MARINE INSURANCE CONFERENCE

Captain Omprakash Marayil

Vessel Inspections

Charles Taylor Group

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1884 CT established

1,800 Employees

71 Offices

28 Countries

The leading specialist provider of professional services to clients throughout the global insurance market

Management Services

provides end-to-end management of insurance companies

and associations

Adjusting Services

provides loss adjusting services across the aviation, energy,

marine, property, casualty and special risks sectors

Insurance Support Services

provides a range of outsourced professional, technology

and support services

Owns and consolidates international life insurance

businesses, which are primarily in run-off

Professional Services

Life

Charles Taylor – Middle East

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CTA Offices

RHL Marine Office

CTA Approved Associates

DUBAI

Postal Address: P.O. Box 49476, Dubai, UAE

Physical Location: Office 106, Centro Building, opposite Burjuman

Centre, D88 Sheikh Khalifa Bin Zayed Street, Bur Dubai, Dubai

Office Number: +971 4 358 3963

ABU DHABI

Postal Address: P.O. Box 49476, Abu Dhabi, UAE

Physical Location: Office 608, ADNIC Building, Khalifa Street Abu

Dhabi, UAE

Office Number: +971 2 418 9110

QATAR

Postal Address: PO Box 22521, Doha, Qatar

Physical Location: Second Floor, Prisma Building, Ibn Seena Street

Office Number: +974 4436 8254

SAUDI ARABIA

Postal Address: P.O Box 32550, Malaz, Riyadh – 11371

Physical Location: Prince Fawaz Bin Abdulaziz St., Ar Rabwah Ar

Rabwah, Riyadh 12813, Saudi Arabia

Office Number: +966-11-472 4728

MIDDLE EAST EXPERTISE

Property & Casualty

Natural Resources

Marine

Aviation

Financial Lines

Charles Taylor – Marine Team

Areas of expertise:

• Cargo

• Hull

• Liability

• Freight

Professional qualifications:

• Master Mariner (IFOO 6200)

• Member of the Institute of Chartered Shipbrokers

• Member of the Nautical Institute

• International Institute of Marine Surveying (Present

Chairman – (UAE Branch)

Education:

• Bachelor of Science - Electronics

Profile/background:

Omprakash (OP) is a Master Mariner with over 15 year’s sailing experience across

general cargo, bulk carriers, crude and production tankers. OP is also experienced

in vessel surveys, chartering and post chartering planning, vessel

loading/discharge surveys and port super intendancy.

Between 2005 and 2010 OP worked as a Marine Surveyor with the Lloyds Agency

in Yemen and Dubai where he gained experience in P&I Club and H&M

investigations and inspections, accident investigation and damage control and

repair monitoring and estimation.

OP Joined Charles Taylor Adjusting in Dubai in 2010 as the Marine Manager and

manages all marine claims in the region.

Key loss adjusting experience:

• Capsized and vessel impact claim.

• Damage to rigs during road/sea transits.

• Sub-marine/sub-sea power and communication cable damage.

• Loading and discharging monitoring of Oil well equipment for Schlumberger.

• Sea-fastening inspections and load out surveys of project cargo.

Marine Manager Email: omprakash. marayil@ctplc.com Mobile: +971 (0) 56 170 7480

Charles Taylor – Marine Team

Profile/background:

Heather joined Richards Hogg Lindley, the average adjusting division within the

Charles Taylor Adjusting (CTA) marine team in London, in November 2010. She is

involved predominantly in adjusting complex hull and machinery damage claims and

salvage and general average claims involving a number of different property interests.

She is also actively involved with yacht claims management and adjusting.

Heather was seconded to our Hong Kong office in 2013 during which time she worked

principally on hull and machinery claims and general average losses. She also worked

in our Jakarta office, assisting with training, before returning to London in 2014.

Heather qualified as a Fellow of the UK Association of Average Adjusters in April 2017

and became an associate director the same year. She joined the Dubai branch of CTA

in February 2018.

Key adjusting experience:

• Average adjusting hull and machinery claims on a number of different policy

conditions (Institute Time Clauses, Nordic Plan, American Hull clauses etc).

• Large, complex general average and salvage claims involving a number of different

contributing property interests (cargo, shipowner, time charterers etc).

• Large security collections.

• Collision liability and recovery claims.

• Cargo claims.

• Loss of earnings and business interruption.

• Yacht claims. Most recently she has worked on a number of yacht claims arising

from damage sustained during Hurricane Irma in the Caribbean in September

2017.

Director - Marine Email: heather.robinson@ctplc.com Mobile: +971 (0) 55 221 6040

Areas of expertise:

• Hull and machinery claims.

• Average adjusting.

• General average and security collections.

• Cargo claims.

• Loss of hire claims.

• Yacht claims.

• Shipyard claims (including builder’s risks) and ship

repairer’s liability claims.

• Salvage, collision and other liability claims and

recoveries.

• Sue and labour.

• Carriage of goods.

• Total losses.

Professional qualifications:

• Fellow of the UK Association of Average Adjusters

Education:

• LLB (Hons)

WHY DO WE NEED

VESSEL INSPECTIONS

?

