Illustration. Upload story photo >

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The International Group of P&I Clubs concluded the 2025/26 policy year with an overall surplus, bolstered by investment returns exceeding US$1 billion. This result marked a recovery from the previous policy period, during which incurred claims surged by 21% to total US$3.73 billion.

Why it matters

The group's ability to utilize robust investment gains to offset underwriting results provided stability to the marine insurance market. Improved technical performance was driven by a reduction in large casualties and consistent results in lower-value claims.

Combined free reserves across the International Group rose by US$800 million to reach a total of nearly US$6.8 billion. While investment returns topped US$1 billion, Gallagher Specialty estimates a market-wide underwriting loss of US$250 million for 2025/26.

The players

International Group of P&I Clubs

This association of 12 protection and indemnity clubs provides liability coverage for approximately 90% of the world's ocean-going tonnage.

London P&I Club

This marine mutual insurer provides liability and P&I coverage to shipowners and charterers globally.

Skuld

This Norway-based marine insurance provider offers a range of P&I and specialty insurance products to the global shipping industry.

Tysers

This international insurance broker provides specialized market analysis and advisory services for the global marine and P&I sectors.

Gallagher Specialty

This division of Arthur J. Gallagher & Co. provides risk management and insurance brokerage services to complex global industries.

The details

While all 12 clubs finished the year in surplus, only five achieved a positive technical underwriting result. The group navigated a challenging prior environment where the 2024/25 market combined ratio climbed to nearly 110%.

Timeline

  1. The 2024/25 policy year saw a market-wide combined ratio of nearly 110%.

  2. All 12 clubs finished the 2025/26 policy year in overall surplus.

  3. General premium increases were implemented during the 2026/27 policy year.

  4. Tysers is scheduled to update the P&I market report in December 2026.

  5. The next major P&I renewal season is slated for February 2027.

Market Landscape

The 2025/26 financial results represent a recovery from the performance benchmark established by the 2024/25 P&I market-wide combined ratio of 110%. This surplus growth positions the group to better absorb future volatility in claim frequency and severity.

Shipowners and operators face a changing cost environment following the implementation of general premium increases during the 2026/27 policy year. While the group remains financially stable, these adjustments directly affect the annual operating expenses for global shipping firms.

The takeaway

The move toward surplus demonstrates the reliance of the P&I market on strong investment performance to stabilize core underwriting operations. Shipowners should prepare for continued premium adjustments as the market navigates long-term claim trends.

What happens next

Tysers is expected to release a detailed market update regarding the P&I industry in December 2026, followed by the formal renewal season in February 2027.

Further reading

For more on the financial health of the maritime insurance sector, visit our Corporate Finance section.

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