A large slice of protection and indemnity club income is set to be wiped out in the coming years as elderly ships head to the scrapyard, says insurance broker Gallagher.
Older ships generally pay higher rates for P&I coverage because of their higher risk profiles compared to newer vessels.
“A word that will return to prominence in the coming years will be ‘churn’,” said Gallagher Specialty’s head of P&I Alex Vullo in the company’s pre-renewal review published on Monday.
