REPORT OF THE DIRECTORS
The Directors have pleasure in presenting their Review of the Year and Financial Statements of the Association for the year ended 20th February 2011.
PRINCIPAL ACTIVITIES OF THE ASSOCIATION
The principal activities of the Association, including its subsidiary companies, during the year were the insurance and reinsurance of marine protecting and indemnity risks on behalf of the Members.
At 20th February 2011 the owned tonnage entered in the Association
Ultimate control over the Association’s affairs rests with the Board of Directors, who are all elected by the shipowner Members of the Association. With the exception of the two Bermuda resident Directors, all the Directors are officers or agents of Members.
The Directors meet on four occasions each year to carry out the general and specific responsibilities entrusted to them under the Rules and Bye-Laws, and a commentary on the matters considered during the past year is contained in the Review that follows. The Directors are themselves active shipowners, and are restricted in the amount of time that they can make available to running the Association’s affairs. The Board delegates the day to day running of the Association to the Managers, Thomas Miller (Bermuda) Ltd.
The Managers, through their London agents, Thomas Miller P&I Ltd., and also through a network of offices in Asia, America and Europe, form the principal contact between the Association and the Members. In addition to carrying out the policies laid down by the Board, they also act as the conduit for feedback to the Board of the Members’ views.
At the Board meetings, the Directors receive reports from the Managers on all areas of the Club’s operations in accordance with an agreed schedule of reports. The Board also considers and decides issues of policy on general matters concerning
and through its subsidiary, The United Kingdom Mutual Steam Ship Assurance Association (Europe) Limited, on mutual terms totalled approximately 105 million gt (102 million in 2010). In addition, in excess of 80 million gt of chartered tonnage was entered in the Association at any time during the year.
DIRECTION AND MANAGEMENT OF THE ASSOCIATION the Club and the Members’ interests.
The Chairman and Deputy Chairmen meet with the Managers regularly during the year to discuss current developments and the preparation of matters for consideration and decision by the Board. The Board has established a number of committees.
The Strategy Committee of the Board meets eight times a year to provide in depth discussion and analysis of strategic issues which are to be considered by the Board and of any particular matters which the Board decides to refer to it. Issues discussed by the Committee over the past year have included Solvency 2, IG matters (EU investigation, sanctions and piracy), reinsurance arrangements, governance arrangements and the Corporate Plan. The Committee is comprised of the Chairman and Deputy Chairmen of the Club and nine other Directors who have considerable experience on the Board. The Committee reports to the full Board with the results of its deliberations and its recommendations.
The Audit Committee of the Board has met on three occasions over the past year. In line with the requirements of Solvency 2, its remit has been extended to include risk issues and is now known as the Audit & Risk Committee. This Committee will now meet four times a year. Its current chairman is Eric André who is a Deputy Chairman of the Club. In addition to four Club Directors being on the Committee, there are two independent members—
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