The board of UFDS determines the level of insurance premiums to ensure that UFDS has the necessary liquidity to cover serious, major incidents on board a vessel owned by a shipping company. Fortunately, such incidents occur rarely.
UFDS collects premiums twice a year, and members thus pay on account. Each payment covers six months. At the end of the year, UFDS issues an assignment list for members to fill in and return to UFDS stating the actual number of sailing days and personnel figures for the whole year. In June the following year, each shipping company receives an annual adjustment statement. The statement sets out the actual number of sailing days and ultimate premium for the past year and includes a collection note or refund, depending on the amount on account that has been collected.
As an insurance company, UFDS is obliged to publish its wage policy and a number of information on wage conditions, cf. legal notice on wage policy and wage conditions for insurance companies and insurance holding companies. The wage policy is determined by the Board and is subject to approval on the General Meeting. You can read about the wage policy of UFDS here (Danish version only).