Office Address
123/A, Miranda City Likaoli Prikano, Dope
Phone Number
+0989 7876 9865 9
+(090) 8765 86543 85
Email Address
info@example.com
example.mail@hum.com
123/A, Miranda City Likaoli Prikano, Dope
+0989 7876 9865 9
+(090) 8765 86543 85
info@example.com
example.mail@hum.com
“At a recent roundtable of financers and
insurers, the ministry deliberated on the way forward for the setting up of
this club,” the official said. Another official said that stakeholders are
awaiting more financial and regulatory clarity.
The shipping ministry, on February 14, conducted
a stakeholder meeting on shipbuilding, financing, and insurance. Here, representatives from insurance firms
had expressed their intent to participate in the sector. “The idea is to
start small. We are looking at a small corpus through a mutual insurance
association of shipbuilders, shipping operators, and general insurers,” the
official said.
Several
coastal and riverine vessels are not covered under the P&I framework, as
they operate in domestic waters. So, the local club will initially focus only on such vessels.
Eventually, the P&I club would look at covering overseas transit as well. Overseas
marine insurance covers amounts running into billions of dollars, which India’s
entity would not be able to undertake initially.
Industry veterans previously called for this
entity to be formed jointly with the Inland Waterways Authority of India
(IWAI). The Centre will later decide if
it will also pool in its own funds for this entity, sources said.
Shipowners buy P&I insurance to cover
themselves from huge costs of any accident that could harm cargo, lives of
people, and the environment. This cover is usually bought through
not-for-profit clubs of like-minded shipowners.
The International Group, or IG, comprises 13
P&I clubs. This group provides marine liability cover to 90-95 per cent of
all global sea tonnage.
In
October 2023, Finance Minister Nirmala Sitharaman had said that India needs its
own P&I entity to protect itself from international volatility.
In the past, oil supply from Russia due to the
Ukraine war was impacted as ships carrying the commodity struggled to get
insurance. This was due to the sanctions imposed by the European Union (EU). EU
insurers were prohibited from providing cover to tankers carrying Russian oil.
