CHARTERERS' LIABILITY INSURANCE

SPECIAL COVER FOR SALVORS

Without prejudice to the generality of Clause 24 Special Cover the Assured may be insured against liabilities, together with costs and expenses incidental thereto, which may be incurred in connection with any salvage service or attempted salvage service provided to a ship by the Assured or by any subcontractor of the Assured or any of their respective servants or agents.  The following may be covered:

25.1 Salvage ships

Liabilities, together with costs and expenses incidental thereto, arising in respect of the Assured’s interest in the Chartered Ship out of events occurring during the period of insurance of the Ship by the Association and in connection with the employment of the Chartered Ship.

25.2 Oil pollution

Liabilities, together with costs and expenses incidental thereto, caused by an escape or discharge of oil which occurs during such salvage services in accordance with the provisions of Clause 12 Pollution, whether or not they are in respect of the Assured’s interest in the Chartered Ship (despite the provisions of Part VI Clause 3.1 Extent of Cover).

25.3 Salvors’ liabilities

Liabilities, together with costs and expenses incidental thereto, caused by events occurring during such salvage services, and which are not covered under Clauses 25.1 or 25.2 above, whether or not they are in respect of the Assured’s interest in the Chartered Ship (despite the provisions of Part VI Clause 3.1 Extent of Cover).

25.4 PROVIDED ALWAYS THAT:

25.4.1 Specific cover

there shall be no recovery under this Clause 25 unless cover has been specifically extended in writing by the Managers and the Assured has paid or agreed to pay such additional premium as may be required by the Association;

25.4.2 Risks covered

the cover given under this Clause 25 in connection with any salvage or attempted salvage service provided to a ship shall be in all respects the same as that given under Clause 1 to Clause 19 inclusive in respect of the employment of the Chartered Ship, save that in the case of cover given under Clauses 25.2 or 25.3 the liability need not have been imposed or incurred in respect of the Chartered Ship;

25.4.3 Contracts of indemnity or guarantee

there shall be no recovery in respect of any liability which would not have been incurred but for the provisions of a contract of indemnity or guarantee given by the Assured or the Assured’s subcontractor, or any of their respective servants or agents, unless the Managers shall have approved such contract in advance and the Assured has paid or agreed to pay such additional premium as may be required by the Association (see Clause 15 Contracts of Indemnity or Guarantee);

25.4.4 Not applicable.

Britannia