2026/27 premium requirements and continuity and full fleet credits
TO: ALL MEMBERS
The Club Board recently met to determine amongst other things future premium requirements along with decisions relating to the return of capital to Members.
GENERAL INCREASE 5%
In relation to future premium requirements the Board determined that a 5% premium adjustment is required for the 2026 policy year which largely reflects inflation and also claims levels.
Law firm hourly rates continue to rise, particularly in the UK where the majority of Member claims are litigated. As Members will be aware these rates directly impact the underlying costs of claims. With regards to claims, the Club has assisted Members with a variety of issues which include differing international tariff regimes along with issues relating to future regulatory and technological changes. This provides a very challenging environment for many Members where the Club’s assistance has been called upon.
The Board’s approach to premium increases has always been a measured one and for 2026 this is no different. The Board considered that a 5% premium increase was appropriate taking into account future financial requirements. This measured approach also applies to the terms of cover. The Directors agreed that there would not be any changes to the underlying terms of cover. The Club continues to provide $15m of cover any one claim and, in addition it does not impose mandatory deductibles or claim sub-limits.
Consistency in approach is a central and defining characteristic of the Club and this applies to everything it does including its financial planning, capital requirements and, of key importance, the service provided to Members.
CONTINUITY CREDITS 10%
The Board regularly reviews its capital requirements. In 2015 it introduced a continuity credit program to reward Member loyalty. The level of credit is reviewed annually. For the second successive year the Board is extremely pleased to announce that the level of credit will be set at 10%.
This credit applies to any existing Member of the Club that renews into the 2026 policy year. This distribution will see in the order of £1.9 million returned to Members and represents the Club’s continued commitment to reward those Members who have contributed to the financial success of the Club.
Since the inception of this scheme in 2015, a cumulative total of $20 million has been returned to Members as highlighted in the pdf version attached below.
FULL FLEET CREDIT 5%
In addition to the continuity credit, any Member who has its entire fleet entered with the Club is entitled to a full fleet credit. For the next policy year this credit has been set at 5%. This credit applies to any existing or new Member at the commencement of the 2026 policy year.
The Directors thank all Members for your continued support.
Yours faithfully
THOMAS MILLER DEFENCE LTD.
Managers
- Date
- 19/11/2025
