Approximately two months ago, the luxury yacht Sassi was completely burnt at the German Lurssen Werft shipyard. Most probably, this shall be a CTL claim amounting to US$ 700 Million. This unfortunate event comes during turbulent times at the London H&M market, especially since the majority of the security of the above shipyard, 32 out of 37, are Lloyd’s syndicates. It is understood that the latest syndicates to withdraw from the Lloyd’s H&M market are CNA Hardy, Standard and Channel. We have been informed by leading London H&M underwriters that, unfortunately, more are to follow the next couple of weeks or months. Additionally, most facultative reinsurance treaties are to be renewed at the end of the year, i.e. in the midst of the above, and at this stage it is safe to assume that increases shall be imposed due to the volume and magnitude of losses in H&M and other classes of business. Clearly, the above point towards an even more hardening H&M market and, perhaps, a 'perfect storm'.