No.3 2026/27 - Class 1 and Class 2 Policy Year Balances and Financial Position at 20 February 2026

Financial commentary

Gross premium increased by 18% to USD 409.3m reflecting continuing strong support from the Club’s mutual membership as well as from its broader product offering following the successful acquisition of Nordic Marine in April 2025.

The Club’s own claims were below their expected position and the share of other Clubs’ Pool claims was close to the budgeted level although this was assisted by a comparatively low Pool share due to the Club’s recent positive Pool performance.

The combined ratio is 98% and the Board’s primary operating performance measure of a three year average combined ratio below 100% has again been met at 98.8%, demonstrating the robust and consistent positive technical performance delivered by West.

The investment return was the highest it has been for over ten years, with all asset classes contributing positively and the Club’s investment portfolio returned 7.9% for the year, which earned a net USD 65.0m.

The combination of this positive technical performance and the exceptional investment return mean the Free Reserve increased by 23% to the highest level the Club has reported at USD 376.8m. This improved capital strength has been recognised by the rating agencies and the solvency coverage is estimated to have increased to 195%, providing financial stability for the Club’s membership.