Shoreline Mutual

The United States authorities are suing Shoreline Mutual (Bermuda) Ltd. and two German corporations for damages totaling $1.4 million following an oil spill on the Savannah River in Georgia in 2006 that they allegedly never reported.SMBL is a co defendant

Bermuda-based Shoreline Mutual, which issues certificates of financial guarantee for vessels entering US waters, has arranged further reinsurance for all its members to protect them against supplemental cash calls being made in the event of substantial claims.The policy, which has been placed by Willis Faber & Dumas and Sedgwick Marine & Cargo and is underwritten 100 per cent at Lloyd's, is expected to strengthen Shoreline's product in the battle for business with its main rival, First Line, which is also based in Bermuda.

Insurance executives aligned to two groups in Bermuda have been working frantically over the last few weeks to provide the first certificates of financial responsibility now required of shipowners whose vessels will enter US waters. Up for grabs are tens of millions of dollars in annual premiums. David Marchant looks at Bermuda's newest reinsurance product and assesses the winners and losers.