We recognise the commitment the shipping industry has made in their move to embrace Risk Management coupled with Safety at Sea.

Insurers wish to be better able to differentiate the degree of commitment that individual operators apply.

This Questionnaire has been designed to enable insurer’s to give credit and so offer tangible benefits to owner. This is to be applied in the form of premium allowances. A high degree of emphasis has been placed regarding the human element both in the office and on-board ship.

OVERALL COMPANY MANAGEMENT

Do you issue direct contracts with your Senior Officers?*

Clear selection

Do you issue direct contracts with your Other Officers?*

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Do you issue direct contracts with All Crew?*

Clear selection

Do you have ship familiarisation programmes specific for the ship they will work with and their positions?*

Clear selection

In advance of embarking ship for officers?*

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In advance of embarking for all crew?*

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During first week on board for officers?*

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During first week on board for all crew?*

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Do you verify the certification and endorsement source of your Officers?*

Clear selection

Is the verification outsourced?*

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If outsourced is the company ISO approved?*

Clear selection

Do you provide a continuance and individual supplementary training programme that ensures that the Bridge Officers are made aware in advance of implementation of any new Rules and Regulations?*

Clear selection

Do you provide a continuance and individual supplementary training programme that ensures that the Engine Room Officers are made aware in advance of implementation of any new Rules and Regulations?*

Clear selection

Do you employ single nationality crew?*

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Do you employ single nationality officers/single nationality ratings?*

Clear selection

Please state the common language used on board.*

Clear selection
EMERGENCY PREPARDNESS

Are you a member of SERS or any other equivalent emergency response system?*

Clear selection

If yes, how many SERS emergency exercises did you complete within the last year?*

Clear selection

How many near misses did you record in your Register last year?*

Clear selection

Were any of the near misses used as a basis for SERS exercises (see above)?*

Clear selection
AUDITS

How many internal audits did you carry out last year?
Please provide the name of the individual in charge of internal audit.*

Clear selection

Regarding your internal audit, how many nonconformities did you record in the last year?*

Clear selection

Please comment on areas of improvement learnt from nonconformities.*

Clear selection

Please specify the number of Vettings (commercially initiated technical audits) External audits per vessel insured.*

Clear selection

Please specify the number of Port control External audits per vessel insured.*

Clear selection

Please specify the number of Flag External audits per vessel insured.*

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Safety Management Systems. How often are they audited?*

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How often are they revised?*

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Please give name of external accreditation body.*

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MAINTENANCE STRATEGY

Hull Maintenance Program. Do you maintain a system beyond what is required for IMO Enhanced Survey Program?*

Clear selection

Machinery Maintenance Program. Do you maintain a Class Approved System with “Class” Certified Ships Marine Engineers?*

Clear selection

Fluid Analysis System. Do you employ a Class Society Service in respect of bunkers?*

Clear selection

Technical Expertise. What is the Superintendent to Ship ratio?*

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Do you employ Naval Architects?*

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VESSEL OWNERSHIP

If vessels preowned, how many previous owners has each vessel had? Please supply details for each ship.*

Clear selection
CLASSIFICATION SOCIETY FORMALISED TRAINING

What formal Training Courses have your staff attended where certificates have been awarded? (COURSE / CERTS. AWARDED)*

Clear selection
ISM CODE CERTIFICATION

Name of organisation issuing the office ‘Document of Compliance’ Certificate*

Clear selection

Name of organisation(s) issuing the ships’ ‘Safety Management’ Certificates*

Clear selection
ADDITIONAL CLASS CERTIFICATES

Please list all the additional certificates awarded by the Classification Society beyond that required for the class of vessel, e.g. ESP, HSS, IBS, IFP, NAV, NAV1, FDA, SDA, CM, SEA, MARINER, etc.)*

Clear selection
INTERNATIONAL SHIP AND PORT SECURITY CODE (ISPS)

Name the organisation issuing the International Ship Security Certificate (ISSC)*

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Is ISSC on board and valid?*

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Is Ships Security Plan in place and maintained?*

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Are Security records maintained?*

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Are the CSO and the SSO adequately trained and have sufficient knowledge to discharge their duties and to maintain crewmembers trained and alert?*

Clear selection
CONTACT DETAILS

NAME*

Clear selection

EMAIL*

Clear selection

NOTES TO ENHANCED QUESTIONNAIRE

NB: THESE NOTES DO NOT FORM PART OF THE POLICY. THEY ARE FOR GUIDANCE ONLY.

Although at first glance the questions asked do not appear to be particularly detailed, they have been designed to be simple and easy to use, but will give a good picture of the style of the ship operating company. Indeed, they will assist in showing how committed the company is to running a quality operation.

These questions will also demonstrate to the ship operator that the Underwriter has developed a better understanding of the shipping industry.

