In Business: Insurance Industry in Cyprus
“From Cyprus we cover a world of ships”.
American Hellenic Hull (AHHIC) has been profiled by Cyprus’ leading business information provider, ‘In Business’, with CEO Ilias Tsakiris interviewed on the new challenges facing the marine insurance industry and on his views regarding the business and supervisory framework in Cyprus.
Mr. Tsakiris said that since mid-2018 a major consolidation in the Lloyd’s and London markets has had an impact on marine insurance premium levels and that a firming of rates is expected to continue during this year.
He also considered that Cyprus may profit from developments connected with Brexit, due to the country’s favourable tax and regulatory environment.
American Hellenic Hull firmly supports the vision of the Deputy Ministry of Shipping to turn Cyprus into one of the world’s leading shipping clusters. At the same time, Mr. Tsakiris said, AHHIC is proud to act as an “ambassador” of Cyprus in all the key international s
Asked about Cyprus’ supervisory authorities, Mr. Tsakiris observed that their personnel are highly qualified and extremely business oriented with exemplary efficiency.
American Hellenic Hull’s target is to double the value of the company’s initial investment within the next five years, Mr. Tsakiris told ‘In Business’.
Read the full interview here:
Prestigious industry event honours historic shipping personalities as well as strongly supporting children’s charity Hellenic Hope
American Hellenic Hull Insurance Company was once again for 2019 among the leading supporters of the annual Greek Shipping Hall of Fame Induction Ceremony & Dinner.
The Hall of Fame dinner, one of the most prestigious events in the maritime calendar, honours the historic greats of the Greek shipping industry and each year two new Inductees are unveiled, based on the votes of the organisation’s distinguished Academy of members.
As a Premium Sponsor of the event, which also supports the worthy Greek children’s charity Hellenic Hope, American Hellenic was acting as one of the strongest supporters of the event for the fourth straight year.
“We are proud to be a leading supporter of the Greek Shipping Hall of Fame,” said the company’s Chief Executive Officer, Ilias Tsakiris. “Our management roots are in Greek shipping, a business community that for many decades has played a lading role in global seaborne transportation.
“The Hall of Fame honors the personal commitment, imagination and expertise of some of the industry’s historic personalities, who have helped Greek shipping adapt over the years to remain at the forefront of the maritime adventure,” he continued.
“The maritime industry never stands still and American Hellenic’s team provides a personal, innovative and experienced service that meets the evolving needs of shipowners,” Mr Tsakiris added.
About 650 guests including many leading shipowners together with their business partners from Greece and overseas participated in the glittering event at Megaron, the Athens Concert Hall.
The event concluded with the announcement of the latest Inductees to the Greek Shipping Hall of Fame – George S. Coumantaros (1922-2016) and John P. Goulandris (1907-1950). The two past giants of the industry bring to 30 the number of Inductees now in the Hall of Fame, which was launched in 2007.
The event raised a total of Euros 44,000 for the children’s charity Hellenic Hope. The Greek Shipping Hall of Fame has partnered with the charity for the last six years.
Attached photo: American Hellenic Hull Chief Executive Officer Ilias Tsakiris being interviewed at the Greek Shipping Hall of Fame Induction Ceremony & Dinner 2019 in Athens
The World Maritime University (WMU), founded by the International Maritime Organization (IMO), has widened its focus to include the marine hull and machinery insurance sector for the first time, thanks to a new cooperation with American Hellenic Hull Insurance Company (AHHIC).
AHHIC and WMU sealed their cooperation with a highly successful joint event held at the university’s headquarters in Malmo, Sweden, on Wednesday, April 3.
At the event, AHHIC’s Chief Executive Officer Ilias Tsakiris shared his knowledge and experience in marine insurance with WMU students, who are seen as future key maritime decision-makers in numerous countries across the world.
Mr Tsakiris’ presentation followed a fruitful debate, during which the students raised questions on the future of the marine insurance market and the emerging issues related to IMO’s new regulations.
Mr Tsakiris’ visit to the university included a meeting with Prof. G. Theocharidis and WMU President Dr. Cleopatra Doumbia-Henry that enabled them to discuss concerns related tο new trends in shipping and marine insurance, as well as details of the future cooperation between AHHIC and the WMU.
As the sole cooperation of its kind between a marine hull insurance company and the WMO, American Hellenic Hull’s initiative is considered important for greater understanding of the marine insurance sector as well as underlining the status of the Piraeus and Limassol maritime service clusters.
Please see event’s highlights in the below video link:
American Hellenic Hull has proudly launched its cooperation with the World Maritime University (WMU) based in Malmö, Sweden.
The World Maritime University was founded by the International Maritime Organization and its aim is to help the IMO and IMO member states to ensure safe, secure, and efficient shipping on clean oceans through education, research, and a network of graduates who will build the capacity of maritime administrations around the world.
Our welcome reception for WMU’s students visiting Greece for their field study program, was held on Friday, March 8th at the premises of the Piraeus Marine Club.
The joint event, that included AHHIC’s presentation on Marine Insurance, marked the start of an effort to develop better links among WMU’s graduates, American Hellenic Hull Insurance Company and the marine insurance industry.
Mr. Ilias Tsakiris, CEO of AHHIC, will introduce Marine Insurance to all WMU’s students in Malmö, Sweden, on Wednesday, April 3rd at 15:00, delivering a lecture under the title: “Current and Future Challenges for Shipping in the Realm of Marine Insurance”.
Please see event’s highlights in the below link:
“Our track record in providing Hull & Machinery cover to shipowners is second to none”, told Mr. Evangelos Gagkos, Underwriting Manager of AHHIC in ELNAVI special report in Marine Insurance.
