1、SALIENT FEATURES OF INTERNATIONAL HULL CLAUSES 01SALIENT FEATURES OF INTERNATIONAL HULL CLAUSES (01/11/03) AND OTHER HULL FORMSThis document lists certain provisions of the International Hull Clauses (01/11/03) and also certain provisions appearing in the Institute Time Clauses - Hull (01/10/83), th
2、e Norwegian Plan of 1996 (2003 version) and the American Institute Hull Clauses (June 2, 1977). No reliance should be placed on this document, which is prepared solely for descriptive purposes. This document does not and is not intended to provide legal advice as to the meaning of any provision nor
3、as to any issue of market practice. It is not and is not intended to be used as an aid to construction or interpretation of the meaning of any provision. In each case, reference must be made to the precise provisions of each of the hull forms in question (and the commentary in the case of the Norweg
4、ian Plan) and the applicable law. IHC (01/11/03)ITC-Hulls (01/10/83)Norwegian Plan of 1996 (v. 2003)AIHC (June 2, 1977)1 GeneralEnglish law and practice and exclusive English jurisdictionEnglish law and practice, and exclusive English jurisdiction where written on MAR 91 formNorwegian law and exclus
5、ive Norwegian jurisdiction (where risk led in Norway) (para 1-4)Silent on applicable law2 PerilsTried and tested named perils (perils of the sea, fire, explosion etc), plus “due diligence” perils of latent defect, crew negligence etc. Cover for accidents in loading etc and contact with satellites et
6、c no longer subject to due diligence proviso. Cover for common costs given at 50% where loss/damage caused by burst boiler, broken shaft or latent defectOptional Additional Perils Cover (see 41 below) gives cover for costs of correcting the latent defect and repairing the burst boiler/broken shaft a
7、nd the remaining 50% of common costsNamed perils as IHC-03, but cover for accidents in loading etc and contact with satellites etc subject to due diligence proviso (cl 6).No express provision for treatment of common costs. Adjusting practice. Cover for all damage, less express exceptions which inclu
8、de piracy and mutiny (paras 10-4 and 12-3 to 12-5). Losses attributable to contamination not recoverable unless preventative measures taken within 3 months (para 12-5(f)Burden of proving loss and its extent rests with Assured (para 2-12).Where damage caused by error in design or faulty material, Und
9、erwriters not liable for costs of renewing or repairing the parts “not in proper condition” unless they were approved by class (para 12-4)Common expenses apportioned on basis of cost of each class of work unless time related (para 12-14). Named perils (but piracy excluded). Cover for accidents in lo
10、ading etc, explosions and contact with aircraft etc subject to due diligence proviso (lines 70-74).Cover for damage caused by burst boilers and latent defect excludes cost and expense of repairing or replacing the defective part (lines 79-80)3 Leased equipment Cover for equipment not owned by the As
11、sured, but for which the Assured is responsible given as standardNo standard coverCover given as standard (para 10-1)Cover given as standard (lines 18-19 and lines 114-116)4 Parts taken offCover for parts taken off the vessel given as standardNo standard cover Cover given as standard for equipment t
12、emporarily ashore (para 10-2)No standard cover5 Pollution hazard Covers loss and damage caused by governmental authority to prevent pollution and environmental damage/threat, consequent upon damage to the vessel for which Underwriters liableCover does not extend to governmental authority action to p
13、revent damage/threat to environment (cl 7)Measures taken by a state power to avert or minimise damage to the vessel only are covered, provided that the risk of damage is caused by an insured peril (para 2-8).Cover does not extend to governmental authority action to prevent damage/threat to environme
14、nt (lines 87-91)6 3/4ths RDCCover for 3/4ths of insured value in respect of legal liability arising on a collision. Cover for legal costs limited to 25% of the insured value (save where agreed). Pollution exclusion does not extend to other vessel or property on other vessel nor to an Art 13(1)(b) sa
15、lvage award. Optional 4/4ths and FFO cover (see 37/38 below).Cover for 3/4ths of insured value in respect of legal liability arising on a collision. Cover for legal costs - no express limit. Pollution exclusion does not extend to other vessel or property on other vessel. Silent on Art 13(1)(b) salva
16、ge award.No optional 4/4ths and FFO cover4/4ths and FFO standard (para 13-1)Cover for 4/4ths of insured value in respect of legal liability arising on a collision. Cover for legal costs where the majority of Underwriters (in amount) consent (agreed value). Pollution exclusion does not extend to othe
