CHARTERERS' LIABILITY INSURANCE / PART II / Section A / Clause 1

SEAFARERS

Liabilities which the Assured may incur, together with costs and expenses incidental thereto, in respect of Seafarers.  The following shall be recoverable:

1.1 Injury, illness or death

Medical, hospital, funeral and other expenses necessarily incurred and wages, maintenance, compensation and damages payable by reason of the personal injury to, illness of or death of a Seafarer.

1.2 Shipwreck unemployment indemnity

Wages payable to a Seafarer during unemployment in consequence of the wreck or loss of the Chartered Ship and other payments made to Seafarers in consequence of such wreck or loss under statutory obligation.

Provided always that:

1.2.1 any such wages and other payments which exceed two months’ basic wages shall not be recoverable from the Association.

1.3 Loss of effects

Compensation in respect of loss of or damage to the Personal Effects of a Seafarer or a relative of a Seafarer while on board the Chartered Ship.

1.4 Substitutes

Expenses necessarily incurred in providing a substitute for a Seafarer who is unfit for duty, or has been left behind for any reason, where liability for such expenses could not reasonably have been avoided.

Provided always that:

1.4.1 wages shall only be recoverable as part of the said expenses when the Assured is legally obliged to pay wages to two Seafarers simultaneously for the same job and is unable to recover such double wages from any other source.

1.5 Distressed seafarers, deserters and strikers

Expenses incurred by or chargeable to the Assured under statutory obligation in respect of a distressed Seafarer or Seafarers who desert or go on strike, where such expenses are not recoverable under any other part of this Clause 1 and where such expenses cannot be recovered from the Seafarer.

1.6 Diversion

Diversion expenses associated with liabilities covered under this Clause 1 which are payable in accordance with Clause 6 Diversion Expenses.

1.7 Repatriation

Repatriation expenses associated with liabilities covered under this Clause 1 which are payable in accordance with Clause 7 Repatriation.

1.8 Collective and special agreements

The liabilities, costs and expenses insured under this Clause 1 may be extended to include those for which the Assured may be liable under collective or special agreements which have received the prior approval of the Managers.

1.8.1 However there shall be no recovery under this Clause 1.8 arising out of the Assured’s liability under a contract of indemnity or guarantee between the Assured and a third party (see Clause 15 Contracts of Indemnity or Guarantee).

1.9 PROVIDED ALWAYS THAT:

1.9.1 There shall be no recovery under this Clause 1 in respect of liabilities, costs or expenses:

1.9.1.1 which arise as a result of the termination of an agreement of service in accordance with the terms thereof, or by mutual consent, or from any other discretionary act of the Assured, or from the sale of the Chartered Ship; or

1.9.1.2 in respect of Seafarers employed as catering staff on board the Chartered Ship when moored (otherwise than on a temporary basis) and open to the public as a hotel, restaurant, bar or other place of entertainment of the Managers.