THE government of the United Arab Emirates (UAE) has issued an advisory stating that it will impose stricter insurance requirements for vessels registered under its flag, reports Reuters.
This move comes as concerns grow regarding ships operating without adequate coverage in the event of an oil spill.
Typically, ships have protection and indemnity (P&I) insurance, which covers liability claims for environmental damage and injuries.
Separate policies for hull and machinery provide coverage for physical damage to vessels.
Ninety per cent of the world's ocean-going tonnage is insured by the 12 ship insurers comprising the International Group (IG).
According to the advisory posted on the uae Ministry of Energy and Infrastructure's website on June 2, P&I insurers outside of the IG that provide coverage for UAE-flagged ships will be required to fulfill several criteria.
These include presenting evidence of membership in a recognised maritime professional agency or regulatory body.
The advisory also states that insurers must provide details of the five largest settled claims or claims exceeding $10 million. Applications must be submitted before June 30.
The advisory, which was also directed at ship owners, mentioned that evidence related to 'blue cards' covering pollution damage must be provided.
There has been no immediate response from UAE officials regarding requests for comment on this matter.
The UAE-flagged fleet consists of numerous oil tankers, many of which are aging, and over 200 offshore vessels commonly employed in oil-related trading, as indicated by shipping data on the public database Equasis.
In recent years, there has been an emergence of numerous unregulated 'ghost' tankers participating in clandestine parallel shipping trade.
These vessels transport oil from countries subject to Western sanctions and restrictions, including Russia and Iran.
Last year, there was a notable increase in incidents involving these ships, including groundings, collisions, and near misses, as revealed by a Reuters investigation.
Sources familiar with the matter reported this week that ports in China's Shandong province are demanding more detailed information about oil tankers over 15 years old that call at their terminals.
SeaNews Turkey
This move comes as concerns grow regarding ships operating without adequate coverage in the event of an oil spill.
Typically, ships have protection and indemnity (P&I) insurance, which covers liability claims for environmental damage and injuries.
Separate policies for hull and machinery provide coverage for physical damage to vessels.
Ninety per cent of the world's ocean-going tonnage is insured by the 12 ship insurers comprising the International Group (IG).
According to the advisory posted on the uae Ministry of Energy and Infrastructure's website on June 2, P&I insurers outside of the IG that provide coverage for UAE-flagged ships will be required to fulfill several criteria.
These include presenting evidence of membership in a recognised maritime professional agency or regulatory body.
The advisory also states that insurers must provide details of the five largest settled claims or claims exceeding $10 million. Applications must be submitted before June 30.
The advisory, which was also directed at ship owners, mentioned that evidence related to 'blue cards' covering pollution damage must be provided.
There has been no immediate response from UAE officials regarding requests for comment on this matter.
The UAE-flagged fleet consists of numerous oil tankers, many of which are aging, and over 200 offshore vessels commonly employed in oil-related trading, as indicated by shipping data on the public database Equasis.
In recent years, there has been an emergence of numerous unregulated 'ghost' tankers participating in clandestine parallel shipping trade.
These vessels transport oil from countries subject to Western sanctions and restrictions, including Russia and Iran.
Last year, there was a notable increase in incidents involving these ships, including groundings, collisions, and near misses, as revealed by a Reuters investigation.
Sources familiar with the matter reported this week that ports in China's Shandong province are demanding more detailed information about oil tankers over 15 years old that call at their terminals.
SeaNews Turkey
