We provide protection and indemnity cover with other insurances for shipowners, charterers and offshore energy operators. We are S&P ‘A’ rated and one of the premier mutual P&I insurers by tonnage and membership.
Teams of marine and technical personnel provide advice and best
practices that underpin our ability to manage risks, deliver value and sustain financial security
Through offices in major hubs and a network of correspondents we cover
the globe, responding to incidents with immediate, practical advice and ongoing support to resolve matters as positively as possible.
Standard Club is a specialist marine and energy insurer known for its diverse membership, pioneering loss prevention expertise and attractive pricing.
The race to get scrubbers retrofitted on ships ahead of the second part of IMO2020 regulations (ban on the carriage of non-compliant fuels which comes into effect on 1 March 2020) may result in a significant extension of the budgeted downtime for many vessels. As ship queues for scrubber installation grow at Chinese repair yards, some members are now faced with delivery delays due to the impact of the novel coronavirus (nCoV) outbreak. The Chinese government has already extended the lunar new year holiday, but there are concerns that the workers may not return any time soon. The club has received some queries from the members concerned to check whether such situation would fall within ‘force majeure’. With the understanding the charterparty is still on-going and the vessel is temporarily in a yard to install the scrubber, the fact that the ship is in every way fit to perform the charterparty obligations, the member should have some grounds to argue that this falls within ‘force majeure’ depending on the terms of the governing charterparty. However, under the common law there is no general definition of 'force majeure' - it has the meaning given to it by the contract which governs the relationship between the parties. In determining whether the delays caused due to the ‘quarantine restrictions’ and ‘restraints of labour’ can classify as a ‘force majeure’, and whether this will become an ‘off-hire’ event or not is not so straightforward. There could be a risk for the member in breaching contractual obligations. As such, the club recommends its members to review their charterparty terms, and put the relevant parties on notice of the fact that there could be delays due to the prevailing circumstances and conditions. Members are also recommended to refer to the club's article on 'Novel Coronavirus outbreak in China' and 'IMO-2020 knowledge hub' for further guidance on these topics. Standard Club is always on hand to assist and advise its members on these topics.