http://www.tankeroperator.com/ViewNews.aspx?NewsID=9339
Vessels
could be deemed unseaworthy and their insurance cover affected by
failing to comply with the sulfur emissions (SOx) regulations set to be
introduced on 1st January, 2020, according to insurance broker and risk
management provider, Marsh.
Marsh’s report, ‘Emissions Regulations: Concerns for the Marine
Industry’, explores the risks and insurance implications associated with
measures introduced by the IMO to reduce the sulfur footprint of
commercial shipping.
The report states that shipowners should not assume that insurance
cover will continue to remain in place following a breach of the MARPOL
Annex VI after 1st January, 2020.
The failure to comply with international conventions, and consequently
losing flag state convention certification, could affect the validity of
a shipowner’s insurance cover if they continue to operate without prior
insurer consent.
Marcus Baker, Marsh’s global marine practice chairman, commented: “As
1st January, 2020 approaches, Marsh envisages large numbers of vessels
seeking to book space in repair yards for the installation of new
equipment or conversion to LNG in an effort to comply with the MARPOL
requirements.
“Latecomers may find that convenient or preferred yards have no room
and, being unable to comply with the new sulfur cap rules by 2020, may
risk their vessels becoming non-compliant, which could have
ramifications for their insurance provision. Shipowners should act early
to ensure any modifications that are required can be carried out in
good time.”
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