Maritime Claims - An Underwriter's Perspective

Marine Insurance Act 1906, Section 2.

Mixed Sea and Land Risks - A contract of Marine Insurance may, by it's express terms, or by usage of trade, be extended so as to protect the assured against losses on inland waters or on any land risk which may be incidental to any sea voyage.

Introduction

  • The role of IUMI and other international organisations. 
  • Some marine Global statistics.
  • The role of International Conventions in Liability Regimes.
  • Typical marine policy Covers.
  • Major casualty issues ("Napoli / Rena / APL Panama "/ Costa Concordia)
  • General Average & Salvage.

Internation Union of Marine Insurance

  • Professional body run by it's marine membership.
  • Communications platform.
  • Affiliate membership - ICS, IGP, IACS, BIMCO, CMI, UN
  • Technical Committees - Cargo, Ocean Hull, IFY, Energy/Offshore, Facts & Figures, Legal & Liability, Loss Prevention
  • www.iumi.com

Facts & Figures - IUMI San Diego 2012

Global Marine Premium - 

Global Marine Premium(Reported)   31.9 USD bn.
Cargo - 54.0% (17.22 bn.)
Hull -26.2% (8.35 bn.)
Energy / Offshore -14.2% (4.52 bn.)
Marine Liabilities -5.7% (1.81 bn.)

Total Estimated Global Premium

Accumulations

  • 15,000 teu - (50k) Us$ 750,000,000
  • High Value 50,000,000
  • Hull Value 175,000,000
  • LOF 15%/20% 150,000,000
  • Total (One vessel) 1,125,000,000
  • Before GA, Wreck Removal, Collision Considerations, Legal Costs.

Cargo / Loss Prevention

  • Vessel vetting & Crisis management plans.
  • Communications issues.
  • Piracy.
  • Risks posed by overweight containers.
  • New generation container vessels.
  • Modern salvage challenges.

Ocean Hull

  • Development of technology on ships.
  • Accumulation factors.
  • The growth in LNG.
  • Nuclear powered vessels of the future.

Legal & Liability Committee

  • Wreck removal issues / cost in the Energy sector.
  • Solid bulk cargo liquefaction issues.
  • Piracy/ Armed guards on merchant ships/ Governmental responses.

Institute Time Clauses Hull 1.11.95

  • Perils Clause 6.1 - Perils of the sea, Fire, Explosion, Earthquake, Piracy, Contact etc.
  • 6.2 - Crew Negligence, Repairers Negligence, Damage resulting from Latent Defect.(absent any want of due diligence)
  • Pollution Hazard Clause 7. - Damage to vessel from Governmental intervention on pollution.
  • 3/4 Collision Liability - Clause 8.
  • Salvage & GA - Clause 10.
  • Clause 8.4 - Exclusions on H&M policy.
  • Removal and / or disposal of wreck or cargo.
  • 1/4 Collision & Non Hull & Machinery (excess) collision Liabilities.
  • Loss of Life / Personal Injury.
  • Cargo on Insured Vessel.
  • Pollution Liabilities.

Changes Proposed

  • Side Headings
  • Definition of the Assured
  • Packing & Preparation
  • The Delay Exclusion
  • The Insolvency Exclusion
  • Nuclear Accidents
  • The Unseaworthiness Exclusion
  • Terrorism
  • Duration of Transit
  • Change of Voyage
  • Benefit of Insurance
  • General Updating

General Average

  • Definition
  • York Antwerp Rules
  • Who benefits from General Average?
  • The role of the CMI
  • Do we still need General Average?

Salvage

  • The Salvage Convention
  • Salvage contracts
  • Logistics
  • The Emergency room for Underwriters.

Cost Concordia Issues

  • Logistics, Financial Securities, Arrest?
  • Liability, Athens Convention, Limitation
  • Covers H&M, P&I, Policy Limits, Wilful Misconduct?
  • Salvage Contracts, Wreck Removal Costs.
  • Environmental Pollution.
  • Criminal Law Ramifications?
Any Questions email eamonn@ocslegal.ie


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