steps to increase the company's market share at a special general meeting on Friday.

Mr. K. Doyle Stephens, president of the Bermuda-based oil mutual, said he was pleased with the support shown for the proposals.

He said approval of the measures "represents a positive statement on the part of the members that they are not only committed to the long-term success of the company, but that they are also prepared to take the steps necessary to ensure that OIL meets the changing insurance needs of the petroleum industry.'' The adopted proposals, which take effect on January 1, include an increase in basic limits. The maximum per occurrence limit will increase from $200 million to $225 million. The aggregation limit increases from $500 million to $562.5 million.

The joint venture limit will be eliminated. Members will be entitled to recover full limits subject only to the per occurrence and aggregation limits.

Deductibles will continue to scale to working interest subject to a minimum deductible of $1 million.

Sector weighting will be introduced. Gross assets will be adjusted to recognise differences in risk between business sectors.

There also will be the introduction of an option to purchase less than the full limits. Shareholders will be allowed to do this on the condition that they not buy other insurance, other than for pollution liability, above the initial working layer of $10 million.

Also being introduced is an option to purchase flexible limits/deductibles by business sector. Shareholders will be able to elect different limits/attachments for each of their business sectors.

The company also improves the schedule of deductible discounts, with credits made available for layers attaching up to $750 million.

Credits will be offered where the limits purchased from the company are part of an overall quota share programme.

The company is eliminating the RCV and IBNR surcharges. Members electing ACV coverage only shall receive a TEN percent discount on their gross assets.

Members purchasing sudden and accidental (as opposed to broad form) pollution liability coverage shall receive a 10 percent discount on their gross assets.

OIL is a world leader in providing petroleum industry insurance coverages, a cost-effective risk management tool for shareholders.

Share holding membership for the mutual, which is principly made up of American companies (31), also includes seven European, five Canadian and one Australian member.

At December 31, OIL's capital and surplus totaled $1.084 billion and total assets were at $1.832 billion. By last month, capital and surplus had increased to $1.41 billion.

Over nearly 25 years of operation, the company has earned net premiums of $2.8 billion and incurred $2.9 billion of net losses, while earning investment income of $1.2 billion.