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Shoreline Mutual keeps its business on an even keel

It has been "business as usual" at Shoreline Mutual (Bermuda)'s offices in Church Street where the restructuring necessitated a year ago by Mutual Risk Management's financial problems has been completed and approved in Bermuda.

28 July 2003

"Our renewal season was fine and we have reached a plateau and maintain our market share," president Marilyn Feldman told Lloyd 's List.

That share comprises the provision of 30%-plus of bluewater certificates of financial responsibility against the near 70% share controlled by Shipowners Insurance and Guaranty Company.

Shoreline president Mark Filanowski recently informed members that Shoreline Mutual had experienced a relatively unremarkable year despite the repercussions of September 11, the terrorist attack on the tanker Limburg, virus concerns on cruise vessels, the roller coaster tanker market, economic woes impacting container traffic and the sinking of the tanker Prestige.

"Insurance markets saw a fight at the end of the long tunnel, but all of the above events impacted maritime insurance in some way," said Mr Filanowski.

"Shortage of capital, ever-changing risk scenarios, regulatory and legal changes, and a struggle to obtain acceptable returns on covered risks led to sharp increases in most maritime insurance cover, reversing a long course of stagnancy."

Shoreline's relatively unremarkable year, he was happy to report, encompassed reacting to the US Terrorism Risk Insurance Act of 2002 and a potential claim under a certificate of financial responsibility underwritten by Shoreline.

The claim was not a pollution event and was addressed by management with minor financial consequence to the mutual.

"Our unblemished pollution claims record continues, due to our strict membership requirements and the consistent approach from management to attract only the highest quality owners to the mutual.

"Our focus on one product, for one purpose, is a major reason we have maintained our record and our status as a leading provider in our market."