HAMILTON, Bermuda, March 27, 2013 /PRNewswire/ --
Oil Insurance Limited (OIL) held its 2013 Annual General Meeting (AGM) on Wednesday March 20th, 2013 at the Fairmont Southampton Hotel in Bermuda.
Management reviewed OIL's 2012 audited financials with the shareholders. During the year, OIL had $672 million of written and earned premium while incurred losses, inclusive of loss adjustment expenses, totaled $(613) million. OIL's net underwriting income was $60 million. Including net investment income of $608 million in the results, as well as G&A and other expenses, OIL experienced net income for the year of $646 million.
Shareholders voted on a new slate of directors for the 2013 year. Mark Wilson was appointed OIL's 2013 Chairman with Gerard Modecki appointed as Vice Chairman. Additionally, the Shareholders approved the removal of the following conditions from the rating and premium plan effective January 2014; (1) the minimum annual premium, (2) low deductible premium and (3) premium rates. There was also a technical correction approved with respect to the "Named Windstorm Risk Weighting Factor" definition. In addition, the rewrite of the OIL shareholder agreement was approved effective immediately. The timeline for members to review the Single Pool and Experience Modification proposal was presented and it is expected to be voted on at a Special General Meeting on September 24th 2013. Members were also advised of the important OIL Policy review and update project that has commenced.
Robert Stauffer, President & Chief Executive Officer, began the meeting by stating "In general, 2012 was a very good year for OIL. Fortunately, we did not experience any severe windstorm or hurricane losses and our losses came in pretty much as we forecast and expected. In addition, our investment portfolio returns were very good - a testament to the intense work and strategic decision making of our investment board and financial staff. Looking forward, our priorities will remain the same, with a focus on measured growth and continued enhancement of member relations."
OIL Chief Operating Officer Mr. George Hutchings advised that during 2012, 2 new members joined OIL, Canadian Oil Sands Ltd and Energy Transfer Partners, while El Paso departed after it was acquired by Kinder Morgan. OIL has been meeting with global energy brokers on a regional basis and is in discussions with a number of additional prospective members from multiple countries". Mr. Hutchings also noted "A number of strategic initiatives came to fruition in 2012 including the launch of key elements of the global marketing plan along with continued internal initiatives aimed at simplifying the rating and premium plan and the OIL policy. Perhaps the most important marketing development was the launch of the OTA (OIL Technical Accreditation) on-line training program which was launched in December 2012. The OTA has already attracted participation by over 300 members and global energy brokers".
Mr. Hutchings explained "the core of OIL's new mission is to become the world's energy property market of choice for those companies that qualify for membership. Many of the organization's initiatives through 2012 were undertaken with a view to building the foundation for achieving that goal. OIL is a unique organization and supplier of energy industry insurance capacity, and we want to make sure that those companies that fit our member blueprint learn about OIL's true value proposition and discover how they can benefit from joining OIL".
For a list of the new slate of directors for the 2013 year and a more in-depth evaluation of OIL's 2012 audited financial results, please visit our website at http://www.oil.bm.
Oil Insurance Limited (OIL) insures over two trillion dollars of global energy assets for more than fifty members with property limits up to $300 million totaling more than eleven billion dollars in total A- rated property capacity. Members are medium to large sized public and private energy companies with at least $1 billion in physical property assets and an investment grade rating or equivalent. Products offered include Property (Physical Damage), Windstorm, Non Gradual Pollution, Control of Well, Terrorism, Construction and Cargo. The industry sectors that OIL protects include Offshore and Onshore Exploration & Production, Refining and Marketing, Petrochemicals, Mining, Pipelines, Electric Utilities and other related energy business sectors.
SOURCE Oil Insurance Limited (OIL)