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Need for Vessel Inspections

STATUTORY

Flag State Inspection

For a country to be included in the list of flag states, it has to have the necessary maritime infrastructure – both financial and technical and should, most importantly, adhere to all the norms and regulations established by the International Maritime Organisations (IMO).

Port State Inspections

Port State Control (PSC) is the inspection of foreign ships in national ports to verify that the condition of the ship and its equipment comply with the requirements of international regulations and that the ship is manned and operated in compliance with these rules.

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FLAG STATE

UNCLOS III The 1982 United Nations Convention on the Laws of the Sea (UNCLOS) is an international agreement that resulted from the third UN Conference on the Law of Sea (UNCLOS III). The flag State duties are laid down under Article 94 of UNCLOS 1982.

Article 94(3) and (4) - Construction, Equipment and Seaworthiness of ships

Article 217(2) of UNCLOS extends the scope of article 94(3); it requires the flag State to ensure that its vessels are prohibited from sailing until they can proceed to sea in compliance with the requirements of international rules and standards with regard to design, construction and equipment of vessels.

PORT STATE

Many of IMO's most important technical conventions contain provisions for ships to be inspected when they visit foreign ports to ensure that they meet IMO requirements. These inspections were originally intended to be a back up to flag State implementation, but experience has shown that they can be extremely effective

Regulations

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Need for Vessel Inspections

INSURANCE/MUTUAL

Classification

Clause under ITCH Policy

4.1 It is the duty of the Assured, Owners and Managers at the inception of and throughout the period of this insurance to ensure that

4.1.1 the Vessel is classed with a Classification Society agreed by the Underwriters and that her class within that Society is maintained,

4.1.2 any recommendations requirements or restrictions imposed by the Vessel's Classification Society which relate to the Vessel's

seaworthiness or to her maintenance in a seaworthy condition are complied with by the dates required by that Society.

4.2 In the event of any breach of the duties set out in Clause 4.1 above, unless the Underwriters agree to the contrary in writing, they will be discharged from liability under this insurance as from the date of the breach provided that if the Vessel is at sea at such date the Underwriters' discharge from liability is deferred until arrival at her next port.

4.3 Any incident condition or damage in respect of which the Vessel's Classification Society might make recommendations as to repairs or other action to be taken by the Assured, Owners or Managers must be promptly reported to the Classification Society.

4.4 Should the Underwriters wish to approach the Classification Society directly for information and/or documents, the Assured will provide the necessary authorization

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International Association of Classification Societies (IACS)

• American Bureau of Shipping (ABS)

• Bureau Veritas (BV)

• China Classification Society (CCS)

• Croatian Register of Shipping (CRS)

• Det Norske Veritas Germanischer Lloyd (DNV GL)

• Indian Register of Shipping (IRS)

• Korean Register of Shipping (KR)

• Lloyd's Register of Shipping (LR)

• Nippon Kaiji Kyokai (NK)

• Polish Register of Shipping (PRS)

• Registro Italiano Navale (RINA)

• Russian Maritime Register of Shipping (RS)

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Need for Vessel Inspections

PROTECTION & INDEMNITY

• 1/4th collision liability not borne by hull insurers.

• Damage to harbours, wharves and other objects.

• Other interests not covered by hull-underwriters

• Shipwreck indemnity to crew members.

• Loss of life and personal injury.

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• Removal of wreck.

• Infringement of rights.

• Quarantine expenses.

• Liability to cargo.

International Group of P&I Clubs

• North of England

• UK P&I

• West of England

• Steamship Mutual

• London Club

• Swedish Club

• American Club

• Japan Club

• Britannia

• Standard

• Shipowners

• Skuld

• Gard

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Need for Vessel Inspections

PRE-RISK SURVEYS

To evaluate condition of the vessel prior underwriting the risk for H&M or Liability

INTERNAL /EXTERNAL AUDITS

As requirement for SMC Certificate. As per ISM code under SOLAS chapter IX, a company shall be issued with Document of compliance (DOC) and its ships are issued with Safety Management Certificates (SMC) only after ensuring that the company has a Safety Management System (SMS) and all ships are operated as per the SMS.

ON HIRE/OFF HIRE SURVEYS

Requirement by Charterers to take a vessel on hire and off hire so that the condition of the vessel is recorded and no further claims is activated.

PRE-PURCHASE SURVEYS

For Purchase of vessels.

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IMO Conventions

• SOLAS (International convention of Safety of Life at Sea)

• MARPOL (The International Convention for the Prevention of Pollution from Ships)

• STCW Code (The International Convention on Standards of Training, Certification and Watch keeping for Seafarers)

• MLC Code (The Maritime Labour Convention)

• ISM Code (International Safety management Code)

• ISPS Code (International Ship and Port facility Security)

• International Convention on Load Lines

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Checklist for Vessel Inspections

• Safety Management

• Safe Navigation

• Communication

• Safety Fire Fighting Equipment

• Safety Life Saving Appliances

• Crew Management

• Health & Hygiene

• Certification

• Documentation

• Publications

• Machinery Space Operations

• Environmental Protection

• Mooring

• Structural Condition

• Cargo Worthiness

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Type of Vessels

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BULK CARRIERS: Single deck type of vessel to carry bulk commodity things - Coal, Sugar, Grain, Ore, limestone, Aggregates.- Handy-size, Panamax and Cape Size.

