Subject: VS: Athens Correspondence Group (IMO Legal Committee): Progress at LEG 90
Date: Tue, 3 May 2005
From: "Muttilainen Heikki" <>
To: "lloyd watkins" <>, Erik Røsæg <>, <>
Cc: "Secretariat" <>

Dear Lloyd

I wonder who might be the insurer liable if no Club has given insurance which covers the liability above the reservations. I have understood the situation in such a way that governments control the insurance and if they accept the ship can come to their harbours and they can also give a certificate with the reservations and qualifications. I really wonder that if the insurer has not given insurance, how could it be held liable. The possibility to get insurance is not limited to one company only, but there can be several insurers who cover different parts of the liability. So if one company has given an insurance which covers all other parts of the liability, but not the terrorism liability, how can it be assumed that that company covers also the terrorism liability?

Heikki Muttilainen

-----Alkuperäinen viesti-----

Dear Erik,
May I remind you that it was also agreed that the Correspondence Group should also consider a matter which is potentially a cause of great concern to the P&I Clubs, namely, the possibility that a claimant could bring a claim under the Convention (Article 4bis 10)without reference to the reservation made or the terms of the qualifications in the certificates.  This exposure would be of most concern if a high-profile disaster were to occur in a jurisdiction which did not give due weight to the reservations and qualifications agreed.  Careful thought will have to be given to the nature of the assurance that should be sought from States to meet this legitimate concern.

I look forward to the deliberation in the Correspondence Group.

Lloyd Watkins

-----Original Message-----

Sent: 29 April 2005 13:52
Subject: Athens Correspondence Group (IMO Legal Committee): Progress at
LEG 90

Dear Correspondents,

At its 90th session, the IMO Legal Committee recommended that the terrorism  insurance issue should be resolved in the way that States should make a  reservation to this part of the Convention when ratifying. The full text of  the resolution, etc, can be downloaded at  <!>.  This solution yields the result that the carrier may be liable for uninsurable terrorism risks. It was agreed that this situation warranted further study in the Correspondence Group. The Group should also address the precise wording of the reservation clauses to be utilized, and which insurance exclusion clauses the States parties ought to accept.

Erik Røsæg