West reports record free reserves and combined ratio of 98.0%
The combined ratio for the 2025-26 financial year was 98.0%, an improvement on the prior year's 103.9%. The Club's own claims were below their expected position, and the share of Pool claims was close to the budgeted level, assisted by West's recent positive Pool performance.
The Board's primary operating performance measure, a three-year average combined ratio below 100%, has again been met at 98.8%, demonstrating consistent and strong technical performance.
West's investment portfolio delivered a return of 7.9%, generating USD 65.0m, its strongest investment result in over ten years. With all asset classes contributing positively, this performance, together with the underwriting surplus, has driven further improvement across all capital measures.
The Club's free reserve increased by 23% to USD 376.8m, the highest level the Club has ever reported. The Solvency Capital Ratio is estimated at 195%, providing a strong foundation to continue to develop the Club and for West to uphold its AM Best A- (Excellent) rating.
Gross earned premiums for 2025-26 reached USD 409.3m, up 18% on the prior year. This growth reflects high levels of Member retention and strong demand across West's full product range as well as the successful full acquisition of Nordic Marine Insurance in April 2025, building on West's initial 2020 investment and strengthening the Club's offering in the Fixed and Hull markets.
“We enter the new Policy Year in a very strong position with a combined ratio of 98%, record free reserves, and our best investment return in over a decade reflecting the consistent approach we have taken to underwriting discipline and capital management. We remain fully focused on ensuring West continues to support its Members in these challenging times” commented West's Group CEO, Tom Bowsher. For additional insight into West’s 2025-26 financial results, you can refer to his recent video statement.
West's continued progress is built on the trust and partnership of our Members, brokers, reinsurers and staff. The Club thanks all those who make West what it is today and looks forward to another year of delivering strength, service and support.