This proposal will be presented to the Committee and finally decided by the Annual General Meeting, in connection with adoption of the annual accounts, on 17 June 2019.
An e-mail with all the underlying details will be sent to brokers and members during the next few days and Norwegian Hull Club will start paying out the return premium as soon as bank account details are received in return. If you have any questions regarding the return premium, contact your designated underwriter or look into the questions and answers listed below.
Questions & Answers
Q: Which article in the Articles of Association is the basis for decision on and calculation of return premium?
A: Return premium is regulated by § 3-2 of the Articles of Association, stating:
“If the total premiums and other income of the Club are found to be in excess of that required to cover the claims and costs of the calendar year, the Club may decide that the surplus, wholly or in part, shall be repaid to the members in the calendar year in question by way of a pro rata discount to be stipulated in proportion to the net advance premiums for that calendar year.
"It is not permissible to declare higher return premium than proposed or accepted by the Board of Directors.
"Repayment to Joint Members is to be sent to the member named first in the insurance agreement.”
Q: For which period is the return premium earned?
A: Return premium is based on mutual premium earned by NHC during the 2018 calendar year, see § 3-2 referred to under the first question. This premium can also relate to previous underwriting years which were at risk in 2018.
Q: To whom shall return premium be paid?
A: Return premium shall be paid to the member, See § 3-2. In case of Joint Members, return premium is paid to the members named first.
Q: Will return premium impact commission to brokers?
Q: Will a former member who was member for a part of the calendar year be entitled to return premium?
A: Yes, see § 3-2.
Q: Will return premium impact Profit Commission, No Claims Bonus and similar adjustments?
Q: Is estimated but not reported premium on war covers included in the basis for return premium?
A: No, only calls declared and premium calculated thereon form the basis for return premium.
Q: When will repayment of premium be made?
A: Shortly after the Annual General Meeting, to be held on the 4th of June.
15. May. 2019