The Swedish Club
No. 1 - 2011 April
Owners have to reconsider their measures Page 14-17
Six steps towards improved safety Page 22-23
All vows renewed! Page 13
The comings and goings of DRUGs Page 6-8 THE SWEDISH CLUB TRITON 1-2011
Content | No. 1 - 2011 April
Leader | On solid ground! 3 The Swedish Club is a mutual marine insurance company, owned and controlled by its members. P&I | P&I coverage during post-casualty The Club writes Protection & Indemnity, Freight, Demurrage & Defence, Charterers' Liability, Hull & towage 4-5 Machinery, War risks, Loss of Hire insurance and any | The comings and goings of illegal additional insurance required by shipowners. drug and chemical precursors 6-8 Head Office Sweden MarketING & | Visiting adress Gullbergs Strandgata 6 BUSINESS DEVELOPMENT | A business built to last 9 411 04 Göteborg Postal address P.O. Box 171 SE-401 22 Göteborg, Sweden Fire | To allocate responsibilities and Tel +46 31 638 400 Fax +46 31 156 711 reduce risk 10-12 E-mail [email protected] Emergency tel +46 31 151 328 | Underwriting All vows renewed 13 Greece 5th Floor, 87 Akti Miaouli GR-185 38 Piraeus, Greece Piracy | Somali piracy today 14-17 Tel +30 211 120 8400 Fax +30 210 452 5957 | E-mail [email protected] Loss prevention The Aqaba corn case Emergency tel +30 6944 530 856 – a study of a cargo claim 18-19 Hong Kong Suite 6306, Central Plaza | Demolishing an unused dolphin 18 Harbour Road, Wanchai, Hong Kong – an incident to punish or reward? 20-21 Tel +852 2598 6238 Fax +852 2845 9203 | Six steps towards improved safety 22-23 E-mail [email protected] Emergency tel +852 2598 6464
Legal | The new Turkish commercial code 24-25 Japan Room 103, 6-1, 1 Chome, kaigan, Minatu-Ku | Tokyo 105-0022, Japan The Swedish Club New MRM training providers 26 Tel +81 3 6459 0870 Academy | Out and about with MRM 26-29 Fax +81 3 6459 0871 E-mail [email protected] Emergency tel +81 3 6459 0870 Club information | Staff presentation: Norway House of Business, 6th floor | Hans Filipsson 30-31 Postal address Tjuvholmen Allé 3 | Joakim Enström 32-33 N-0252, Oslo, Norway Tel +47 9828 0514 | News from Team Oslo Energy 34-35 Mobile +47 9486 1205 E-mail [email protected] | Emergency tel +46 31 151 328 Notice Board 34-35 | News from Asia 36 The Swedish Club Triton is published three times a year and distributed free of charge. The Swedish | News from Piraeus 37 Club Letter is an editorially independent newsletter and opinions expressed by external contributors are | News from Team I 38 not necessarily those of The Swedish Club. Articles | herein are not intended to provide legal advice and News from Team III 39 the Club does not accept responsibility for errors | Basic facts / New members 40 or omissions or their consequences. For further in- formation regarding any issue raised herein, please | Bohus fortress 40-41 contact our head office in Göteborg. Editorial Advisory Board Peter Andersson, | Out and about 41-42 Susanne Blomstrand, Henric Gard, Birgitta Hed, | Anders Leissner, Lars A. Malm, Lars Rhodin, In Memoriam 43 Tony Schröder, Carola Weidenholm. | Staff news43 Production co-ordinator Susanne Blomstrand. | Club calendar 44 PR-consultant TRS Public Relations Ltd., London. Layout Eliasson Information, Göteborg. Cover photo IStockPhoto. Print PR Offset.1104PR5200B © The Swedish Club. Articles or extracts may be quoted provided that The Swedish Club is credited as the source. www.swedishclub.com 2 THE SWEDISH CLUB TRITON 1-2011
Leader | MD Lars Rhodin On Solid Ground! PHo t o: Jonas Ahlsén Jonas
Dear members and associates, 2010 was a year both of anniversary celebrations and of change for the Club. Great anniversaries, as we have a rich history to celebrate – 100 years of P&I, and 30 years of our office in Greece. Those occasions represent important milestones in our 139-year Lars Rhodin journey. Change, because we adapt and move in Managing Director tandem with the changes taking place in shipping, this diversification and, in addition, it fits in well in the insurance and the regulatory environment. Obviously, revised risk management plan. The market response successful companies do not merely keep abreast has been positive within the broking community as of development – they foresee changes down the well as among owners. The Club stands for strong line. We take our core value “proactive” to heart and values; there is reliance on the Club’s following endeavour to do our best to stay ahead of the game. through on long-term strategy. For members, the most important aspect is to have The European Commission’s investigation into the a club ready to act – to respond to casualties and International Group continues. Claims-sharing and other urgent insurance needs. Last year we the joint reinsurance arrangement are under scrutiny experienced a rather benign claims distribution, but and so is the mechanism for release calls. The current nevertheless we had our fair share of casualties during system is not perfect – no system is! The fact remains certain periods. A casualty seldom comes alone! that it provides for unparalleled cost benefits to the Some had the real potential to develop adversely, to consumers, i.e. the shipowners, at the same time as say the least. Fortunately, events turned our way and third parties and society at large stand to be the real that of the shipowners, even though the exposure beneficiaries. There may be behaviour within clubs was challenging. Insurance means being prepared for that needs to be improved. I am rather sure that the unknown, hence the importance of having a club there will be some positive contributions emerging ready to respond. from this probe, but there are some fundamentals at In early December we passed 30 million GT of play. So, please raise your voice in support through owner’s P&I entered with the Club. Whilst volume your respective channels! We shall do our part in in isolation is not a target, we see this as a token of safeguarding the benefits derived from the system. confidence. The Club is its members. It starts with quality. When that is in place, results will be generated Yours sincerely, from which growth will follow. The Club had a net combined ratio of 87% in 2010, adding a significant surplus from the insurance operation to the total result of USD 29.5 million. Team Oslo Energy is now up and running, and we have established an office in central Oslo in the Tjuvholmen district, next to Aker Brygge. Reinsurance has been fitted into our consolidated programme structure, and, as of 20 February 2011, we got the “pen”. We see synergies with our existing business by
3 THE SWEDISH CLUB TRITON 1-2011
P&I | Post-casualty Towage P&I coverage during post -casualty towage
In the ordinary and customary contract – but it is always the member who course of any merchant vessel’s trading, is the contractual party – not the Club. vessels proceed in and out of ports and to Under Norwegian Hull Conditions, the and from berths to load and or discharge cost of removal of the vessel, meaning the cargo. This is all in the natural pattern Tony Schröder towage, is covered, as are costs relating to of ships movements. Liability relating to Area Manager the preparation of the tow. Importantly, if towage which forms part of the ordinary Team Göteborg I additional insurance needs to be taken out and customary course of trading is, for that by the member, such as Shipowners’ Liabil- reason, covered by P&I clubs. considered liable - res ipsa loquitur, i.e. “the ity Insurance, that premium will be regard- However, towage is in many cases more thing speaks for itself”. ed as removal expenditure and is covered. related to a casualty, or post-casualty, tow- age, usually following engine breakdown Cargo onboard - the Himalaya Clause Towage Certificate of Approval or damage to the rudder or propeller ren- The member must ensure that the Con- Unless the towage is of a very limited dering the vessel immobile; the vessel is tract of Affreightment (COA) contains an character, a Certificate of Approval must be thus in need of assistance to be removed to adequate Himalaya Clause. The Himalaya obtained following inspection of the a repair facility. Towage that does not form Clause ensures that the member’s right of towing tug and all towing equipment as part of the vessel’s ordinary and custom- limitation and contractual defences also well as the vessel to be towed. The Certifi- ary trading is excluded from cover - unless apply in favour of the tug owner. The pur- cate of Approval should be issued by a pre- the contract for such towage has been pre- pose of the Himalaya Clause is a contrac- approved organisation by the Club. The approved by the Club. tual provision expressed to be for the organisation chosen should be consulted benefit of a third party who is not a party before any tug is contractually committed, Legal considerations for tug and tow to the COA. If there is no Himalaya in order to safeguard that inter alia mini- post-casualty Clause, third parties may go against the mum bollard pull, towing gear, passage plan It is not uncommon that the post-casualty tug in tort; which in its turn can turn to and other performance records are met. towage has been preceded by a salvage the tow (the vessel) under the COA. For situation and that the vessel is subsequent- example, a cargo owner may try to cir- Greatest exposure lies with P&I ly at a “place of safety” – i.e. the legal geo- cumvent the carrier’s contractual defences Marine underwriters assist the owners in graphical place where the salvage normally under the Hague or Hague-Visby rules by making tow arrangements, as has been ends. The problem this presents for an bringing a tort claim against the tug. For described above, and indemnifies for the underwriter is that a “place of safety” is this reason, it is also advisable to have an costs of the towage. However, the greater not necessarily a place where there are any Indemnity Clause in the COA. The pur- exposure lies with the P&I club, with risks competent repair facilities. Furthermore, pose of this clause is that the cargo owner like pollution, environmental damage, the legal requirement for the salvage to be must indemnify the carrier for liabilities collision and or contact with third party considered successful is not only that the that exceed those available under the property, cargo loss or damage, wreck re- vessel is brought to the “place of safety”, COA, i.e. if the carrier has had to indem- moval and personal injury or death claims. but she needs also to be “safely afloat” nify the tug under the towage contract for These risks are exacerbated compared to there. All quite reasonable and logical. But a claim brought by cargo interests. an ordinary shipping operation, by the fact for the underwriter this is no consolation. that you have two vessels in close proxim- Because, whilst the vessel is “safely afloat” Marine cover ity to one another. in a “place of safety”, she is not necessarily The underlying rationale to proceed with If the tow commences without written safe for onward towage to another destina- post-casualty towage for the marine under- approval of the Club, the member risks tion (a repair facility). writer is that there is at least enough resi- prejudicing their P&I cover; however, In relation to third parties, it might be dual value in the vessel to justify the cost claims which arise in any event under the worth keeping in mind that legally the tug of towing (and repairing) – otherwise the standard P&I rules are still covered. and tow are considered as one unit. The vessel is usually considered a CTL (Con- Bear in mind that contractual towage “dominant mind” of that unit is presumed structive Total Loss) or wreck. liabilities are only covered by the P&I club to be the tug, unless there is evidence to Owners are responsible for fixing the to the extent that those liabilities and costs the contrary, although there is no auto- towage contract, but The Swedish Club, in fall within any P&I rule; otherwise they matic presumption of fault on the part of the position as marine underwriter, will are excluded. the tug. The burden of proof lies with the assist the member in selecting an acceptable party asserting liability on the tug. But, and competent towage operator from quo- Historical view in the absence of any other reasonable ex- tations received. The Club will, in addition, Towage contracts actually have a place in planation, the inference is that the tug is assist the member in approving the towage P&I history and development. In a case
4 THE SWEDISH CLUB TRITON 1-2011
P&I coverage during post -casualty towage
PHoto: iStockphoto
from 1936 called Furness, Withy & Co., to be a mutual risk. If this is the case, the tow. For an ocean towage, the risks are Ltd. v. Duder, (1936) 55 Ll. Rep. 52 there member should purchase a Shipowners’ just considered too high with these types was a dispute whether a hull policy covered Liability Cover. This in effect buys back of exculpatory and burdensome contracts. the vessel’s (the tow’s) liability to tug under standard P&I cover from the insurance Typical standard contracts that would be the towage contract or not. There was no market. The Swedish Club can and will approved, if unaltered, would be Bimco’s dispute that the tug was fully to blame for assist their members with this ancillary Towcon and Towhire contracts. The caveat the collision between the tug and the tow cover. The limit is flexible but is normally here is, of course, that, if there are any spe- (the vessel) in tort – but under the towage around USD 10-50 million, and premiums cial terms added or any amendments made contract the tow (the vessel) was liable to are negotiated on a case-by-case basis. The to the standard wording, such as partial pay for the damage, although the collision costs of the insurance may be recoverable or complete deletion of original clauses or was solely due to the negligence of the tug. from the marine underwriter (see above) or insertion of new clauses, which will affect Underwriters successfully denied liability it may form part of expenditure in a Gen- the traditional liability system, this means under the insurance policy on the grounds eral Average, if any. that the contract needs to be reviewed by that the tow’s/vessel’s liability to pay arose the Club before approval. If a party does not as a consequence of the collision, but Towage contracts – synopsis not wish to be bound by specific terms, by virtue of the terms of the contract, and Remember that any new contract means a then they need to make this very clear to that the sum was not paid by way of new contract-based risk. From a P&I per- their contracting counterparty. Otherwise damages for a tortious act. In summary, spective, the member must, as mentioned there is a risk that the party will be bound hull did not cover this, and at that time earlier, seek the Club’s written approval to by the terms as is. this was an excluded liability under the ensure that he enjoys undisturbed and full P&I rules. It was subsequently decided P&I cover. Full service that the P&I rules should be extended also There is of course a wide variety of tow- As a full service and all-in-one marine to cover liabilities arising from (towage) age contracts around, but there are only insurance provider, The Swedish Club is contracts. a few that would be acceptable to a P&I especially well geared to assist and guide club. For ocean towage, only towage con- members with all aspects of salvage and Shipowners’ Liability Cover? tracts based on the knock-for-knock post-casualty situations. We can and will What happens if the towage is considered liability regime would be approved by the assist members with hands-on and legal too risky for the P&I club to approve the Club. For ocean towage the Club would advice as well as assistance to resolve any towage? As a mutual, the Club owes an not normally approve the UK, Nether- post-casualty towage situation as effectively obligation to the collective membership to lands or Scandinavian towage conditions, as possible. determine where the tow is too hazardous as they attempt to place all liability on the
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P&I | Drug Trafficking
José E. Cruz Director, Maritime Claims-Americas New Orleans, US
Since 2003 José E. Cruz has been a Director at Maritime Claims-Americas, Inc. (MCA) a USA bonded corporation that provides claims hand- ing for several P&I clubs in Latin American Ports. Mr Cruz was Consul General of Ecuador and Dean of the New Orleans Consular Corps from 1999 to 2003, a seasoned bilingual business person, born in Guayaquil, Ecuador.
