You are on page 1of 9

MARINE HULL INSURANCE

UDAYAN BURMA, FIII, ACII

What is marine hull insurance ?


Insurance of hull and machinery of ocean going/other
vessels like barges, fishing and sailing vessels, trawlers.

Subsidiary interests like freight and disbursements. Construction and builders risks/charterers
liability/ship repairers liability,TPL etc written selectively for valued clients.

Offshore oil/gas exploration and production units as


well as connected construction risks.

Registration of vessels
makes it mandatory for all vessels to be registered and a certificate of registry to be obtained.

Merchant Shipping Act

GRT-Gross Registered Tonnage:

is defined as a vessel's total enclosed space measured in cubic feet where 100cubic feet equates to 1 vessel ton. Net Registered Tonnage: is defined as the space available on a vessel for the accommodation of passengers and the stowage of cargo where a vessel ton equates to 100 cubic feet of space. This excludes space occupied by crew's quarters, machinery for navigation, engine room and fuel .

DWT-Dead Weight Tonnage- means the

capacity in ton of the cargo required to load a ship to her loadline level.

Classification of Vessels
The design and construction of modern vessel is
normally subject to the rules of the particular classification society used by the owner. This entails approval of all the plans and material in the construction of the ship and includes testing of steel used for the hull, testing of engines, boilers, anchors and chains etc. The Indian Register of Shipping (IRS) is a recognized classification society. Post classification a ship has to undergo a comprehensive series of surveys during her lifetime to retain the class. These include a through special survey every 4yrs and dry docking survey every two years in addition to an annual survey.

TYPES OF VESSEL
Dry bulk carrier
Liquid bulk carrier

Passenger vessel

Genera

Ocean going vessel

Coastal Tonnage

TYPES OF VESSEL

Ocean going general cargo is usually in 5000 to 15,000 GRT range. Includes specilised vessels such as container ships, barge carriers, RO RO vessels, Reefers. Many general cargo vessels are built for specific purposes eg. Car carriers, livestock carriers, log carriers etc.

Liner
Load at an advertised berth and runs to an advertised schedule.

tramp
Carries cargo whenever and wherever it is available, mostly bulk cargo, very often seasonal in nature. At the time of depression tramp remain unemployed where as at the time of heavy demand even older tramps which have laid up for years are brought into service.

Capt & crew familiar with the navigational hazards en-route.


Better maintained since they have to keep to a time schedule. Require huge investment

Factors which determine Hull Rate

Type of vessel, hazards of trade it is engaged in, trading limits, age, tonnage, nature of cargo it usually carries, technical aspects of the vessel.

Management and ownership, their integrity, financial stability and


reputation for good management and proper maintenance.

Past claim experience/ valuation of the vessel Is it classed and is the class maintained. Type of insurance cover i.e whether All Risk or limited coverage like
TLO+GA+3/4th collision liab etc

Size of deductible Underwriting experience of similar risks as revealed in Lloyds and ILU
publications.

You might also like