Collision, Grounding, stranding, contact with any fixed or floating object…

Collision, stranding, contact with any object…

During a mooring manoeuvre, a water tanker struck a berthed general cargo ship. Although the tanker sustained little or no damages following the contact, the other ship sustained hull breaches in fuel tank area, and an oil leak was reported.

"In such a situation, each vessel will suffer a different delay."

The tanker, only slightly damaged, will probably be allowed to resume her operations after a survey to assess if any serious damage was actually suffered.

The general cargo ship, however, will most likely be required by class to effect immediate repairs, which means that the possibility to have 7 to 14 days’ delay – at least – is realistic.
And of course, if more serious damage is discovered during the survey or whilst at drydock, this could mean well over two weeks’ delay.

To summarise the owner’s context, net of any eventual legal proceeding:

  • The cost of repairs to the hull will be covered by the mainstream H&M

  • The provision of LoU, fines and eventual cleaning costs will be covered by the P&I Club

Loss of earnings during the repairs will be covered by the mainstream LoH cover provided the overall delay exceeds 14 days minimum.

"A “not mainstream” Delay cover would have stopped such losses at 4 days."

Loss of earnings during the detention for actual or alleged pollution would have been excluded under the mainstream P&I cover.

"A “not mainstream” Delay cover would have stopped such losses at only 1 day."