The comings and goings of illegal drugs and chemi cal precursors
The illegal trade in drugs and chemical precursors as well ”…particularly in the last few as the production, distribution, use and money laundering are present in one form or another in every country in the world. How- months, events have been ever, Latin America and particularly South America is a high-risk zone both because of its enormous production and proximity to developing in Latin America the largest consumers. The traffic in illegal drugs is headline news, but we should also be watchful of the precursor agents for the pro- that require proactive attention duction of drugs. In recent years, and particularly in the last few months, events on the part of those involved in have been developing in Latin America that require proactive attention on the part of those involved in the shipping industry. the shipping industry.” Under the banner of better control, Latin American countries, particularly Venezuela and Ecuador, have been introducing new regulations that place the burden of proof on the accused. While there are measures that might help in providing proof of lack of intent by members, the best measure is prevention.
Prevention through awareness This article intends to encourage awareness and to identify some of the latent threats in the maritime industry so that preventive mea- sures can be taken as regards the vessel, crew and cargo handling. Prevention is crucial since once an illicit substance is discovered dire consequences can arise.
6 THE SWEDISH CLUB TRITON 1-2011 PHo t o: iStockphoto
The comings and goings of illegal drugs and chemi cal precursors
Largest producers European country has its own pattern of consumption, but there, COLOMBIA: “... illicit producer of coca, opium poppy, and can- the use of synthetic drugs is on the rise. nabis; world’s leading coca cultivator…167,000 hectares in coca cultivation.” The comings: illegal precursors and synthetic drugs PERU: “world’s second largest producer of coca leaf ... 36,000 hec- Precursor chemicals are produced and shipped from first world tares ... second largest producer of cocaine, estimated at 210 met- and developed countries. USA, Chile, Argentina, Europe and Asia ric tons of potential pure cocaine ... finished cocaine is shipped are generally the source of precursor chemicals for South Ameri- out from the Pacific ... increasing amounts ..., are being moved can cocaine. In addition, a growing trend in the use of synthetic to Brazil, Chile, Argentina, and Bolivia for use in the Southern drugs is creating a market for the sale and shipment of medicines Cone or transhipment to Europe and Africa”. and chemicals that will certainly continue to surface in the future. BOLIVIA: “world’s third-largest cultivator of coca ... 29,500 Noteworthy is the alarming increase in Germany’s and Great Brit- hectares under cultivation ... third largest producer of cocaine, ain’s production and use of synthetic drugs. estimated at 120 metric tons potential pure cocaine ... transit country for Peruvian and Colombian cocaine destined for US, The goings: a USD 400 billion business Mexico, Brazil, Argentina, Chile, Paraguay, and Europe”.1 In order to realize how large this trade is, we refer to the follow- While we have singled out the main producers, most other coun- ing quotation from a United Nations Publication: tries of Latin America and the Caribbean are involved in this ille- “With estimates of $100 billion to $110 billion for heroin, gal trade whether in production, transport, transhipment or money $110 billion to $130 billion for cocaine, $75 billion for cannabis laundering. and $60 billion for synthetic drugs, the probable global figure for the total illicit drug industry would be approximately $360 bil- Main consumers lion. Given the conservative bias in some of the estimates for The United States of America, Brazil and Europe are respectively the largest, second and third largest consumers of cocaine. Each 9 continues on page 8
1Central Intelligence Agency (https://www.cia.gov/library/publications/the-world-factbook). 7 THE SWEDISH CLUB TRITON 1-2011
P&I | Drug Trafficking
9 continued from page 7 individual substances, a turnover of around $400 billion per an- been hollowed-out and filled with cocaine, and over a thousand num is considered realistic.” 2 pounds of the drug was discovered and destroyed.”
Cargo: be knowledgeable about the substances being Crew: prevention and education shipped Drug lords and traffickers will use all means, even live or dead Sadly, the list of drugs, plants and chemicals which are used as bodies, for the trade and transport; they are a constant threat, illegal “recreational substances” is very large; and many medicines ever on the lookout for opportunities; with such high rewards, are used and abused for this purpose. corruption is possible. Crew, officers and staff must be drug-free. Traffickers will sometimes use legitimate shippers to hide Preventive measures that include drug-detecting PEME-tactics drugs, camouflaging drugs in bananas, furniture, should be used to prevent problems among current canned goods or by misrepresenting cargo. De- ”Drugs don’t and particularly from new staff. When possible, tailed knowledge of the chemicals and drugs that periodic drug testing systems should be applied present risks is good preventive medicine. Useful get on board by independent and expert institutions. Drug information and details are available from the by themselves; users are a primary target of traffickers who entice Controlled Substances Act of The US Food and or blackmail them into the trade. Drugs don’t get Drug Administration, on their website. 3 someone has to on board by themselves; someone has to put them put them there!” there! Crew on board and staff ashore should be Vessel security well educated and briefed on this subject, so that With so much to gain, traffickers may attempt to they may help to detect, identify and prevent use the vessel or hull to camouflage drugs in secret compartments, contamination with unending vigilance. Remind them that they even using divers while in port, to attach to the hull or inside the also are at risk. rudder space. Vigilance, security and crew participation are cru- cial for detecting and denouncing suspicious illegal activities. Be Once an incident occurs, experience and know-how must cautious of local national guards at the port, as corruption can be be applied part of the problem. Every member should have a protocol for the captain and crew to follow. The local correspondent should vet these protocols and Recent developments in South America must have one for the local actions that need to be implemented, As mentioned before, the illegal trade in narcotics and its con- as these will prove to be crucial to the outcome. The press his- text is present in all countries; however, manipulation of the ju- torically has been incendiary and has prejudged circumstances; dicial system by the governments of Venezuela and Ecuador has therefore, the protocol should include prudent management of deteriorated expectancy of justice. Due process or as in Spanish, news. The correspondent must have pre-established plans, using “debido proceso”, does not exist and is not even understood in expertise, transparency and experience combined with an urgent Venezuela or Ecuador, at least not as we would understand it; as response. Only expediency may help to diminish the incident. proved by recent events in Quito in what was termed a “coup”. Corruption makes matters worse. Quoted from “El Comercio de The following are the core of a protocol for such incidents Quito” 2/12/2011, (Free translation) “One out of four Ecuadori- 1. 24/7 presence at portside by the correspondent’s agents to ans paid some sort of bribe to the Courts last year” is the conclu- generate actions immediately upon detection sion reached by the Vanderbilt University (USA) study “Latin 2. Protocol by the correspondent to advise captain and crew as th American Public Opinion Project”. Venezuela is ranked 164 out pertaining to local laws and expectations of 178 countries, Ecuador 127th in the “Corruption Perception 3. Emergency notification to member and club Index of Transparency International”, tabulated on the percep- tion of corruption in the public sector by the Berlin-based group. 4. Application of emergency protocol by local correspondent Once one is detained, freedom can be difficult, tricky, expensive and lengthy. Conclusion Chile is the most judicially transparent country in Latin In conclusion, prevention through education, awareness and America, ranking 21/178; nevertheless, drugs related maritime preparedness remaining always attentive to suspicious acts, incidents can be costly and long drawn out. Here is a brief conduct and cargo is the best remedy, since benefits from this from Mr Patricio Valenzuela, MCA Correspondent in Chile: illegal trade will always be a hazard to maritime transportation. “Although Chile is at the extreme southwest of South America, Quoting an Ecuadorian banana exporter, Mr Juan Jose Pons, who traffickers from the north also try to use our country to ship deals permanently with preventive measures: “Traffickers will drugs to Europe, the USA and Africa. Recently, in late 2010, find a way of trafficking while there is a market; that is the great the authorities in Chile were able to discover a new method used tragedy”. So, be alert and prepared. for hiding this cargo. With the intention of shipping through a Disclaimer: Any views or opinion presented in this article are port in Chile, in a container that had been loaded with wood in solely those of the author and should not in any way be con- Santa Cruz, Bolivia, a mobile X-Ray inspection by authorities sidered a legal opinion. was able to detect a different density in the logs. The logs had
2Report of the International Narcotics Control Board 2007 (http://www.incb.org/incb/annual-report-2007.html) 8 3http://www.fda.gov/RegulatoryInformation/Legislation/ucm148726.htm THE SWEDISH CLUB TRITON 1-2011
Marketing & Business Development | State of the Market A business built to last The Swedish Club has a very proud and long history – it dates back to 1872 when a group of steamship owners decided to get together to form a mutual association in order to gain access to comprehensive and cost-effective insurance coverage. Today, 139 years later, much of the world and the daily realities in shipping Henric Gard and in insurance look very different. During the course of our his- Director, tory we have experienced two world wars, a number of recessions Marketing & Business Development and tense political situations or conflicts that have affected the world in general and shipping and insurance in specific. Lots of things have changed no doubt, but the soul of the Club and our ”You will see from our annual report basic mission are still there to de delivered and fulfilled. The prin- that 2010 evidenced satisfactory ciple of mutuality remains strong and is still our guiding star when we act and express ourselves externally as well as internally. As a performance in all lines of insurance matter of fact, mutuality and the way the Club has interpreted its and an encouraging result from our meaning over all these years has probably been the most important individual factor for the Club’s development, survival, progress, financial portfolio.” where we are today and where we will be in the future.
Continuing on a steady course went well and that we can continue to envisage good progress Today your Club is stronger financially than ever, and at the same in this core line of business. During 2010 we have also had the time our portfolio is bigger than ever when it comes to P&I. Last pleasure to welcome several new members to our Club. This has year was yet another year of delivery from the Club in which we inspired us to continue our efforts to develop the Club with once again managed to demonstrate that our focus on high quali- additional high quality tonnage and owners, but – as before – ty tonnage and owners coupled with a transparent and disciplined volume can never prevail sustainability and quality. underwriting approach is a good recipe for sustainable results. You will see from our annual report that 2010 evidenced satisfactory Marine – leading rather than following performance in all lines of insurance and an encouraging result The marine market continues to be challenging, although the from our financial portfolio. As a member of the Club this should 2010 marine result was very encouraging. Our offer to the marine be reassuring for you, and as a member to be, it should be temp- market is unique and our main task is to explain that fact to ting and attractive to become a member in such a strong and robust brokers and owners in order for us not to be compared incorrectly Club. with very different business models and different service concepts. The Swedish Club is and has always been a lead market with a An increased drive for diversification service concept, reach and capability second to none. Comparing In the last couple of years our Business Development Group have our offering to pure capacity providers is comparing apples to been busy both in looking at new areas of business as well as ana- pears, and we will have to make sure that this major difference is lysing and drawing conclusions from the current portfolio. This understood and hopefully also appreciated. At the end of the day, has resulted in some considerable changes for the Club and our the true value of any insurance policy is tested when the policy portfolio. During the past year we have focused on and managed to holder is asking the leader to fulfil his promise. By having The further diversify our marine portfolio by writing more Increased Swedish Club in the lead position, brokers and owners should feel Value, War and Loss of Hire. As from 20 February this year we that they are in the very best of hands – that is our marine mission! have entered the property insurance market for Mobile Offshore Units and FPSO’s and have begun writing a new class of insur- Strong and resistant ance. So far, we are pleased with the developments and the warm As you might have noticed, the theme in our last two annual welcome we have received from both the broking community and reports has been different local fortresses, located on the Swedish owners. The timing of this new venture has been good, and our West Coast. Yet another fortress will be the theme for our 2010 long-term commitment to this interesting segment we understand annual report, which will be available in May. Why is that so? has been much appreciated. A fortress is in our way of thinking a symbol of stability, strength and protection in testing times and in rough weather. It is simply Significant P&I growth something that is built to last, and so is The Swedish Club. In previous articles I have written about the positive development Thank you for your continued support and rest assured –“we are that we have enjoyed in the last couple of years when it comes to with you all the time and all the way”. the P&I side of our business. Having just finished the 2011/2012 renewal, it is very pleasing to be able to report that the renewal
9 THE SWEDISH CLUB TRITON 1-2011
Fire | Ship Fire and Explosion Investigation Scanpix/AP Photo/Pat Roque o: t PHo
To allocate respo nsibilities and reduce risk Ship fires and explosions are not common, but can be expensive and disrup- tive. Investigating them allows us to find the cause and consider related issues such Neil Sanders as how the fire spread. This may help when Partner considering claims from other parties; pos- Burgoynes, London sible recovery of costs against other parties; whether insurance conditions have been Neil Sanders is a partner with Burgoynes, ”Common causes of complied with; and the value of salvage which investigates incidents for insurers, ship owners, company owners and others and is ship fires include hot work. Knowing the cause may also help particularly well known for investigating ship work, fuel oil leaks prevent further incidents or identify crimi- fires and explosions. Neil trained as a chemi- nal acts. cal engineer and spent 8 years in industry and smoking as well before joining Burgoynes in London in 1997. Overall investigation approach He spent 3 years in Burgoynes’ Singapore of- as causes associated The same general approach applies to all in- fice and is now back in London, where much with cargo such as vestigations, although familiarity with the of his work involves investigating fires and type of ship, equipment or cargo involved explosions on ships and on land. self-heating.”
