Standard Club takes control of core operations from Charles Taylor

Standard Club, a specialist marine and energy insurer, has decided to take control of its core management operations from third party manager Charles Taylor and move it in-house. The decision follows a review last year, which took into account the club’s strategy, scale and evolving governance requirements.

The two companies are working together to create a new operating model for the club and ensure a smooth transition, beginning in July 2020 and concluding in August 2021.

Under the new model, the same management team will remain in place, with the same individuals carrying out core management, underwriting, claims handling, loss prevention, finance and control activities, as part of the club’s own organisation.

Charles Taylor will provide a range of support services including the club’s technology infrastructure and services, investment management, internal audit and other support services under multi-year contracts.

Charles Taylor Group companies will also be key providers to the club and its members for loss adjusting, medical assistance, marine technical and club correspondent services.

The club will continue to be one of Charles Taylor’s largest clients. It will work closely with its regulators in the implementation of these changes.

The new model will see more than 200 Charles Taylor employees transition over to the Standard Club within the next year. Charles Taylor will also provide the Standard Club with an ‘advance team’ of 10-20 senior staff, who will be amongst the club’s first official employees to lead the technical build of the new operating model and to oversee day-to-day management. The remaining operations transitioning from Charles Taylor will take place within the next 12-15 months. The club will continue to rely on Charles Taylor to provide key services, in order to ensure stability and continuity.

Jeremy Grose, chief executive of The Standard Club said: “Through the successful partnership with Charles Taylor, the Standard Club has grown to become one of the leading P&I clubs globally. We are committed to a strong, long-term and mutually beneficial partnership with Charles Taylor in the future.

“While members and brokers will notice no difference in their normal dealings with the club, we believe that this new model will strengthen the club’s governance to their long-term benefit. We are excited about the future for the club and we are confident that the new operating model will fit the strategic needs of the club in the decades to come.”

Charles Taylor’s global chief operating officer, Richard Yerbury added: “Our goal is to always work collaboratively to ensure the success of our clients. We are proud that, with Charles Taylor’s support, the club has become one of the world’s leading specialist marine and energy insurers. We are committed to ensuring a successful and smooth transition to the club’s new operating model and we look forward to supporting the continued success of the club over the years and decades to come.

“Charles Taylor will remain a critical partner of the club, and vice versa. As the club moves forward, the ongoing expansion of Charles Taylor’s services and international coverage will benefit the club as well as our other clients across the global insurance market.”