Mr. Gagkos described company’s greatest landmarks from 2016 until today and commented on the latest trends and developments in marine insurance market, such as digitalization, decarbonization, cyber risks and the role of marine insurance broker in the future.
In addition, he mentioned that Greek shipowners have retained their role as top players in world shipping and it is clear that they operate very efficient ships that can compete successfully in an industry that is subject to greater demands for efficiency and higher environmental standards. “I think that nowadays the efficiency of Greek vessels and the high technical expertise of the shipowners is recognized and very well appreciated throughout the marine insurance market”, underlined Mr. Gagkos.
Moreover, he stressed that marine insurance market is entering uncharted waters trying to respond to the new challenges arising from the digitalization of shipping industry and the introduction of new standards.
“At AHHIC we do follow market’s trends with the aim to lead in the H&M market. Our highly qualified personnel has the right talent to respond to all those emerging issues and provide new services in compliance with the global shipping industry and IMO’s regulations. We stand ready to provide highly synergistic hull and machinery solutions to the global shipping industry. Our target is to double the value of the company’s initial investment within the next five years. But our goal is also to remain close to our shipowner clients, constantly working to fine-tune and innovate in terms of our insurance products and services to the industry”, stated Mr. Gagkos.
American Hellenic Hull reports significant premium growth
September marked completion of an operationally profitable second quarter of the year for American Hellenic Hull. At a 9th October meeting in Cyprus, AHHIC’s Board of Directors was extensively briefed on the robust state of the company.
Chairman, Vince Solarino, stated: “We at American P&I Club will continue to support further growth in the turnover of American Hellenic and we firmly believe that it represents a new, growing, dynamic force in marine insurance markets across the world”.
Particularly noteworthy was a significant increase in premium for the year to date, thanks partly to a number of new accounts added at the end of month. Τhe gross written premium for the period of January to September 2018 increased by 16% compared with last year at the same stage. At the end of September, the company’s insured fleet showed a year-on-year increase of 15%, numbering 2,160 vessels. The average line of cover stood at 8%.
Data presented to the Board by the managers also showed that AHHIC’s total assets for September 2018 were 18.5% higher than at the end of 2017, whereas the ratio of current assets to current liabilities stood at 445% compared with 330% at the end of last year. The underwriting loss ratio stands at 67.6%, while the company’s operational expenses are 12.9% below budget amounts.
During the briefing the managers reported that in September, AHHIC’s own funds stood at 116.1% of the Solvency Capital Requirement (SCR) and 159.30% of the Minimum Capital Requirement (MCR).
“We are delighted about the company’s continuing upward trend and its profitable operation,” said Ilias Tsakiris, CEO of American Hellenic Hull. “American Hellenic provides highly synergistic hull and machinery solutions to the global shipping industry, while our track record is second to none. We shall continue developing our reputation and growing brand-recognition of AHHIC throughout the world’s key shipping communities. Our target is to double the value of the company’s initial investment within the next five years,” stated Mr. Tsakiris.
In a transaction negotiated during 2015, and accomplished as to its final details in June 2016, the American Club has made a significant investment in the establishment of a new company in Cyprus, American Hellenic Hull Insurance Company, Ltd., in order to develop a presence in the hull and machinery market, an area highly germane to the Club’s activity in the P&I sector.
Complying with the rigorous financial and operational imperatives of the European Union’s Solvency II regime, American Hellenic Hull has continued to achieve excellent progress since it commenced operations and now boasts a substantial, and growing, portfolio of first class international fleets.
American Hellenic Hull stands ready to provide highly synergistic hull and machinery solutions to the global shipping industry motivated by the same levels of customer care which it shares with its investor, the American Club itself. This combination of capabilities represents a new force of growing energy within the marine insurance markets across the world.
Read Circular in Club’s website at https://www.american-club.com/files/files/cir_36_18.pdf
American Hellenic, the American Club’s hull insurance subsidiary, remains on its dynamic upward trajectory after a profitable summer period. August was the company’s fifth consecutive month of profitable operations, thanks to the market continuing to firm and the company’s strong underwriting loss ratio of 64.7%.
At end of August, AHHIC had an insured fleet of 2,127 vessels – a year-on-year increase of 14% – with an average 7.98% line of cover. Written premium was 13% higher than at the same stage last year. During the year the company’s total assets have increased by 16%, while current assets are 332% of current liabilities. Long overdue items are at their lowest-ever level at about 1% while the company’s operating expenses are currently 14.3% below budgeted amounts.
In August the company’s capital stood at 116% of the Solvency Capital Requirement (SCR) and 166.6% of the Minimum Capital Requirement (MCR).
American Hellenic Hull Insurance continues to soar with best-ever month
American Hellenic Hull Insurance Company is continuing its remarkable growth that has seen the company beat all internal targets during its first two years of operation.
The company has just recorded its best-ever month and has now reached a total of 2,200 vessels currently insured. This represented an expansion of 43% compared with the number of ships covered by AHHIC at the same point of 2017.
“April was the best month in our history so far, in terms of underwriting result,” says CEO Ilias Tsakiris. At the end of April cash and invested funds stood at record levels, equivalent to 42% of the company’s total assets. During the first four months of 2018, gross written premium showed an increase of 28% compared with the same period last year, reaching about $18,5 million.
A scheduled capital increase to support the company’s rapid growth contributed to a significant increase in the company’s Solvency Capital Requirement. During the first financial quarter of the year, SCR improved by 8% to 114%, despite a sharp increase in claims during the period.
April was also a satisfying month for AHHIC as the loss ratio normalized after increasing during the first quarter of the year.
“We are continuing to grow in strength and in recognition among international shipowners,” says Mr. Tsakiris. “We look forward to the remainder of 2018 as we dynamically apply our vision of providing competitive and reliable bespoke insurance coverage to quality shipowners around the world”.
Please read Lloyd’s List published article here