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Philippine passenger ferry "Super Ferry 14" on fire southwest of Manila, February 2004.
To allocate respo nsibilities and reduce risk can help. Evidence should be gathered until it is possible to focus on one area of decks were burned out. They all looked systematically and considered objectively, interest. In the case of widespread damage similar, with hardly anything left inside, without focusing too early on one particu- it is often necessary to use other sources, but witnesses could identify the cabin lar aspect or item. Theories and scenarios such as witnesses, to indicate where the where the fire was first seen. A look outside must be thought through, tested against fire started. It may then be necessary to the surrounding bulkheads around the the evidence, and modified or discarded as excavate fire debris, or partially empty a cabin revealed evidence of welding work further evidence is obtained. By the end of hold, or dismantle machinery to find the that ignited materials inside the cabin. this process the cause (or range of possible cause. A further example is a small chemical causes) that fits all the evidence should be- Fires and explosions often destroy evi- tanker in which explosions spread to de- come clear. dence, which can make an investigation stroy most of the cargo area. Even though more difficult. It is important to look at most of the bulkheads between tanks had Physical evidence surrounding areas, even beyond the dama- been displaced, careful examination of Fire and explosion scenes on ships can ge. For example a pump and pipe system the direction in which each bulkhead had vary from a single cabin, or one engine, might have caused a problem at the far end been torn away from the shell indicated the to whole holds or even an entire ship. We of the pipe, well away from the pump. tank in which the explosion started. usually start from the outside and work Another example is a large cruise liner in, initially without disturbing anything, fire in which hundreds of cabins on several 9 continues on page 12
11 THE SWEDISH CLUB TRITON 1-2011
Fire | Ship Fire and Explosion Investigation
To allocate… 9 continues from page 11
Electrical evidence, such as the location of arcing damage on Common causes of ship fires cables, may help to indicate where a fire started. The following is not a complete list, but it is intended to illustrate All investigations may end up in Court, so it is important to take the common causes of ship fires we encounter. photographs and make notes that can be used later to demonstrate the evidence found, particularly once the investigation moves on to Accommodation excavation or dismantling which cannot be reversed. We still come across fires caused by smoking. Cooking Witnesses and other evidence fires are another common cause, as are fires caused by hot Witnesses can often be helpful, for example indicating where a fire work such as welding or flame cutting. Deliberate fires was first seen or providing information about the events leading up have occurred in ships’ accommodation, which may be to the fire or explosion, such as what equipment was in use, what indicated by lack of alternative causes or by a previous his- work was being done, or what problems had been encountered. tory of unexplained small fires. Electrical appliances or However witnesses are not always reliable, either because they do installations can also cause fires. not remember correctly or because they would rather not admit something. For example smokers may be unwilling to admit smo- Engine Room king after a fire has occurred. Fuel oil leaks, often being ignited on hot exhausts, are still Press reports sometimes appear soon after the incident. They a relatively common cause, although the SOLAS regula- should be considered but are not always correct. In a recent inci- tions aim to avoid this. Fires caused by hot work, electrical dent of hull damage to a large tanker the early press reports, some faults and deliberate ignition all occur in engine rooms. originating from the local authorities, mentioned freak waves and hitting rocks as well as explosions (terrorist and otherwise). Cargo Inspection showed that a terrorist incident was to blame. Memory data logs from control or detection systems can assist. Smoking remains a relatively common cause of cargo For example, in car carriers each deck may have many ‘addressable’ fires. Electrical installations occasionally cause cargo smoke detectors. In a fire that spreads widely, the origin may not be fires, for example cargo lights left ‘on’ and buried in bulk clear from the physical evidence but the location and order of ope- cargo. Vehicles have also caused fires in car carriers and in ration of the smoke detectors may indicate where it started. other types of ship where they are carried as cargo on the return voyage. Self-heating is relatively common and can Detailed investigation occur in container cargos (such as calcium hypochlorite or Once the origin of a fire or explosion has been identified, detailed charcoal) or in bulk (such as coal or edible oil extraction investigation work on items or equipment in that area may be residues). In recent years the shipping of rechargeable needed. batteries has increased and some cargo fires are For example, where a fuel oil leak at an engine has led to a fire, attributable to them. Cargos with flammable vapour, in parts of the engine may be dismantled to find the leak and metal- tankers or otherwise, present an obvious risk of explosion lurgical work may be required to determine the basic cause of failu- and fire. Ignition sources for flammable vapour include re. Other factors may need to be considered such as whether parts static electricity discharge; friction in pumps etc; electrical of the engine were shielded and insulated according to SOLAS equipment; hot work and even thermite sparks due to (International Convention for the Safety of Life at Sea) regulations. impact between aluminium and rusty steel. Cargo fires may require testing to determine, for example, whether the cargo self-heats or how it reacts with contaminants. Summary Ship fire and explosion investigation should be approached in a sys- Ship’s fire fighting systems tematic way, with a continual evaluation of evidence and testing of It is usual to inspect the ship’s fire fighting systems including fire theories developed. As well as physical evidence, information such detection; suppression such as CO2; fire pumps; emergency genera- as witness evidence and data logs is often important. Common tors; ventilation dampers; compartment doors and remote shut-off causes of ship fires include hot work, fuel oil leaks and smoking valves for fuel systems. Some of these items may not have operated as well as causes associated with cargo such as self-heating. Proper properly, and the time taken to operate systems such as CO2 sup- investigation of incidents, with the Court process in mind, should pression may need to be considered. In the case of a failure or delay help to identify where particular parties are responsible, as well as it may be necessary to consider what difference it made to the se- to enable owners, shippers and insurers to reduce risk. verity of the fire.
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Underwriting | Renewals Marine/P&I morgueFile/Stefan Eliasson o: t PHo All vows renewed!
This year once again our members showed their appreciation of the high quality level of service being delivered. We are, need- Lars A. Malm less to say, extremely grateful for the renewed vote of confidence Director, Risk & Operations which the renewal is actually all about. We do take pride in be- ing highly sophisticated in terms of our technical underwriting Unlike a regular marriage, the vows of P&I, FD&D skills and our ability to responsibly rate risks over a horizon and and Marine insurance policies are renewed annually. Maybe it to manage the inherent cycles in the industry. As to the latter wouldn’t be entirely wrong to have the same tradition in place for part, this is the most important task for us right now and going all kind of relationships? forward. It is of particular importance to stand our ground when Using the analogy of a marriage to describe a contract of insu- being compared to the influx of capacity to the Marine insurance rance may to some people seem a bit odd. When you think of it market, which has little or no ability to lead business. though, there are several common denominators. At the end of the If we turn to the P&I and FD&D renewal, the Club managed day it all comes down to each party’s promise to deliver and how well and in line with our targets. The gross premium on renewed that delivery is perceived: owners’ tonnage was amended upwards by some 3%, which was slightly better than target. Volumewise, we met our target and it is again pleasing to see that there is a “to have and to hold from this day forward” substantial addition committed for the 2011/2012 (the agreed policy period) period. “for better, for worse, for richer, for poorer,” As for the 1 January Marine renewal, it progressed (handling and settling claims – paying premiums) according to plan. Volumewise, we managed slightly better than forecast and as to rating we follow a long- “in sickness and in health,” term view which provides members with continuity (supplementary calls – return of premiums/deferred calls) and predictability going forward. We are committed “to love and to cherish,” to not repeating any historic mistakes in relation to (issuing securities and giving benefit of doubt – organic growth) less fortunate cycle management. Being a member of The Swedish Club is obviously “till death do us part,” not a commitment for life, but we do walk the extra (total loss) mile in order to maintain relations for as long as pos- “according to God’s holy ordinance; and thereto I plight thee my troth.” sible. Handling claims in a professional and timely manner is what counts in the eyes of our members (Articles of the Association, current Rules and Circulars) and business partners. The true test is;whether mem- bers and business partners feel that the product de- If delivery in a relationship is not on a par with expectation livered reflects the rate charged. We take pride in never parting – then the viability of the relationship is questionable. ways because of poor performance.
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Piracy | Somali Piracy Today Owners have to reconsider their measures against Somali piracy!
During and prior to 2008 Somali piracy was limited to the area of the Gulf of Aden. Somali piracy events that captured the attention of the general public that year included the hijacks of MV BBC Trinidad, MV Amiya Scan and SY Ponant. It was very Thomas Nintemann clear from those early 2008 incidents, and has been confirmed Head of Legal & Insurance Dep by every incident since then, that Somali piracy is nothing more Intership Verwaltungsgesellschaft mbH than maritime kidnap for ransom of the ship and crew. Ransom Haren, Germany negotiations took place in order to release the crew and ship for an agreed sum of money. The pirates have the time, the owners the money. Too hasty agree- This remains the pirate’s business model today. The pirates offer ment by owners to pay all or most of what the pirates demand does the captured ship and crew to the only interest in the world who not result in early release. Quite the contrary – too much offered will pay good money for them – the owners. The negotiation takes too early by owners may actually extend the hijack; as happened in the form of an aggressive business negotiation, albeit usually with this case. life-threatening threats and menaces from the pirates. Piracy demands are escalating Anti-piracy forces deployed to the Gulf of Aden By spring 2010 it became crystal clear that the trend of long nego- Since 8 December 2008, the international community has de- tiations for larger amounts of money that had started in 2009 was ployed anti-piracy forces to the Gulf of Aden, with usually more confirmed. The captures took longer, and the ransoms paid by the than 30 warships deployed on anti-piracy patrols at any time. The responsible owner got higher. The average period a ship was held by Somali pirates reacted by extending their operational ’hunting’ pirates was more than 120 days, and the average ransom paid for a grounds to the Somali Basin and beyond. The pirates’ tactics con- single vessel was in the region of USD 5 million, with one or two tinue to evolve and adapt, and ships are now under threat from the in individual cases in the area of USD 10 million. The pirate tactic Red Sea in the north to the Mozambique Channel in the South of ‘the long wait’ had arrived, with very high demands. The pirates’ and as far east as the coast of India. aim was to extract as much money as possible from the owner in each case. 2009 marked a change in Somali piracy The case of MV Hansa Stavanger in the spring and summer of Citadels not always an effective defence 2009 marked a change in Somali piracy. The vessel was captured In the meantime, many owners, following the ‘Best Management in the Somali Basin. By that time more Somali clans had become Practice’ guides, established citadels on their vessels. Others put involved in piracy; which was as early as 2009 a business worth armed and very expensive security guards on board during the ves- hundreds of millions of US dollars in ransoms paid. Also during sel’s passage through the Gulf of Aden and the Somali Basin. the case of the Hansa Stavanger the German public, and to a lesser Whilst citadels have worked on many occasions in 2010, the fate degree the West European shipping community, became aware of of the MV BBC Nomination showed that a citadel is not always an the pirates’ pressure tactics against the owners. These included the effective defence. If the pirates have sufficient time to cut their way use of torture against the crew, mock-executions, maltreatment and into the citadel using oxyacetylene or mechanical cutters, they will solitary confinement of individual crew members amongst other do so. The pirates have also used hostage crews from captured ships cruelties. already held as ‘human shields’ to deter interference from warships Another phenomenon to be observed on the Hansa Stavanger while they cut their way into the citadels. was that the ransom negotiations were remarkably prolonged by the pirates for the sake of a few hundred thousand dollars more. 9 continues on page 16
14 THE SWEDISH CLUB TRITON 1-2011 PHo t oS ( oS m o ntage ): US Navy & iStockphoto Navy US
”pirates…!?”
