UK-based marine insurance provider The Strike Club has revealed plans to join The Standard Club group.
Strike Club primarily provides delay insurance services to ship owners and operators. With the planned merger, the company aims to better serve its members with cost-effective delay insurance at a time of growing capital and regulatory requirements.
Both the groups are currently managed by companies within the Charles Taylor group.
Once the merger is completed, Strike Club will continue to operate as a member-controlled dedicated mutual delay insurer, as well as continue to offer the same mutual delay insurance that includes Class I, II and III of Strike Club cover.
The Strike Club will operate under the same brand name, but within The Standard Club.
It will also continue to be supervised by its existing board, which will become a Strike Club committee of Standard Club. This is subject to overall governance by The Standard Club board.
Assets and liabilities of Strike Club will be integrated with Standard Club.
Charles Taylor chief executive Jeremy Grose said: “The Standard Club will create a new Strike class in each of the Standard companies, into which The Strike Club business would transfer.
“There will need to be minor changes to The Standard Club’s Byelaws, and to the Articles of the subsidiary companies (Standard UK, Asia, Ireland, and Re), to give effect to this.
“These changes will need members’ approval. The Strike Club proposes to amend its own Articles to pass control to Standard. Regulatory approvals will need to be obtained for the changes proposed. The transaction is expected to take place on 20 February 2019.”
Following the merger, The Standard Club is expected to strengthen its current strategy of providing a wide range of covers.
The deal is set to introduce around 200 new members to The Standard Club, and will further diversify the club’s underwriting portfolio and risk profile, among other benefits.