Hull and machinery underwriters have significant challenges ahead

 Rama Chandran expressed concern over the sustainability of the hull and machinery insurance sector.
Rama Chandran expressed concern over the sustainability of the hull and machinery insurance sector.

Speaking recently at the IUMI (International Union of Marine Insurance) conference from Chicago, Rama Chandran, chairperson on the Ocean Hull Committee, expressed concern over the long-term sustainability of the hull and machinery insurance sector.

He said: “Whilst it is encouraging to see the 2021 premium base growing from the previous year we face deteriorating loss ratios, albeit from a low 2020 base. Premium base has only recently begun to creep upwards following a sustained decline since 2012. The increase of 4.1% is lower than the 6% seen last year and the reducing quantum is a worrying trend. Continue reading “Hull and machinery underwriters have significant challenges ahead”

Swedish Club highlights the dangers of cargo fumigation

Swedish Club highlights the dangers of cargo fumigation
Swedish Club highlights the dangers of cargo fumigation

Many freight container units and bulk cargo holds on ships are treated with chemical pesticides termed fumigants. Fumigant must be applied according to the correct instructions. As holds are always unventilated for a time after fumigation, there may be a risk of excessive condensation, which can produce sweating or dripping. This can lead to cargo damage as well as fire and explosion risks, the Swedish P&I Club has warned.

In particular, the Club says that agricultural products in bulk may be fumigated in ships’ holds to prevent insect infestation. Solid aluminium phosphide (or similar) is often used for fumigation. Continue reading “Swedish Club highlights the dangers of cargo fumigation”

American Club issues guidance for loading steel products when a surveyor is prevented from attending

American Club issues guidance
American Club issues guidance

The American Club has published helpful guidance specifically when third party surveyors are prevented from attending vessels about to load finished steel products.

All systems and equipment should be checked to make sure they are operational. During the voyage to the load port, ballast tanks adjacent to cargo holds should be pressure tested prior to loading, but only if the holds are free of cargo and safety permitting in every respect.

Caution should be taken when washing down holds with brackish river water, which may include saltwater chlorides. A freshwater flush and drying should be performed before loading, and tarpaulins can be laid on the tank top and lower sides of cargo holds, used in addition to dunnage, to provide a physical barrier Continue reading “American Club issues guidance for loading steel products when a surveyor is prevented from attending”

Risks of using non SOLAS or non-pyrotechnic distress flares highlighted in new MCA MIN

The UK MCA has released a marine notice, MIN 542, which highlights the specific risks of using non SOLAS or non-pyrotechnic distress flares, for example Electronic Visual Distress Signals (EVDS).

To be effective, distress signals need to be internationally recognised. Not all EVDS provide a distress signal listed in COLREGS Annex IV (such as SOS), and the MCA knows of no EVDS device which is compliant with the SOLAS technical performance standards for distress flares. Consequently, the international carriage requirements do not recognise EVDS and the UK national carriage requirements have not been amended to formally recognise them either.

Continue reading “Risks of using non SOLAS or non-pyrotechnic distress flares highlighted in new MCA MIN”

Safety alert issued about vessel stability and watertight integrity following fatalities

Photo credit: USCG
Photo credit: USCG

The US Coast Guard has issued an interim safety alert to address its concerns regarding vessel stability and watertight integrity, especially in light of a recent marine casualty in the Bering Sea that resulted in multiple fatalities and the total loss of the fishing vessel involved.

Although the investigation is not complete, testimony and fact finding indicate that vessel owners, operators, and crews should give special consideration to vessel stability concerns.

As a result, USCG suggests that operators and crew should seek out opportunities to further their knowledge of stability via courses, training, workshops, and visits from Naval Architects. They should also take advantage of other various initiatives, both mandatory and Continue reading “Safety alert issued about vessel stability and watertight integrity following fatalities”

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