”pirates …!?”
“It is a serious mistake by owners to underestimate the ability of Somali pirates to adapt and improvise. The situation is fluid with a constant evolution of tactics by the pirates in reaction to defensive measures by the shipping community. “
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Piracy | Somali Piracy Today P h o t continued from page 14 o: 9 photo Navy US The use of captured hostage ships as ‘mother ships’ has also extended the range and duration of pirate hunting patrols. Nor are the pirates any longer limited to opera- ting only in the inter-monsoon periods. It was also reported in January 2011 that MV Leopard was captured by pirates near Salalah AFTER she had dropped off her armed guards. If owners do employ armed guards, where do they embark and disem- bark? Assumptions about the limits of the pirates’ range of operations are constantly being challenged.
Ability to adapt and improvise It is a serious mistake by owners to under- estimate the ability of Somali pirates to adapt and improvise. The situation is fluid, with a constant evolution of tactics by the Suspected pirates in Gulf of Aden, February 2009. pirates in reaction to defensive measures by the shipping community. with usually more than 30 ships held an employee as the ‘lead’ or ‘anti-piracy The hijack of the MT Marida Maguerite by pirates at any one time, the supply of co-ordinator’ in each owner’s and under- and crew in the latter half of 2010 showed experienced negotiation advisers is very writers’ group, as much for prevention of that Somali pirates, or at least some of limited. piracy as for managing a hijack incident them, will not shrink from using the most However, if a vessel is hijacked, this does should one occur. It is vital that during extreme violence against crew members. not mean that the crew will always be mis- negotiations owners and underwriters re- Some individual crew members on some hi- treated. Much depends on the pirates and main as professional and as focussed as the jacked vessels have even declared solidarity also on the manner in which the owners Somali pirates. This can only be ensured with the pirates in the hope of improving conduct the negotiations. But cruel treat- by the constant engagement of owners and their own situation. ment and distressing pressures cannot be their underwriters on questions of Somali excluded in advance. So the owners’ crisis piracy. Emotional and psycological burden management team must be prepared by can be considerable prior training and briefing for such even- Owners must be prepared to deal The pressures and tactics used by pirates tualities. with the problem against owners and the mistreatment of Waiting for the international institutions crew put great stress and strain on the There is no offshore solution to effect a solution to Somali piracy in owners’ crisis management team during Somali piracy is likely to remain a serious Somalia is not an option for owners. This negotiations. The team has to avoid over- problem for shipping for perhaps the next may or may not come about. Shipping and reacting and must stick to the selected decade. There is no ‘offshore’ solution. Somali piracy do not have such a huge negotiation strategy. This is a lot to ask If piracy is to be brought under control political impact on international affairs. and expect from an employee appointed by it must happen as a result of treating the This might change if the rate of attrition his employer to be a member of his crisis causes, not the symptoms. That means a of ships by pirates increases beyond the management team. The emotional and solution on land under a stable and paci- two captures in every thousand transits psychological burden can be considerable. fied Somalia following a strengthening of that is the current average. But for now The employer should ensure that crisis civil society and law enforcement, particu- owners and their underwriters must be team members are carefully selected larly in Puntland. prepared to deal with the problem of and trained IN ADVANCE. Or he Somali piracy on their own and with very should engage external and experienced Anti-piracy co-ordinator little – if any – outside assistance. professionals specialised in such negotia- Meanwhile, it is prudent of owners and tions. The problem with this last is that, their responsible underwriters to appoint
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Piracy – A never ending story....?
All Piracy and Armed Robbery incidents are reported to the IMB (International Maritime Bureau) Piracy Reporting Centre. A daily update can be found on http://www.icc-ccs.org
Published with courtesy of IMB Piracy Reporting Centre (PRC).
17 THE SWEDISH CLUB TRITON 1-2011
Loss Prevention | Case Study P&I
orn Case a C A study of a cargo claim b a human excrement but also, for instance, of jute q bags, stones, plastic, rubber, threads and other A foreign matter. Some more localised cargo was also e found either to be heat-damaged or to
h have an increased moisture content and in a state of caking. T The cargo claim The cargo receivers lodged a claim against our members, the vessel owners, for about USD 1.3 million.
The majority of the claim referred to
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o smaller part referred to localised heat or
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P also to some caking damage to cargo in hold no 1. The cargo receivers threatened to arrest the vessel and demanded payment of their claim CARGO CLAIMS in full and in cash. Only security by way of a bank are a common aspect guarantee for close to USD 2 million was accepted of shipping, but sometimes to allow the vessel to sail without any arrest or other a shipowner is faced with an out- interference with the operation of the vessel. No discharging of of-the-ordinary cargo claim cargo was allowed in the meantime. involving an exaggerated request for security, almost temporarily keeping the vessel hostage in a less than ideal place. This is a study Appointment of experts of one such claim and how the Club might assist in resolving the Given the complexity of this case, leading London cargo experts migraine of a situation that may arise. were instructed at a very early stage, and one of their senior survey- ors was dispatched to investigate the matter on site at Aqaba to- Background gether with a local surveyor already attending. In addition, English In February 2008, some 17,500 mt of yellow corn in bulk, bound and Jordanian lawyers were put on stand-by so as to consider how for Aqaba in Jordan, was loaded onto m/v Silver Star at Kakinada, to best resolve the impasse and how to best protect our members’ India. The vessel was under a one trip time charter on the NYPE position in respect of a future potential indemnity action against (New York Produce Exchange) form. The loading was carried out charterers. at the anchorage where cargo in bags was transferred from barges to the ship’s holds. The bags were opened in the holds by the steve- The cause of damage dore labourers stationed there and thereby turned into bulk corn The human excrement found throughout the cargo was caused by cargo. the stevedores, who it transpired used the holds as a toilet during The voyage was uneventful. However, shortly after the vessel’s the loading at Kakinada, India. At times there were no less than 50 arrival at Aqaba, the local cargo receivers started complaining stevedore labourers stationed in each hold. about the cargo and refused to continue the discharge. Various The other foreign matter found throughout the cargo was in part concerns were raised about the condition of the cargo, but the a result of the loading process (packing material) and in part com- main issue was that the cargo was allegedly contaminated by hu- mingled with the cargo before or during loading (stones, plastic, man excrement and that this might result in the rejection of the paper, rubber etc.). entire cargo by the local health authorities. The contamination The other damage in respect of localised mould and caking existed throughout the cargo in all holds, and consisted not only of damage could either be traced back to heating of the vessel’s bun-
18 THE SWEDISH CLUB TRITON 1-2011
A study of a cargo claim
ker tanks during the voyage or to the fact that it appeared that some rainwater had entered one hold in particular at Kakinada.
An early case assessment It quite soon became apparent that not only were these cargo Mats Segolson receivers difficult but the local context was also problematic. Senior Claims Executive The position under local law for this claim was not helpful and, Team Piraeus furthermore, the entire cargo could potentially be rejected. In a similar vein, the local courts would seize jurisdiction of any cargo provide for rough and ready justice with 0/100, 50/50 or 100/0 claim, despite any references to London arbitration and English law apportionments. under the bill of lading. The charterers initially raised some issues in respect of the quality Against this backdrop, the Club and members considered how specification of this cargo and argued that the bills of lading should best to resolve the situation. Following some further investigation have been remarked in some fashion. For some time the charter- and consultation it became clear that a negotiated amicable ers attempted to make the absence of any remarks in the carriage settlement should be explored now, whilst the vessel remained at documents into a silver bullet in the negotiations. Aqaba, rather than trying our luck in the local courts and thereby Despite the attempts from charterers to cloud this indemnity also having to provide for a USD 2 million bank guarantee which claim, there was a silver lining and, on the facts of this case, their might turn into a hostage of fortune; no other form of security was bullet missed by some margin. After a perhaps rather protracted accepted or recognised by the local courts. approach by the charterers and their insurers, an amicable settle- Apart from the liability aspects, the loss of value to the cargo was ment was achieved whereby the majority of the underlying cargo considered in some detail by the London cargo experts. This assist- claim was ultimately indemnified by the charterers. ed in assessing the reasonable amount of any potential settlement. There was also some detective work involved in seeking to quantify Summary and practical considerations how much loss was a result of each individual claim item. All these Cargo claims can sometimes be a serious headache. In some juris- exercises would also prove helpful in relation to any future indem- dictions and circumstances, there may be little choice but to deal nity claim against the charterers. with the claim head on and settle there and then rather than to provide security and resort to the local courts. Potential subsequent Settlement of the underlying cargo claim recovery actions, if any, should also be gauged. Some eleven days after the vessel’s arrival at Aqaba, and after They say prevention is better than cure and not infrequently some rather intensive negotiations, a full and final settlement was making suitable precautionary measures at the port of loading, and reached with the cargo receivers at USD 440,000 (all inclusive). making good use of surveyors, preferably in consultation with the The discharge was resumed at the receiver’s risk and the vessel sailed Club, may avoid much of the headache later. The following points shortly thereafter. may otherwise provide some remedy. The charterers were kept informed and consulted from an early Consider appointing suitable experts early on to investigate and stage but they, not entirely surprisingly, preferred to keep their preserve best possible evidence. involvement in this matter at arm’s length, at least as long as they could. Consider making a global assessment of the matter with the We now started looking to recoup some of the losses and we, Club early and how to best resolve it. again, turned our attention to the charterers. In reaching an early potential settlement, if appropriate, con- sider preserving a good paper trail on the steps taken, should the Indemnity claim against the charterers charterers, or whoever you are considering a recovery against, The charter party incorporated the 1996 Inter-Club Agreement seek to criticise the settlement or the reason for any of the steps (“ICA”) and any cargo claim as between the owners and the char- and decisions taken. terers should, therefore, be apportioned according to the mecha- nical formula set out therein. The purpose of this formula is to
19 THE SWEDISH CLUB TRITON 1-2011
Loss Prevention | Case Study H&M/P&I
Demolishing an unused dolphin An incident to punish or reward?
A ship will usually pay a claim when- ever they damage an object, either fixed or floating, during their navi- gation; the incident described be- low might possibly be an exception Bruce Hung to this. Claims Manager Team Asia
One of our member’s ships arrived The pilot told the master that they were at the outer anchorage of her discharge to berth port side to No. 52 berth, and that port at Douala at 06.48 hours GMT on before reaching that point two tugs would 10 October carrying about 21,000 mt attend the ship to assist in the berthing. of cement clinker and on an even keel of These tugs came up with the ship at No sign of a dolphin after the contact. 8.4m in fresh water. During the course of 19.45 hours. One stood off the starboard the voyage the master had read the Sailing bow, the other at the starboard quarter, board bow of the ship hit the dolphin. The Instructions and studied British Admiralty accompanying the ship, whose speed had time was noted to be 20.01 hours. Chart No. 1456, 3rd Edition, which had dropped to less than 5 knots. By the mas- The third officer fixed the ship’s position been printed on 10 June 2010. He was ter’s estimate, buoy B40, which he con- and this is shown on the copy of the ship’s aware of the warning on the chart con- firmed was lit, was abeam to port at 19.59 chart as illustrated. It will be noted that cerning navigation aids. It read as follows: at a distance of just under a cable. the dolphin lies practically in the middle of ‘AIDS TO NAVIGATION’ – the aids At about this time, and while the ship the fairway. to navigation on the chart are reported to be was turning gently to port, the pilot told From close examination of the chart it unreliable. They may be missing, or out of the master that there was an unlit, disused can be seen that a ‘tanker berth’ is marked position. dolphin in the river ahead and asked him in magenta and represented by three small The master also noted that there was to tell the chief officer who was at the bow, squares, in line, lying in a NNE direction a warning on the chart, under ‘Channel to look out and report whether he could and placed on the eastern extremity of the Depths’, that there were places in the chan- see it. This the master did, and he was told deep water channel – about 1.9 cables NE nel where the depths were no more than by the chief officer that he was unable to of buoy B40. A cable north of the berth is 6.1 meters above chart datum. see it. The master examined the radar but a black mooring buoy. It has further come Later in the afternoon, the ship agent could see no echoes in the river ahead of to light that the dolphins forming this called to tell the master that the pilot the ship. However, less than a minute later berth were severely damaged as a result of would board the ship that evening, and the chief officer called again to say that he a ship hitting it about ten years ago. It has eventually the pilot boarded the ship off could see what looked like a large piece of never been repaired and all the disused buoy B23 at 19.00 after the pilots had in- wood floating on the surface just ahead of dolphins, with the exception of one, have structed the master to weigh anchor and the ship and almost immediately the star- subsequently subsided to the riverbed, pos- proceed inwards.