17、r vessel or property on other vessel. Silent on Art 13(1)(b) salvage award (lines 158-184)No optional FFO cover. 7 SistershipWhere sister ships collide or one salves another, liability determined by mutually agreed arbitrator As IHC-03. (cl 7)Insurer is liable as if salvage performed by a third part
18、y (para 10-11)Liability to be determined by mutually agreed arbitrator or failing such agreement, by 3 arbitrators (lines 124-127 and 171-175)8 GA and Salvage Cover for vessels proportion of salvage, salvage charges, general average.No reduction where the vessel is underinsured.Pollution exclusions
19、do not extend to Art 13(1)(b) award or expenses under Rule XI(d) of York Antwerp Rules 1994Optional GA Absorption clause (BIMCO) (see 40 below)Claims subject to reduction for underinsurance. Silent on pollution. (cl 11)No optional GA Absorption clauseCover for contribution due on interest insured an
20、d on freight at risk and owned by Assured. No reduction where vessel is underinsured (para 4-8).GA Absorption provision (para 4-8)Losses recoverable without application of any deductible.Claims subject to reduction for underinsurance. Silent on pollution. (lines 120-123 and 128-133)No optional GA Ab
21、sorption clause9 Sue and labour Duty of Assured to sue and labour and cover for charges properly and reasonably incurred. No reduction where the vessel is underinsuredClaims subject to reduction where underinsurance (cl 13)No reduction where vessel underinsured (para 4-8)Losses recoverable without a
22、pplication of any deductible.Claims subject to reduction where underinsurance (lines 144-157)10/11 NavigationNavigating provisions no longer expressed as warranties. Rather, Underwriters not liable during period of breach. Cover resumes post breach. Navigating provisions expressed as warranties and
23、Underwriters possibly off risk from the moment of breach, even if breach corrected (cl 1)A deduction of one-fourth of the claim applies when damage sustained in a conditional trading area (beyond ordinary limits) and no notice has been given (para 3-15).Navigating provisions (lines 59-69)12 - Contin
24、uation Cover to next port in good safety at pro rata monthly premium continues where vessel in distress/missing (at sea) or in distress (in port) and where notice given as soon as possibleCover to port of destination at pro rata monthly premium continues where vessel at sea or in distress or at a po
25、rt of refuge or call and where previous notice given to Underwriters (cl 2)Where, upon expiry, insured damage necessitates repair, insurance is extended to mooring at first place where permanent repairs can be effected and during repairs carried out there (para 10-10).Cover to port of destination at
26、 pro rata monthly premium continues where vessel at sea or in distress or at a port of refuge or of call and where previous notice given to Underwriters (lines 23-24)13 Class/ISM Vessel must be classed (and comply with class recommendations as to seaworthiness) with an agreed society and must hold v
27、alid DOC and SMC. Automatic termination, save where the vessel at sea or loss of class etc results from insured loss/damageAutomatic termination on change/loss of class save where the vessel at sea etc or loss of class etc results from insured loss/damage (cl 4)Automatic termination on change/loss o
28、f class save where the vessel at sea (para 3-14). Underwriters not liable where loss has resulted from breach of a “safety regulation” and the assured responsible for the infringement (para 3-25)Automatic termination on change/loss of class save where the vessel at sea etc (lines 196-209)14 - Manage
29、ment Automatic termination on change of ownership, sailing on scrap voyages. Duty to comply with statutory requirements, failing which Underwriters not liable for causative failures.Automatic termination on change of ownership etc. Cover on scrap voyages reduced to scrap value, although claims for R
30、DC/GA at original insured value (cl 4, cl 1)Automatic termination on change of ownership (para 3-21)Automatic termination on change of ownership etc (lines 196-209)15 - Deductibles Deductibles apply to all claims except for a total loss and sighting the bottom in certain circumstances. Aggregating p
31、rovision for heavy weather, ice damage and cargo lightening (where permitted).Optional AMD.No deductible for claims under optional GA Absorption clause.As IHC-03, but no lightening provision (cl 12)No lightening clause.AMD (para 12-16)As IHC-03, but no lightening provision (lines 29-35)16 New for ol
32、d Claims payable without deduction on the basis of new for oldAs IHC-03 (cl 14)Restoration to condition prior to occurrence of damage (para 12-1), not necessarily new for old in all circumstances (see Commentary)As IHC-03 (line 111)17 Bottom treatmentNo cover for scraping, gritblasting, painting the vessels bottom, save for damaged/disturbed areas. Cover extended to anti-fouling coatingAs IHC, but no cover for anti-fouling coatings (cl 15)Cover f