GENERAL CARGO VESSEL OR MULTI PURPOSE VESSEL

Type of Vessels

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CONTAINER VESSELS: Container vessels have become the main way of transporting manufactured goods around the world. A container can be transferred between truck, train and ship relatively easily and is a standard size to simplify transportation – which is multimodal transport.

RORO VESSELS: Most vehicles that are being transported over water internationally are done on a Roll on Roll off ship

Type of Vessels

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OIL TANKER – Crude Oil Carriers( VLCC and ULCC)- These ships are designed to load crude oil and transport it to refineries around the world where it can be processed into petroleum products.

PRODUCT CARRIERS – Smaller size vessels to transport petroleum products from one port to another.

CHEMICAL TANKER – Used to transport chemicals in bulk. Smaller deadweight vessel. Tank coating are different usually stainless steel coating to carry various types of chemicals

Type of Vessels

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A gas carrier (or gas tanker) is a ship designed to transport LPG, LNG or liquefied chemical gases in bulk

PASSENGER SHIP – Are designed as the ships that carry more than 12 passengers. Passenger ships also include cruise and holiday ships.

Type of Vessels

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SEMI SUBMERSIBLE SHIPS

DYNAMIC POSITIONING SHIPS

Checklist for Vessel Inspections

PREPARATION PRIOR ATTENDANCE

1. Permissions, port entry, communications, Instructions for gas free/tank inspections

2. Check on the ship for previous history/ nonconformities during Port state/Flag state/other

inspections

3. Coordinating with agents /Master regarding itinerary of vessel – Calculate time required for survey

(depending on type of survey to be conducted)

4. Additional preparation in case of requirement for detailed Inspection, UT gauging for Hull

Thickness, Hatch cover integrity

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Checklist for Vessel Inspections

BOARDING & INITIAL MEETING WITH MASTER

1. Shipside Condition, draft marks, Rigging of Gangway, Gangway watch, registration of visitor

2. Meeting with Master – Checking of Certificates, Procedures, history of vessel

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Checklist for Vessel Inspections

INSPECTIONS

• Main Deck

• Cargo Holds,

• Moorings,

• Markings on Deck,

• House keeping,

• greasing/Lubrication records

• Condition of Paint/Rust ,

• Condition of Hatch covers (Pipes/valves)

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Checklist for Vessel Inspections

INSPECTIONS

• Tank Inspections

• Pipe condition

• Machinery and Engine Room

Navigation equipment & Bridge

Accommodation condition – Hygiene, cleanliness, condition of reefer stores/provisions/Common rooms

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Checklist for Vessel Inspections

MAIN DECK & HOLD CONDITION

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Checklist for Vessel Inspections

CORROSION TO STRUCTURES

Some not very obvious….. some of them posing potential risk

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Checklist for Vessel Inspections

HOLD INSPECTION

Areas prone to damage/corrosion

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Checklist for Vessel Inspections

TANK INSPECTION

Corrosion signs and warnings for more detailed inspections

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Checklist for Vessel Inspections

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EQUIPMENT INSPECTION

Bad practices and corrosion

Checklist for Vessel Inspections

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CHEMICAL TANKER

Stainless steel tanks

Checklist for Vessel Inspections

POOR SHIP KEEPING

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Checklist for Vessel Inspections

SHIPSIDE INDENTATION

Condition inside the tank and frames

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Checklist for Vessel Inspections

LIFTING GEAR INSPECTION

Damage to Sheaves

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Checklist for Vessel Inspections

DOORS KEPT OPEN

Wrong practice

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Defects in Engine Room

EXCESSIVE GLAND LEAKING EXCESSIVE OIL LEAKS

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Defects in the Engine Room

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EXPOSED WIRING EXPOSED FLYWHEEL

Defects in the Engine Room

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OIL LEAKING FROM CRANK CASE OIL LEAKS

Defects in the Accommodation

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GAS STOVE USED IN GALLEY UNTIDY WASHROOM

Some Statistics…

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SURVEY RECOMMENDATIONS

Some Statistics…

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SERVICE & MAINTENANCE

Some Statistics…

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SAFETY EQUIPMENT & PROCEDURES

Some Statistics…

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POLLUTION CONTROL

Thank you for listening

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Charles Taylor plc

www.ctplc.com/adjusting

www.linkedin.com/company/charles-taylor-plc

@ctaylorplc

Disclaimer: This presentation is intended to provide a general

update on its subject matter and is for guidance purposes only.

Nothing in this presentation shall constitute legal or other advice

and should not be relied upon as such. Any information within this

presentation referring to statute, law, regulation, guidance or any

other publication should not be regarded as a substitute for

reading in full and seeking professional advice on the relevant

statute, law, regulation, guidance or other publication and any

amendments to such documentation from time to time. Charles

Taylor shall have no liability for any loss arising from any reliance

on the information provided in this presentation.