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Position where the collision took place at 20.01 hours.
sibly due to multiple contacts with other damaged some time ago, and that the port Punish or reward? ships in the past decade. It was this sole authorities are well aware of this, and it After the event, we checked our records surviving dolphin that the ship hit, and as is general-ly agreed that their estimate and revealed that the ship that damaged far as we know it has now fallen sunk to for repairs at EUR 3 million is totally these tanker dolphins ten years ago was the riverbed. The master told us that he did unreasonable. The local agent for the ship entered with the Club (H&M), and the not see the mooring buoy when passing the has also indicated that the port authority owners had paid the port authority the spot to the berth, and it is assumed that it have confidentially advised that the matter repair cost of these dolphins; obviously the has been removed by the port authority. will go no further, because it is common repair had not been done over the years. knowledge that the dolphin was already In fact, as a result of levelling the re- Security almost totally destroyed. Indeed it will be maining dolphin, it appears to us that the The port authority detained the ship and quite interesting to see how their claim ship has rendered a benefit to the port and demanded a Letter of Undertaking to will be constituted, given that the original this should be fully appreciated by the cover their potential ‘repair’ cost totalling jetty was non- Harbour Master and his principals. In- EUR 3 million from the shipowners. existent (and therefore had no value, stead of making a claim, should they not According to the investigation and indeed was a liability); the port authorities be rewarding the ship for her assistance advice from the local correspondent/ have suffered no loss. this time? agent, it is clear that this dolphin was
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Loss Prevention | Safety
The problem with safety is that it is so difficult to measure. After a major accident it is easy to identify all the areas that should Six steps towards have been improved, but by then it is of course too late. In these uncertain economic times it can be hard to motivate an investment in an area where it is problematic to measure improvement and identify cost until disaster strikes. The cost of a disaster is always substantial improved safety and not only represents an economic loss but also a loss of prestige and goodwill. Prevention will be the best possible investment.
mistakes, and we should learn from them, but making mistakes is very different from not following the rules and defined 1. procedures; that is complacency and A positive company culture ignorance and should never be accepted. It is important to have a positive company Joakim Enström What can the company do to ensure culture and a unified plan for how to pro- Loss Prevention Officer that their employees follow best practices mote and maintain safety. It is not enough and policies? The answer might probably to have implemented a Safety Management relate to training. If the company is wil- System (SMS) with a well-organised navi- ”The Swedish Club has a ling to invest money and time in their gation policy. The policy needs to be con- crew, the result will most likely be that the stantly challenged, improved and reviewed. liaison process with the crew feel greater ownership in the com- The pursuit of improvement has to derive pany and the vessel. from top management within the company. member that we call It is very important for the company to Without guidelines from top management, Interactive Root Cause invest in an infrastructure that can deal the benefits and importance of this policy with these issues in a quick and efficient will just be something on paper. Analysis (IRCA), whereby manner without much effort. Such an in- If the SMS is followed correctly, most vestment emphasizes that it is even more accidents will be prevented. If an accident the Club will identify the important to have software which is user- occurs, either the procedures have been friendly, but still complex enough to deal ignored, the SMS did not identify the task, root cause and propose a with many different issues. or it was not specific enough. suitable remedial measure.” So how can a hazard be identified? The best defence will be to have trained and competent employees who are dedicated and who understand the importance of 3. safety. In order to be able to remedy the real Safe manning problem, the root cause has to be identified. Another major problem onboard vessels is The Swedish Club has a liaison process 2. fatigue, which is most common on smaller with the member that we call Interactive Belief in safety vessels with few crew members. Minimum Root Cause Analysis (IRCA), whereby How can we motivate people to under- safe manning might be sufficient for some the Club will identify the root cause and stand that a safety system with an organ- trades and areas, but it might not be propose a suitable remedial measure. This ised SMS will make life easier, safer and applicable in areas with dense traffic or benefits both the member and the Club, even more efficient? On the vessel, the cap- many port calls. Navigating a coastal vessel and the knowledge gained can be shared tain needs to be able to promote a safety in Europe with two watchkeeping officers with other members, thus preventing the culture. including the master might be acceptable same root cause in the future. If two ships With the 2010 update to the ISM code, according to the safe manning certificate, collide, the immediate cause is that they it is now a requirement for companies to but the vessel’s trade might have changed did not follow the International Regula- have a system in which risk assessments and the number of port calls might have tions for Preventing Collisions at Sea 1972 are completed. The difficult part is to increased so that it is impossible for the (COLREGS). This root cause may vary motivate the crew to actually follow the watchkeeping officers to get enough rest. considerably. It might be that the company work permit and risk assessment. A good The MAIB (Marine Accident Investiga- did not verify that the OOW (Officer of system should probably penalise people tion Branch) Bridge Watchkeeping Safety the Watch) was competent, or that the who have not followed the system and Study report from 2004 identified that OOW was using unfamiliar technology for have broken regulations, but it should most accidents around the UK occurred which he had not been properly trained, or not be a system in which people are not when there was only one officer on the that the OOW was suffering from fatigue. allowed to make mistakes. We all make bridge, and the major cause was fatigue.
22 THE SWEDISH CLUB TRITON 1-2011
The problem with safety is that it is so difficult to measure. After a major accident it is easy to identify all the areas that should have been improved, but by then it is of course too late. In these uncertain economic times it can be hard to motivate an investment in an area where it is problematic to measure improvement and identify cost until disaster strikes. The cost of a disaster is always substantial and not only represents an economic loss but also a loss of prestige and goodwill. Prevention will be the best possible investment.
It was identified that such undermanning ”Crewing today is more. It is imperative that the policy is is something that the IMO should try to being followed. The policy should be rectify through the STCW (Standards of probably the biggest implemented by the captain and verified Training, Certification and Watchkeeping during internal audits. It is easy to write a for Seafarers) convention. problem facing navigation policy, but hard to implement The recommendations made by MAIB the maritime industry.” it. For the policy to work there needs to be were proposed by the UK’s Maritime and a belief on the part of shore management Coastguard Agency (MCA) to the IMO, that it is something that will benefit the but unfortunately there were no changes to from. The shipping industry needs to have operation and increase safety onboard. the STCW code during the IMO Manila a long-term goal to solve this major issue conference on 25 June 2010, which ratified and shipping companies need to identify the Manila amendments to the STCW how they can deal with this shortage and code. The amendments did not implement still maintain a good service. any stricter regime for a vessel’s safe man- 6. Safety training ning, in Resolution 6 it also reaffirms that For the policy to work on the vessels, the any decision relating to ships’ manning captains need to be trained through semi- levels is the responsibility of the adminis- nars and captains’ conferences so they un- trations and shipowners concerned, taking derstand the importance of the policy and into account the principles of safe manning 5. Communication actually believe in it. If the policy is only adopted by the International Maritime One of the most critical operations on a seen as another requirement from shore- Organization. vessel is navigation. Implementing a well- side, it will fail. For success to be achieved, This would have been an excellent op- defined navigation policy, with trained it is essential that there is a good under- portunity to make the safe manning re- crew who understand their tasks/duties, standing and teamwork between shoreside quirements stricter. Now it is still only might be one of the best investments ever. and onboard personnel. up to the professional company to ensure If the crew is confident in themselves, their If the company is able to implement a that they have enough crew who are well- equipment and their fellow crew members, system where communication is clear and trained and competent. they will be well equipped to identify a well-defined, it is likely that their actions problem or risk when it occurs. will prevent many mistakes and accidents. In order to have an organised and mo- To assist companies in implementing tivated bridge team, it is very important an efficient and professional safety system, 4. that all team members have well-defined The Swedish Club has a well-established Crewing duties. Every team member should know and approved training programme re- Crewing today is probably the biggest what to expect from a colleague, and who garding safety for the entire crew and not problem facing the maritime industry. It is is responsible for what. This system usually only bridge procedures. It is called MRM a well-known fact that there is a shortage needs a minimum of two officers. (Maritime Resource Management), which of experienced and proficient crew. How By what means should an efficient is a training programme that would benefit this can be rectified is very hard to say. bridge team be organised? First of all, any shipping company. There is not only a problem in crewing ves- the company needs to have a specific sels, but also a problem in finding compe- navigation policy where the duties of For further information about MRM, please visit www.swedishclub.com/Academy tent people for shore-based positions. all bridge team members are explained, This shortage emphasizes even more navigation requirements regarding , for training within the company, as crew example, Closest Point of Approach members might be promoted more quickly (CPA), cross track error, calling the than before. It is a tough equation to solve master, environmental policies, explaining when there is a lot of new tonnage being the capabilities and limits of equipment built and less competent people to choose and how it should be used, and much
23 THE SWEDISH CLUB TRITON 1-2011
Legal | NTCC
Prof. Dr. M. Fehmi Ülgener Lawyer Ülgener Legal Consultants Law Office Istanbul
Professor Ülgener is a part-time lecturer and Head of the Department of Maritime and Insurance Law at the Faculty of Law, University of Istanbul. He is also the owner of Ülgener Legal Consultants – a law office based in Istanbul, serving as legal advisers to major Turkish shipowning groups and also to the Turkish Chamber of Shipping. The firm is also doing extensive work with P&I clubs and H&M underwriters. Professor Ülgener is the Turkish representative on the Bimco Documentary Committee. The New Turkish Commer cial Code
The New Turkish Commercial Code ses arising from several causes. If one of the As a result of the initiative by the Cham- (NTCC) as legislated by the Turkish causes stands as an exception of liability ber of Shipping, issues such as securing National Assembly was passed in January and the other stands as a cause for liability, hire, minimum time of off-hire and re- 2011. At the same time, the Turkish the amount of claim will be calculated pro delivery have also been added to the sub National Assembly has also passed the rata. chapter for time charters. New Turkish Code of Obligations. Both Another important change has been laws will come into effect on 1 July 2012. made in respect of unit/package limitation, Counter-security for arresting ships In this article we will mainly focus on i.e. SDR (SDR 667.67 per unit/package or Turkey is not often considered a place of the changes that have been effected in SDR 2 per kg, whichever is higher for loss easy arrest; one of the major reasons for the Fourth Book of the NTCC which of or damage to cargo) is now being intro- this has been high rates for counter- regulates the Law of Maritime Trade as this duced. Wilful misconduct and gross neg- security, i.e. the arresting party has to pro- regards the P&I club. ligence on the part of the carrier amounts vide a bank letter of guarantee, generally to the loss of the right to limit liability. up to 15% or even 20%, to the court in Carriers’ liability – the new regime Regarding Rotterdam Rules, Turkey order to arrest a vessel. The position will be While the present regime (TTK) is in has not declared its intentions yet about not the same under the NTTC. line with the Hague Rules, the NTCC whether to accept those or not. If the Under Article 1363 a fixed amount of creates a mixed system of Hague-Visby and decision turns out to be positive, then it EUR 10,000 has to be provided as counter- Hamburg Rules. As per Article 1178, the is obvious that the NTCC will have to be security for arresting a vessel. The same carrier is liable for loss or damage to the amended accordingly. Article also states that, upon application cargo as well as losses arising out of delay. of the opponent party and subject to the This seems to be the main essence of the Time charters consideration of the court, the amount of Hamburg Rules, and significant evidence Time charters are not included in the counter-security can be increased in of deviation from Hague-Visby Rules. present regime. As a positive improvement, accordance with factors such as TC rate. On the other hand, exceptions of lia- time charters are now within the NTCC, On the other hand, this Article has bility because of loss or damage to cargo but as a separate type of contract, i.e. they been criticized on the grounds that for are the same as in the present commer- have not been included with other types of small outstandings or damages and/or cial code, and similar to the Hague-Visby contract of affreightment (such as voyage losses, the counter-security amount (EUR Rules, i.e. errors in navigation and fire are charters), on the grounds that owners do 10,000) would be a factor discouraging straightforward exceptions, while perils of pass the right of use of commercial spaces the claimants from arresting the vessel. the sea, war, warlike operations, inherent of the vessel to the charterers for a specified By bearing in mind the present system vice, etc. are creating prima facie evidence time and do not undertake to carry cargo and its consequences (for example, for an for discharge of liability. under time charters. (As regards this as- amount of EUR 10,000 the claimants have A new rule has been introduced for los- pect, the draft was strongly criticized) to provide counter-security for the same
24 THE SWEDISH CLUB TRITON 1-2011 iStockphoto o: t PHo
The New Turkish Commer cial Code
amount under the NTCC, but EUR 1,500 cause (cases of justified cancellation are applicable to Turkish-flagged vessels under the present system) the Chamber expressly stated by TTK, such as war or directly. of Shipping has proposed a mechanism loss of the vessel and/or cargo, etc), they are similar to one granted to the opponents, obliged to pay half of the freight (and in IMAC i.e. after pro-viding the counter security of some cases even 2/3) as a penalty. Istanbul Maritime and Administrative EUR 10,000, claimants will have the right The NTCC has a different approach to Court (IMAC) was established in 2004 to to ask the court to reduce this amount. this matter. The owners have to prove that deal with matters and disputes arising out their losses arise from of an unjustified of the fourth chapter of TTK. During the Club letters of undertaking cancellation of the charter; if there are dif- period since 2004 some difficulties have Another improvement within the NTCC ficulties in determining the loss, the court been encountered, for example: according is the introduction of CLU’s (club letters may calculate the compensation as 30% to the by-laws of the Ministry of Justice, of undertaking). Under the present regime, of the total freight. (This percentage was IMAC is a special court, which can only letters of undertakings are not acceptable 10% in the first draft, but as a result of the have a single judge. However, time has at all by the courts; a bank letter of guaran- Chamber of Shipping’s initiative, it has proved that a system with a single judge is tee (unconditional and unlimited as to been increased.) not rational. Furthermore, the definition time) is a condition precedent to arresting a of the task of the IMAC as “matters and vessel or to releasing an arrested vessel. General Average disputes arising out of fourth chapter of This was naturally creating difficulties The present regime has a set of rules re- TTK” is making it impossible for IMAC and also discouraging the parties, as loss of garding general average. The NTCC is to deal with cargo indemnity cases, as, in time for the issuing of a bank letter of gua- changing this and without containing de- such cases cargo insurers based on subroga- rantee was encountered in most cases (due tailed articles, it simply refers to the latest tion are the claimants, but the issue of sub- to inter-bank problems); high interest rates York-Antwerp Rules being applicable at rogation is not covered by the fourth chap- were another factor discouraging parties. the time of the event. ter, but by the fifth chapter. (Insurance) Under NTCC, letters of undertaking In order to avoid those difficulties, the will be accepted by the courts, but this is Pollution NTCC introduces a full commercial court conditional, i.e. the opponent party has to One of the major changes introduced by (with three judges) which will only deal accept the CLU and also has to inform the the NTCC is a new chapter dedicated to with matters and disputes arising out of court consequently. pollution issues. The new chapter has two the fourth chapter of the NTCC as well sections. The first refers to CLC 1992/ as stemming from any other source of law, Cancellation of charter IOPC 1992, and the last governs the appli- which would be according same issues. – compensation of losses cation of those conventions. Further, depending on the requirements, Under TTK (the present regime), if the The importation of those conventions further IMAC’s can be established in dif- charterers cancel a charter without just into the domestic system also makes them ferent regions.
