Overview

Freight, Demurrage and Defence (FD&D), is a discretionary legal cost and expense insurance incurred by agreed matters or events. The Association’s professional team also provides legal advice, modifies various legal documents and negotiates with the opposing party for members. 

Scope of Cover

FD&D covers the costs and expenses reasonably incurred in connection with the following matters or events:

1. Bill of lading dispute;

2. Voyage charter dispute;

3. Time charter dispute;

4. Bareboat charter dispute;

5. Other carriage contract dispute;

6. Ship's collision dispute;

7. Salvage dispute;

8. Policy of insurance dispute;

9. Damage to the ship dispute;

10. The ship's protection;

11. Building, sale and repair of the ship disputes;

12. Mortgage dispute;

13. Any other contract dispute;

14. Other matters.

Most of the disputes referred to the FD&D team are bill of lading and charter-party disputes.

Our Service 

Through close contact with many IG clubs and renowned international law firms, the Association’s professional staff will provide professional legal opinions regarding members’ cases and enquiries. The Association also seek competent and qualified lawyers, surveyors and correspondents around the world for members, providing specific support in members’ cases in the event of arbitration and lawsuit, minimizing members’ legal costs, and handles various types of enquiries and issues promptly and efficiently. 

The Association and its UK Company’s FD&D team is comprised of lawyers with experience practicing Chinese and English laws, dedicated to providing legal service and support in more than one jurisdiction and facilitating lawsuits and arbitrations in UK for members in an efficient manner.

For more information about FDD cover, please refer to the “Publications” and “Knowledge Bank” on our website.

Charterers Liability

In the shipping industry, Charterers play a very important role, but sometimes encounter more difficulties than shipowners when dealing with accidents or incidents. A shipowner is able to communicate directly with the Master and crew, and obtain first-hand information about the nature and extent of the accidents or incidents, while a charterer is often in lack of such sources of information, although the charterer’s liabilities are no less than the shipowner’s, which include contractual liabilities to shipowners and cargo owners as well as possible non-contractual liabilities to third parties.

To assist Charterers, the Association’s Charterers Comprehensive Cover provides a worldwide network to gather information extensively and profoundly so as to assess the situation and offers claims service through the Association’s experienced team.

Scope of Cover

1. Member liability in his capacity as charterer in respect of risks set out in Rule 3, to indemnify the owner or disponent owner of the entered ship.

2. Charterers Liability, together with costs and expenses incidental thereto, for loss of or damage to the entered ship.

3. The loss incurred by the charterer as a result of loss of or damage to bunkers, fuel or other property of the charterer on board the entered ship.

Covers will be offered to charterers of ships on T/C, TCT and V/C basis.

Our Service

The FDD & TCL Department is a team of reputable, dedicated and knowledgeable marine insurance and English law professionals, proud of delivering high quality insurance products and advisory services to companies that charter vessels to carry cargo by sea. Based on the Association’s worldwide network of both correspondents and lawyers, and the international first-class reinsurance support, we are committed to providing our professional service on a 24/7 basis year round.

For more information about FDD cover, please refer to the “Publications” and “Knowledge Bank” on our website.