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P&I and Occupational Injury Insurance

The DNK standard war P&I cover is a primary cover and compatible with the war risks P&I cover currently offered as as standard cover by the P&I Clubs.

As a starting point, the Nordic Marine Insurance Plan does not cover P&I insurance. Such insurance is covered by conditions from the P&I clubs. However, if an incident was caused by a war peril, war risk insurance according to the Plan takes over P&I insurance according to the P&I conditions the ship is effected on for insurance against marine risk.

The standard modern P&I policy includes coverage for a wide range of liabilities and losses a shipowner may incur, including liabiltiies arising from the carriage of cargo, pollution liability, loss of life and injury to crew members, passengers and others, and liability arising from collision with another ship. If no such P&I insurance is effected, the war risk insurer's liabilitly is decided according to Gard's P&I conditions.

The Association offers a war P&I liability and occupational injury insurance cover up to a sum of USD 500 million that is compatible with the standard cover by the members of the International Group of P&I Clubs.

The Plan, cl. 15-20 and 15-22 clarifies the relationship between the War P&I cover and standard P&I cover. Cl. 15-20 makes it quite clear that the war cover provided by Chapter 15 is seamless in relation to the war exclusion clauses used by International Group of P&I Clubs, and cl. 15-22 makes it clear that the cover provided by P&I Clubs is always subsidiary to the war P&I cover provided by Chapter 15. This is in line with the practice from before 2010.

The amended cl. 15-20 also makes it clear that war P&I insurance covers the perils the International Group Agreement excludes as war perils.

For more questions regarding war P&I cover, please contact anders.hovelsrud@warrisk.no