25 THE SWEDISH CLUB TRITON 1-2011
The Swedish Club Academy | New training providers/Out and Ab out with MRM
New MRM training providers
31 October 2010 MRM Workshop Leader Heikki Koivisto (front) of Satakunta University of Out Martin Hernqvist Applied Sciences, Rauma, Finland has just com- Managing Director pleted an MRM course for representatives of the The Swedish Club Academy AB TUDEV/Piri Reis University in Istanbul, Turkey. and About
Since the latest issue of The with MRM Swedish Club Triton, we have welcomed the following training establishments to our group: Hamburg Port Services GmbH, Hamburg, Germany Malaysian Maritime Academy (ALAM), Malacca, Malaysia Kherson State Maritime Institute, Kherson, Ukraine Novikontas Maritime College, Riga, Latvia Hindustan Institute of Maritime Training (HIMT), Chennai, India Odessa Maritime Training Centre, Odessa, Ukraine Odessa Maritime Training Centre (Kherson branch), Kherson, Ukraine Swayam Maritime Academy, Mumbai, India Reederei Hans Peterson & Söhne GmbH & Co KG, Rendsburg, Germany (c/o Hanseatic Shipping Philippines Inc., Manila, Philippines)
26 THE SWEDISH CLUB TRITON 1-2011
The Swedish Club Academy | New training providers/Out and Ab out with MRM
2-4 November 2010 The MRM Workshop Leader training and meeting event at Maritime Institute ”Willem Barentsz”, Terschelling, Netherlands, was attended by MRM training providers from ten different countries.
Continues
11 November 2010 Delegates of Reederei Karl Schlüter’s crew meeting in Opatija, Croatia, gathered for a photo. The main topic of the meeting was MRM.
27 THE SWEDISH CLUB TRITON 1-2011
The Swedish Club Academy | Out and About with MRM
16 November 2010 The organiser of the seminar in Mumbai, Capt K. N. Deboo of Anglo-Eastern Maritime Training Centre, welcoming the guests.
Introduction to MRM seminar in Mumbai, India. From left to right, Mr Kailash Gupta, Director, Shipping Corporation of India, Mr Amitava Banerjee, Chief Surveyor with the Government of India, Capt M. M. Saggi, Nautical Advi- sor to the Government of India, Dr Satish Agnihotri, Director General of Shipping & Ex. Officio Addition- al Secretary to the Govt. of India and Martin Hernqvist, The Swed- ish Club Academy. Out and About with MRM
21-23 February 2011 Participants on the island of Arkö, Sweden, at, what we believe to be the world’s first MRM course for pilot boat operators. The Swedish Maritime Ad- ministration aims at providing MRM training for all of their about 220 pilot boat operators over the next two and a half years.
12-14 January 2011 MRM course held at The Swedish Club Academy for of- ficers from the residence ship “The World”. Front row, left to right: Staff Captain Sverre Falch, Captain Erik Bredhe, Ship Security Officer Martyn Lancaster. Back row, left to right: Martin Hernqvist, The Swedish Club Academy, First Engineer Rune Bondal, Assistant Chief Engineer Morten Skarshaug and Joakim Vonasek, JV Maritime Consult- ing.
28 THE SWEDISH CLUB TRITON 1-2011
17-19 November 2010 Partici- pants at the MRM Workshop Leader training and meeting event in Mum- bai, India. Companies and training providers represented at the meeting were Anglo-Eastern Maritime Training Centre, BSM Maritime Training Centre for Advanced Learning, Hindustan In- stitute of Maritime Training, Malaysian 1 December 2010 MRM training for pilots is increasing. Maritime Academy (ALAM), OMCI Ship Here a number of German pilots have received their MRM Management, Samundra Institute of Workshop Leader training at the facilities of the Kiel pilots Maritime Studies (SIMS) and Wallem – Lotsenbrüderschaft NOK II/Kiel/Lübeck/Flensburg. Maritime Training Centre.
15 February 2011 MRM Workshop Leader Training at Marlow Navigation Ukraine in Odessa. Besides Marlow Navigation Ukraine the event was attended by the new MRM training providers in the Ukraine; Kherson State Maritime Institute, Odessa Maritime Training Centre and the Kherson branch of the Odessa Maritime Training Centre.
29 THE SWEDISH CLUB TRITON 1-2011
Club information | Staff Presentation
New underwriter Hans Filipsson Se lling a relationship
Carola Weidenholm Corporate Communications
Our new underwriter, Hans Filipsson, became a sailor at the early age of 16. Since then he has tried out everything from deck boy to chief officer for several Swedish shipowners. In 1988 he completed his Master Mariner Exam at Chalmers University of Technology and then decided to go ashore to work with claims, underwriting and lecturer, as as well as running his own business before finding his way to The Swedish Club last year. But lets jump back some years first; to 1999 to be precise, when Hans studied the supplementary course: “Commercial Management and Organization in Nautical Science” and felt inspired to do something new. That resulted in him founding the company Marconova Survey AB, where he was working as a marine consultant providing claims management to interna- tional underwriters. “I did this for ten years and during the time I also had recur- ring engagements as a lecturer at my old university. As I am a people person I found myself more and more looking forward to the teaching and interaction with the students,” he tells. And one thing lead to another; in 2009 he sold the company to Lars Krogius in Helsinki and for two years he worked as a lecturer in ship stability and tanker courses at Chalmers University before the yearning for the hot air as an under- writer caught up with him.
An understanding of the business Last year he was contacted by our HR Director Helena Wallerius Dahlsten, who expressed her and the Club’s interest in engaging him as an underwriter. ”From my earlier years as a broker and underwriter I had come to know the co-workers at The Swedish Club well and I regarded them to be very competent and professional to have dealings with, so when Helena called I felt both flattered and tempted by the offer.” says Hans. I have also been good friends for many years with Tord Nilsson, head of the Piraeus office, Kjell Augustsson at the Hong Kong office and Peter Andersson, head of Team III in Gothenburg, which made the decision even easier,” he continues.
Hans Filipsson, Underwriter, Team Göteborg III. 30 THE SWEDISH CLUB TRITON 1-2011
New underwriter Hans Filipsson Se lling a relationship P h o t o: o: Jonas Ahlsén Jonas
”The doors are open as the spadework has already been done”
Since six months Hans’ job is to keep in contact with bro- Hans in brief kers and shipowners at the Team III markets: Germany, the Name: Hans Filipsson Netherlands, the U.K. and North America. His background, Age: 49 years with the network that comes along with it, is perfectly suited Family: wife Christina and two to an underwriter as it has provided him with a wide know- children: Marcus 18 and Elin 13. ledge of the shipowning enterprise as well as terms and condi- Spare time: following the children’s tions. activities. Elin is into horse riding and “It is essential to understand the business of the client and Marcus, who played ice hockey for what it requires, particularly when you are not selling a pro- several years, is now a hockey referee. duct but actually a long-term relationship”, Hans explains. Hans likes to sail, both off the West ”I am also fascinated by the client meeting and the situations Coast and in the Mediterranean. He used to have a sailing boat in Turkey arising round the negotiation table; in general I really like to but for the time being he is satisfied have people around me!” says Hans. with his Jeanneau 35 in Sweden. He is also a member of the board at the Claims handling that opens doors Nautical Club. Once he owned a trot- In recent years The Swedish Club has carried out a marketing ting horse but it was an expensive drive which has sent echoes throughout the shipowning com- hobby; “even more time consuming munity. And it has paid off with strong finances, a good repu- than golf”, according to Hans. tation for supplying a high service level as well as a swift and Background: Several different posi- smooth claims handling with rapid payments when necessary. tions aboard for Ektank, Broströms “The Club has a very strong position as Lead in the hull mar- and Nordström & Thulin 1978 – 89. ket. We are one operator among very few in the business today, Studied at first to mate and then that can offer the highest level of service to shipowners and further to become Master Mariner in 1988. 1989-93 he went ashore to charterers. The majority of the marine insurance companies is work with claims and underwriting primarly signing follow risks and accordingly the level of ser- at the insurance company Skandia, vice is less important to them”, Hans explains. to move on to become a broker at “Our claims handling in general has a very good reputation Delta Insurance 1993-95. 1996-99 he for being swift and smooth, which make it much easier for me was a hull underwriter at Atlantica. as an underwriter to be let in by both shipowners and brokers. In -99 he also took a Diploma in The doors are open as the spadework has already been done,” Commercial Management and Hans says with a smile. Organization in Nautical Science and next he started his own business, Marconova, working with Marine Surveyors and P&I correspondents. In 2009 he sold the company and joined the Club in 2010. Of current interest: our new underwriter in Team Göteborg III at the head office in Gothenburg At The Swedish Club since: November 2010
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Club information | Staff Presentation
New Loss Prevention Officer Joakim Enström Wide experience of the seas
Carola Weidenholm Corporate Communications
From the depth of the seas, up to the surface and then ashore – in brief, that is how you can describe Joakim Enström’s way to the job as Loss Prevention Officer at The Swedish Club. He started his career in a navy submarine in the mid-90s but realised he preferred the water surface and decid- ed to become a deck officer. Four years at Chalmers University of Technology took care of that and he was ready for take-off. His first job was to master the open tourist boats of Gothen- burg, Paddan. But larger vessels caught his interest, so he con- tacted Royal Caribbean and a few months later he first moved to London almost directly to fly to Vancouver and sign on to the Radiance of the Seas. In summertime, he manoeuvred the 293 metre long ship through the narrow fiords of Alaska and in the winter he cruised around the islands of the Caribbean.
Saving lives About a year later he experienced his first real rescue. It was a night in June and they were sailing the Passage’s Hecate Strait on their way from Ketchikan to Vancouver. “We got a radio call at 4:55 am from the Coast Guard Station telling us three fishermen on the Silver Bounty had called in an SOS as they where beginning to sink, so we ramped up the speed and went there”, Joakim tells. “And it was within an ace; as the last of the fishermen were hoisted up by the crew onto a rescue boat, the Silver Bounty went fully underneath the surface”, he continues. The rescue was completed at about 6 am and everyone escaped the incident alive.
