Charles Taylor plc, the London stock exchange quoted insurance management group, is acquiring three companies that run the Shipowners' Mutual Strike Association.
The Strike Club, set up nearly 60 years ago, provides shipowners with insurance cover for delay to vessels caused by labour disputes as well as a growing list of other threats to the ability to trade a ship.
The mutual chaired by Johan Hagn-Meincke of Clipper Group has signed a management contract with Charles Taylor, which has a diversified range of businesses providing services to the insurance market.
Hagn-Meincke said he was confident “the Strike Club will go from strength of strength” under Charles Taylor management
The Strike Club covers about 2,700 vessels of 120m tonnes deadweight against the cost of delay attributable to labour disputes or other landside issues and about 1,200 vessels of 50m dwt against delays that arise from shipboard incidents. The club had reserves of about $35m as of a year ago.
Prominent members of the Strike Club include Louis Dreyfus Armateurs, Bunge, Rickmers, Western Bulk, Leonhardt & Blumberg, Graig group, Pacific Direct Line, Furness Withy Chartering, Vrontados, NS United and Toko Kaiun Kaisha
Charles Taylor is acquiring three SC Management companies involved in running the Strike Club from chief executive Bill Milligan, who will continue to develop the mutual following the change of management. Employees of the SC Management companies will also join Charles Taylor.
Jeremy Grose, the chief executive of Charles Taylor’s mutual management operation, said combining the skills and expertise would enable services on offer to Strike Club members to be extended.
Charles Taylor, one of the most ambitious of the protection and indemnity club managers, is pressing ahead with plans to become a bigger player in the Lloyd’s market as a syndicate managing agency with Standard syndicate 1884 the first it will run.
The company is also running the new Singapore War Risks Mutual launched this week as a Standard Club class.
There are also other marine mutuals under management such as the Signal Mutual Indemnity Association covering US longshore workers’ compensation risks and the Standard Compensation Act Liability Association (Scala) provides workers’ compensation insurance to the majority of Canadian shipowners.
Charles Taylor also owns Richards Hogg Lindley, the largest of the average adjusting groups and has many other operations including run-off management ventures.