Widening the horizons During his years at Royal Caribbean, he made two detours to manoeuvre high speed crafts instead – first in the English Channel between Weymouth and the Channel Islands and later for a Canadian shipping company in warmer waters between Trinidad & Tobago. “At the latter I also took part in developing the enterprise in the Caribbean, which gave me new and useful experience of the industry”, says Joakim. In 2008 he added yet another experience when he went to the North Sea to operate anchor handlers for a Norwegian
Joakim Enström, Loss Prevention Officer. 32 THE SWEDISH CLUB TRITON 1-2011
Club information | Staff Presentation
New Loss Prevention Officer Joakim Enström Wide experience of the seas P h o t o: o: Jonas Ahlsén Jonas
”…the immediate cause of an accident, is rarely the root cause”
shipowner. At the same time he began to study Maritime Law in London. In July the following year it was time for an even bigger change when Joakim went ashore to join CMA Ships UK in London. “I have always taken a particular interest in safety at sea – I even wrote my final exam at Chalmers on “Crisis management for onboard crews”. As Deputy Safety and Security Manager, my job was to execute internal audits at the fleet, so it gave me a chance to learn more about a variety of ships and to see things from an auditors view.” After eight years in England, he felt it was time to move back Joakim in brief to his hometown and started to look around for interesting companies. He found The Swedish Club! Name: Joakim Enström “I sent an inquiry to Helena Wallerius Dahlsten, Director at Age: 35 years the HR department and she answered almost immediately ask- Spare time: Joakim spends quite ing me to come for an interview. Then it all went quickly; I got some time in the gym and often the job, found an apartment, got a vanload of furniture on the sees friends. He also goes to con- road and a couple of months after that I landed in Gothenburg certs, especially heavy metal. In win- just to start at the Club a few days later.” ter he likes skiing and in the summer he spends time at the family cottage by a lake in Värmland or sailing off Preventing accidents by root cause analysis the West Coast. Joakim has sailed a variety of ship types under several differ- Background: he did his military ent flags, which has given him an insight into the differences service aboard a submarine and after in both vessels and cultures, as well as the variety of situations that went on to Chalmers University that can arise on board. Added to that, he also has the legal of Technology to become a Master education with a degree in maritime law. Mariner 2002. Officer at Royal Carib- “The Swedish Club has over the years put a lot of efforts into bean 2002-2005, with two interme- the loss prevention work and Joakim’s mix of competence is a diate periods as chief mate on high strong combination for further development in that area, says speed crafts. 2005 officer on Crystal Lars A. Malm, Director of Risk & Operations at the Club. Serenity for Crystal Cruises. 2008 he “A large part of my job will be about Interactive Root Cause switched to manoeuvring anchor handler ships in the North Sea and Analysis (IRCA), where we look for the connections between studying maritime law in London. incidents when an accident occurs. An interesting observa- 2009 he went ashore to work as tion is for example that the immediate cause of an accident, Deputy Safety and Security Manager is rarely the root cause,” Joakim explains. We have to find the at CMA Ships in London. underlying causes to identify the real problems so we are able Of current interest: our new Loss to propose the right measures to prevent them from happening Prevention Officer at the Head Office again, he concludes. in Gothenburg At The Swedish Club since: October 2010
33 THE SWEDISH CLUB TRITON 1-2011
Club Information | News from Team Oslo Energy/Notice Board
The first risk Verner Rydning Senior Manager is written Team Oslo Energy
The Swedish Club has now established an office in proper has been very positive; the brokers are welcoming new and real premises in central Oslo, at the House of Business located at Scandinavian capacity. A good number of accounts are expect- Tjuvholmen close to Aker Brygge. Around 20 other smaller ed to be shown to us in this first year of operation. Some poten- recently established companies are renting on the same floor, tial clients/owners have already been visited, and many more and we share a staffed reception, meeting rooms and other will be seen during the course of this year, in full co-operation facilities. In the neighbourhood you will find the brokers with their preferred broker, of course. Marsh and Bergvall plus Gard and many owners within walking distance. In most ways a Rig/FPSO is handled in the same way as a vessel. The Swedish Club staff have been allocated to these The Club has a modern reinsurance programme for all risks, including claims handling and processing. lines of business. This programme has now been extended to include Rig & FPSO business. Our intention to enter this seg- We were kindly offered a participation on the Stena ment was discussed with some reinsurers at an early stage, and Drilling renewal on 1 March 2011. The fleet of drilling units reactions were positive. Subsequent to the decision made by consists of four semi-submersible drilling rigs and three the Board of Directors, several meetings have taken place with modern drillships, with a very large and modern drillship the reinsurance broker and the panel of reinsurers. Adequate scheduled for delivery from the shipyard in February 2012. capacity has been secured, mostly from large and professional We were offered a participation on the Gard quoted terms, and reinsurers in Europe and USA. we approved these and authorised a good share. Competition We can write up to USD 50 million for each Rig/FPSO, for the share was surprisingly tough, even for a fleet with a top applied on total value. This means that we can write up to 5% value in excess of USD 1 billion. However, we were allocated on accounts with a top value of USD 1 billion, and this capa- a significant participation and are very grateful to Parisco city is sufficient to attract the attention of brokers and owners. (broker) and Stena Drilling for supporting us. Total working capacity for this segment is estimated at around USD 1.5 billion, with a top value for any unit today of around Kristian Gamme, Senior Broker & Partner at Parisco says: USD 1.25 billion. “In the mid 80’ties nearly 15 Scandianvian based insurers wrote Energy Risk. Now it is a handful of markets left. We In November 2010 we started a marketing campaign much appreciate the entrance of The Swedish Club into the Rig aimed at brokers located in Oslo and London. The response & FPSO segment, capable of writing meaningful lines with
Notice Board President Obama is still to request the Senate’s Rotterdam Rules advice and consent, following which the Presi- In January 2011 Spain became the first dent may deposit the United States’ ratification nation to ratify or deposit their ratification of with the United Nations. The Rotterdam Rules the Rotterdam Rules with the United Nations. are intended to replace the current internation- The Rotterdam Rules will not be fully imple- al regimes of The Hague Rules, Hague-Visby mented until one year after they have been rati- Rules and Hamburg Rules in the respective fied by twenty signatory nations. countries that are signatories to those conven- Now that the first nation has ratified the tions. If the Rotterdam Rules are to become Rules, several other nations that have signed effective, it would be desirable that we do not the Convention may follow suit, though it is have yet another Convention on the Carriage likely that many nations may be waiting for the of Goods by Sea to which the United States is United States to ratify the Rules before acting not a party. accordingly. At present, we understand that
34 THE SWEDISH CLUB TRITON 1-2011
Club Information | News from Team Oslo Energy/Notice Board P h o t o: o: Stena
and there have also been some increases in the deductible lev- els. Competition between the markets and insurers for shares is increasing again, and the market is not as hard as it was du- ring the first few months after the April 2010 losses. There have only been a few larger renewals in 2011, accounts that were re- newed last year prior to the losses and we estimate that these re- newals have received an average increase of approximately 10%.
Most of the accounts renew during 2nd quarter 2011, possibly as much as 70%. Most clients want to avoid renewal of their insurances during the US Hurricane Season (summer/ autumn), as the market may be “shaky” if there are significant losses during this period. We hope to offer participation on around 25 accounts before mid-year. The Stena Drillmax, one of Stena's modern drillships. A year has gone by since The Swedish Club Energy a new and fresh capacity. Stena is also Gothenburg based and project started and it has been exciting days. The Club has we, together with our valuable client, have decided to allocate now commenced underwriting Rig & FPSO business. I very a good line on the Stena Drilling Package Policy that was re- much enjoy doing the marketing of our capacity and capabili- newed at 1 March 2011 to The Swedish Club.” ties aimed at the broking and client community, together with Ingela Tengelin, Director Risk and Insurance Management Henric Gard, Marketing & Business Development Director. at Stena adds: “We think The Swedish Club has taken the In the past I was underwriting Energy Risks for 15 years, right steps to diversify and start underwriting of Rig & FPSO before going into broking in the mid-1990s. The experience I accounts out of Oslo. Our support will hopefully contribute to gained as a broker is most valuable. I understand the risks and their development of expertise within this business segment.” the client’s needs better now, and I certainly know the broker’s role. The Club intends to build a solid book of Rig & FPSO After the two major losses to the rig market in April business over the next few years. 2010, leading insurers have been requesting increased rates,
security are restricted, it will be particularly critical for members Iranian sanctions – Important in case of a vessel detention/arrest situation. implications for members! The Club has experienced situations in Iran where security for cargo claims and custom fines was required. According to As has been advised previously, the sanctions regarding the claimants, a Club Letter of Undertaking (LOU) would be Iran set out in EU Council Decision of 26 July 2010 and Regu- accepted, but the requests for security exceeded by far EUR lation (EU) No. 668/2010 prohibit EU-based entities from ma- 40,000. Due to the sanctions, the Club was prevented from issu- king payments in excess of EUR 40,000 to an Iranian person, ing the required LOU’s, resulting in an obvious risk of delay of entity or body unless the payment has been authorized by a com- the vessel. As a consequence, the member had to take their own petent authority. As far as the Club is concerned, the Swedish measures in order to ensure the security arrangements filling the Agency for Non-Proliferation and Export Controls is authorized gap between the allowance of EUR 40,000 and the requested to assess and grant permission and receive notifications regarding security sum, in these matters several hundred thousand Euros. financial transactions. Due to the authorities’ turnaround time, Members operating in Iran are recommended to observe the the permission required for payments in excess of EUR 40,000 foregoing. can take several weeks to obtain. Since the clubs’ abilities to issue
35 THE SWEDISH CLUB TRITON 1-2011
Club information | News from Asia P h o t o: iStockphoto
Hong Kong from Victoria Peak.
P&I renewal Ruizong Wang Managing Director is behind us Hong Kong It is time to make some observations on the marine insur- average one newbuilding panamax each day. Similar number ance and shipping market. The process of our P&I renewal in of capes are also in the pipeline this year. The newbuilding Asia was uneventful. We generally achieved our target of 2.5% tonnages will put further pressure on the already weak freight general increase on the risks renewed. By and large we renewed market. In some sectors the daily earning of a ship is not all the accounts and the volume of business maintained. enough to cover the running costs. Some shipowners have been However P&I renewal has never been easy, and there was planning to lay up ships. no exception for this last one even though the Club’s general The poor freight market conditions will have some negative increase was moderate and relatively speaking lower than those impact on marine insurance. We may see premium reductions of many of our peers. The rationale for the general increase was due to lay-ups and reduced shipping activities. We have already sound and justified as the general trend of the shipowners’ seen a reduction in chartering activities in the dry bulk sector liabilities are continuing to rise and the P&I claims are getting in the last few months, hence fewer declarations in respect of more expensive due to inflation. However, this came at a time charterers’ liability covers. We hope that with a recovery of the when the freight market is depressed to say the least, particu- world economy some more demand will be created, and the larly for both dry and wet bulk markets. freight market will recover. Some shipowners are under a lot of pressure to cut costs to prepare for the difficult time ahead. The BDI (Baltic Exchange Dry Index) which reflects dry bulk market conditions went down steadily from about 3,000 points to about 1,000 points in the last couple of months. Then it rebounded slightly, but has stayed below 2,000 points so far. It appears that the mar- ket attitude is quite pessimistic. There is no sign of a quick recovery. On the contrary, there is still a large order book for bulk carriers. Some sources suggest that over 300 panamax newbuildings are due to be delivered to the owners in 2011, on
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Club information | News from Piraeus P h o t o: Nikos Kokkalias Nikos
The port of Piraeus. It seems as if our philosophy Tord Nilsson Area Manager is working Team Piraeus One of the Club’s most vivid supports, Captain Vassilis As I write this we have just concluded the P&I renewal. 2010 Constantakopoulos, has passed away at the age of 76. Captain was a pretty good year, or actually one of the best years that we Vassilis not only built up a great shipping company, a mining have had. We have renewed most fleets and added some new company and developed a resort in his home region, but was accounts during the year. It was an interesting renewal and we also, together with his wife Carmen, an ambassador of Greek got to see quite a lot of business from other clubs, mostly from goodwill who made everybody in his vicinity feel important those with members unhappy with renewal terms or disap- and appreciated. With his generosity and friendliness he made pointed with service. The polarization between the P&I clubs many friends and formed strong business relationships. He will is increasing and one understands why some of the clubs are be missed by many of us and there will always be a special place in trouble when we see deductible levels and claims records on in the heart of many Swedish Club employees for him. The some fleets. We, on the other hand, are trying our utmost to be companies that he left behind are in good hands and are being fair to our members. It seems as if this philosophy is working, looked after by his three sons Costis, Achilleas and Christos. because we are able to offer almost the lowest average premi- * ums per GT within the International Group. Today we also The last few months have seen a major drop in freight rates for have one of the highest free reserves per GT and we are able to bulkers, and in combination with Korea Line seeking court attract a lot of new tonnage. protection quite a few owners have seen income drop in this I also feel that our Greek and Middle-Eastern members and segment. Tankers are still struggling though the container the brokers with whom we place business have bought into our market has improved in the last 12 months. High government concept. The ability to renew business is not about being a good debts in many countries will force tax increases in many places underwriter and offering the right premiums, but it is about and is likely to hamper demand. China, India and to some ex- giving our members good service throughout the year seven tent Brazil and the middle-east are where the economic activity days a week and 24 hours a day. The team at the Greek office hopefully can kick-start demand. It was also nice to read about has done a really good job during the year, and I would like to Sweden as being the “tiger economy” of Europe – who would thank everybody for their efforts. ever have thought that?
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Club Information | News from Team I P h o tO : Stefan Eliasson Stefan
As clear as it can get to avoid unpleasant surprises. ”No cold Tony Schröder Area Manager showers” Team Göteborg I
As most OF you re by now well aware, the shipowners shipowners are still struggling and facing harsh market reali- of the Board of the Club decided on a General Increase of ties. 2.5% for P&I policy year 2011/2012. We are pleased that The We continuously aim at being our members’ long term part- Swedish Club for two consecutive years has been one of the ner and as such being sensible, pragmatic and prudent in regard clubs’ with the lowest annual increase among the International to our underwriting. By introducing a minor adjustment of Group of P&I Clubs. The modest increases seen in the light 2.5% for the above-mentioned obvious reasons, we hope that of an ever increasing claims environment and, of course, the we will not surprise our members with sudden large increases basic monetary inflation that over time diminishes the value in the future, by imprudently undermining the Club’s finances of money, have been very positive news for our members. The in the short term. Members have been extremely helpful and Club has now managed to balance its books for yet another seen the rationale for the clubs position; although negotiations year; this, coupled with an excellent healthy growth, where pre- are sometimes tough, this year being no exception. miums are commensurate with risks, has greatly exceeded our Our goal – in the concept of mutuality – is always to do our expectations. utmost to treat all members equally. Staying true to our values This is no easy task in a very competitive market, and we are and keeping on the prudent and mutual path of underwriting humbled by the keen interest that is currently shown for the we hope to be the stable associate that we aspire to be, and Club. We (that is to say the Club and its members represented hopefully, there should be no surprises in terms of general by the shipowners of the Board) know that recovery after the increases for our good members in the years and times to come. 2008 financial turmoil has been a hard undertaking for many No cold showers! members, and we are well aware that some markets and some
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Club Information | News from Team I Club information | News from Team III P h o t o: o: Stefan Eliasson Stefan
Lookout in Gothenburg maritime adventure centre. ”We have Peter Andersson Area Manager hopes of 2011” Team Göteborg III It appears that 2010 was one of those rare good years We have an exceptionally good crew onboard and we have for the marine insurance market as a whole. Part of the expla- been trusted with new members from a wider range of brokers. nation is the performance of investments; another is the benign The result for 2010 was a bit better than expected, showing loss outcome. The latter is mainly attributed to layup and slow technical underwriting surplus from all classes of insurance. steaming as well as less congestion in approaches and ports. At What is more, the outcome of the recent 1 January and 20 least so we believe. February renewals were in line with expectations. It may be premature to predict a return to normal, but one Crew changes: Kristoffer Lindqvist, LL.M, has left Team III observation may be worth noting. In December 2010, a so far for a one-year assignment in Team Pireaus. We wish Kristoffer benign loss outcome started to “normalize”, and 2011 so far all the best in Greece and hope to welcome him back in a year’s seems to be following the pattern of a “normal” year. Seasoned time. Jennie Hagward, LL.M, joined Team III in March and readers know what a normal year means to the marine insuran- we wish her welcome onboard. ce market. We have high hopes of 2011 becoming a better than expec- It is not instinctive in humans to go against the majority. Yet, ted year for shipping and we will continue doing our utmost to when an in-depth examination indicates that the majority is assist members to not be put in harm’s way. likely to be wrong, we need to make our own way with a lower probability of disappointment. We know from own experience, and the market will come to learn, that current market levels are not sustainable unless there is an exceptional year like 2010.
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Club Information | Basic Facts/New Members/Bohus Fortress
Basic facts per 1 April 2011 Protection & Indemnity (including Charterer’s Liability) Number of vessels 1,410 Average age 9.3 Bohus fortress GT (million) 48.0 Freight Demurrage & Defence Number of vessels 737 – a Northern struggle Average age 8.5 GT (million) 28.6 In Sweden you find several fortresses standing Hull & Machinery as memories from ancient times. Then, they Number of vessels 1,389 where indispensable for kings to protect their Average age 9.7 GT (million) 59.6 land; today they are acting more as symbols for something solid, sustainable and safe that Loss of Hire Number of vessels 531 survives any storm or unrest. Average age 8.9 For the third consecutive year we are borrowing GT (million) 20.1 their attributes to form a theme for our annual report. Now the time has come to Bohus Fortress, New Members 20 km north of Gothenburg. Borealis Maritime Ltd., Germany PI, FO Greathorse Ship Management, China PI
Guangdong Yudean Shipping, China Carola Weidenholm HM Corporate Communications Leif Höegh & Co. AS, Norway HM, HI, LH Negmar Shipping Investment A.S., Turkey PI, FO Bohus Fortress stands on a high cliff along the old Norwegian–Swedish border in OSG Shipholding Group, USA LH Kungälv, where River Götaälv splits into two branches. The construction began in Rederi AB Gotland, Switzerland 1308 under King Haakon V Magnuson PI of Norway. At the time the province of SSC-Ships Service and Consulting Bohuslän was Norwegian and served as a GmbH & Co KG, Germany HM, HI, LH, PI main defence against Sweden. Records show it was constructed, as Starship SA, Greece normal for that period, out of granite and As Swedish invasions continuously threat- FO brick. By 1450 it included a continuous ened in this period, the improvements Stena Drilling Ltd., Sweden surrounding wall, 3 metres thick at the went on for decades. EM base, with a height of 8.5 to 13.5 metres, Under the Treaty of Roskilde in 1658, SwissMarine Services S.A., Switzerland varying with the terrain. It was approxi- Denmark-Norway ceded Bohuslän to HM, HI mately rectangular, with four corner Sweden. Since the fortress no longer lay Zhenhua Translink Shipping, China towers. on the border it was of less use to Sweden, TL, FC which relied on the existing Älvsborg Finally Sweden won! Fort-ress at Gothenburg and Carlsten
The fortress was invested numerous times, Fortress erected at Marstrand. These two EM - Energy Marine but was never captured. During the Nordic have already figured in our 2008 and 2009 FC - Charterer’s Freight Demurrage & Defence Seven Years’ War (1563-70) it was serious- annual reports. FO - Freight Demurrage & Defence HI - Hull Interest ly damaged, when 250 Swedish soldiers HM - Hull & Machinery stormed the north-eastern tower. The Prison & demolition LH - Loss of hire Norwegian commander sent a volunteer Instead the fortress was used as a prison. PI - Protection & Indemnity TL - Charterer’s Liability Insurance to blow up the ammunition stores under- The most infamous inmate was the radi- neath, killing the Swedes and repelling cal pietist Thomas Leopold, who spent 32 the attack. Bohus Fortress was rebuilt and years of his life at Bohus – where he also reinforced immediately afterwards and in died in 1771 – for his alleged heresies. His 1593-1604 it was upgraded to a bastion. stone cell can be visited at the castle today.
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Club Information | Basic Facts/New Members/Bohus Fortress Club information | Out and About
Christmas Dinner in Greece – December 2010 The traditional Christmas Dinner in Greece was, as usual, held at the Yacht Club. The dinner was well attended by members and
P h business associates. The guests were o t
o: o: entertained by the Scandinavian Anna Jolfors Anna Church Choir, for the evening strengthened by some beautiful Among the distinguished guests were Dr & voices of the Club’s staff. Mrs John Coustas, Danaos Shipping Co Ltd…
At the end of the 18th century it was decided that the unused fortress should be demolished. Demolition crews worked for two months before the money ran out and residents of the surrounding town of Kungälv used the dressed stones for building houses. Much of the fortress is still intact, including the large northern tower “Fars hatt” (Father’s hat), and is now a museum open to tours in the summer.
Bohus Fortress in short Built: 1308 Materials: granite, brick In use: 1308-1789 Controlled by: Norway, Denmark-Norway and Sweden Read more at: www.bohusfastning.com …and Mr and Mrs Andreas Callitsis & son Nassos, Callitsis Shipmanagement S.A.
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Club information | Out and About Club Evening Gothenburg On 16 November last year The Swedish Club held a Club evening in Gothenburg. Participants heard Lena Gipperth from The Swedish Institute for the Marine Environment at the University of Gothenburg and Fredrik Vinge from the Vinge law firm discussing the liabilities concerning shipwrecks which leak oil and other ecologically harmful substances.
From left Fredrik Vinge, Vinge, Gothenburg, Lena Gipperth, The Swedish Institute for the Marine Environment at the University of Gothenburg and Henric Gard, Director Marketing & Business Development at the Club. Traditional Christmas Dinner at the island of Donsö
On 14 DecembER 2010 the Club gathered members from the southern archipelago of Gothenburg to enjoy the traditional Christmas Dinner at restaurant “Isbolaget”.
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Club information | In Memoriam/Staff News Staff News
Head office Göteborg
Victor Bogesjö Ingrid Andersson, has accepted permanent Senior Hull Claims employment and been Adjuster, retired from appointed Claims the Club on 28 February Exeutive in Team 2011 after 43 years of Göteborg I. dedicated service to the Club and its members. We wish her all the Jennie Hagward, best for the future and Assistant Claims a happy retirement. Executive, joined Team Göteborg III on a one- Thomas Carlsson, year traineeship as of 1 Systems Engineer, has March 2011. She holds a resigned from the Club business-oriented LL.B after 21 years of service. Captain Vassilis C. from the University We wish him all the best of Gothenburg and an in his future career. Constantakopoulos LL.M in Maritime law from Southampton. in Memoriam Ingalill Dahl, Jenny Herlin, Underwriting Assistant, We have THE sad duty informing you Communications retired from the Club on that Captain Vassilis Constantakopoulos, Assistant, joined 28 February 2011 after founder of Costamare Shipping, passed Corporate 41 years of dedicated away on 25 January 2011. Costamare has Communications service to the Club and been a member of The Swedish Club since as of 7 March 2011. its members. We wish 1979, and Captain Vassilis served as a She holds a Bachelor her all the best for the most valued board member from 1987 to of Arts in Media and future and a happy 2005, of which the last five years as Communication and retirement. Deputy Chairman. has previously worked Captain Vassilis was known for his as an Information Göran Lindholm, warm heart and business skills. He com- Assistant and Marketing Systems Engineer, bined these qualities in pursuing oppor- Coordinator. retired from the Club tunities and in inspiring others both on on 31 January 2011 land and at sea. Apart from building Erik Johansson after nearly 14 years of Costamare successfully in the container has been appointed dedicated service to the trade, he designed Costa Navarino, an Underwriter in Team Club and its members. environmentally friendly resort featur- Göteborg I as of 1 We wish him all the ing state-of-the-art facilities in Messinia, January 2011. best for the future and from where he originated. His concern a happy retirement. for the environment, which started at a time when few others were involved in the PIRAEUS same way, was also at focus of his work Louise as Chairman of HELMEPA (Hellenic Kolderup-Finstad Kristoffer Lindqvist, Marine Environment Protection Associa- has accepted permanent Claims Executive, tion). employment as FD&D joined the Whilst we miss Captain Vassilis’ caring Underwriting/Team Club’s Piraeus office on personality, his endeavours will be trea- Assistant in Team 1 March 2011 for a one sured and always remembered. Göteborg III. year assignment.
Lars Rhodin Managing Director
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Club calendAr
13 April 2011 Club Evening, Hamburg 14 April 2011 Club Evening, Bremen 2-6 May 2011 Marine Insurance Course, Gothenburg 11 May 2011 Member Luncheon, Piraeus 12 May 2011 Member Luncheon, Istanbul 15 June 2011 Board Meeting, Gothenburg 16 June 2011 Annual General Meeting, Gothenburg
For further upcoming events, please refer to www.swedishclub.com/Club Calendar
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