A high degree of emphasis has been placed on the “soft” or human elements, reflecting the acknowledgement that it is human error that creates incidents that may well result in financial loss. Owners who are committed to running safe and quality operations are well aware that this is key. They will be proud to demonstrate this to underwriters. As in all concerns the quality of people is the most precious resource.

These notes are deliberately simplistic in approach and are not meant to convey that the reader lacks any knowledge or proper understanding of the subject matter.

The UK House of Lords Select Committee, review of the causes of ship losses concluded the following

− Poor level of training and experience among officers and crew in the merchant fleet.

− Poor design.

− Inadequate equipment.

− Incomplete repairs.

− Incorrect loading and overloading

This review was undertaken in 1836! Remember it is not the motorcar that causes the accident, but the driver or the level of maintenance applied or both. It is not the shotgun that kills, but the finger on the trigger and the training and attitude to safety, which the bearer applies.

Comments on specific questions

A ship operator may well use a crewing agent like an employment agency to find their crew, but the importance then is do they give the individual a direct contract, thereby installing a relationship between crew and owner. The crew know that after their leave they will be going back to the same ship or a sister ship. They will gain a feeling of belonging and importantly a feeling of responsibility. There will also be a certain degree of peer pressure. If crew are third party why should they bother so much? It is similar to the company car syndrome.

Under ISM prefamiliarisation should take place. However, as all ships are very different it is much better if you have an idea of what to expect before being dropped in at the deep end. Of course, on shore training will add to the owners cost.

Fraudulent certificates are a major problem. The individual may have the correct certificate but does he have the right endorsement to operate the vessel concerned? You may be an airline pilot but you can’t fly all types of aircraft! This question is looking for the owner who bothers about making sure his people are what they say they are.

Supplementary training is now recognised as being important even in the insurance industry! Continuous education and assistance in achieving promotion shows a caring company. It is more important, but only just, that the bridge officers are trained. It is the bridge officer who is ultimately responsible for the safety of the vessel and her safe navigation, cargo, loading and storage. If underwriters grouped the following casualties together collision fixed and floating, grounding, stranding and stabilityrelated, these would exceed machinery related claims.

Communication is vital, especially in an emergency. Owners who operate single nationality crew have safer records. It is not just language that is important, but cultural aspects including eating habits and religion.

Although the above may be ideal, it is recognised that the next best option is an homogenous grouping of officers and crew. A quality owner is unlikely to have a high mixture of nationalities. Poles, Koreans, Filipinos etc.

The better prepared for an emergency helps to avoid having a disaster on your hands, or an incident that results in an insurance claim.

SERS hopefully that is selfevident.

It is no good having the system unless you know how to use it!

Under the ISM code all owners must have a register, BUT do they record incidents, do they encourage their crew to report incidents and thereby engender a culture of learning or do they bury their heads in the sand. Perhaps worse, do they create an atmosphere of fear and criticism.

By using something that is pertinent to that ship or fleet the exercise will take on more reality. Audits are compulsory under ISM, but the ISM code certification states there must be two within five years. The point again is that we are looking for those owners who go beyond the minimum and who have fully endorsed the spirit of the code.

Internal Audits will depend on the number of vessels but will point to an attitude; they do not have to do them annually under the Code. By obtaining the name of the individual, the underwriter should make a point of asking to meet with this individual when visiting the company. The underwriter will then get an even better view of how the company is run. The individual will also feel pleased to be recognised and that his work is important to others.

NonConformities ISM states that there must be a register, but it is the recording and evaluation that is important.

ISM says within the 5 years, it should be annually. If no revision takes place, what is the point?

Again the ISM states there must be a SMS but if these are not reviewed and revised there is little point. It also demonstrates a caring organisation.

The questions and issues above revolve around the culture of the company and will easily paint the picture of the ethos of the operator. An understanding of the way the company operates and is structured will be reflected in the vessels. This area has often been overlooked by the marine insurance industry. By concentrating on obtaining a better understanding of the culture employed onshore, more effective and cost efficient knowledge may be gained. It is easier to review the trunk of the tree than all the branches. Survey the company and one will not need to conduct surveys of the vessels to the same degree!

ISM states that there should be various maintenance programs. Classification Societies amongst others can provide them and allow for easy verification of them. These programs are NOT expensive hundreds not thousands of dollars. Even a brand new vessel needs maintenance, even if the builders say otherwise. It shows the owner is protecting his asset and is less likely to be relying on others to do so.

This provides for maintaining the structural integrity of the vessel and if Class provided a certificate and monitoring is provided.

Class will check that the Chief Engineer is qualified and understands the particular machinery he is in control of. Further, Class will allow certain works to be carried out to maintain classification.

The independent checking of the quality of fuel and lubricants taken on board at each bunkering prior to sailing helps protect against costly engine failure. It is simple and cheap.

It is recommended that one superintendent can effectively look after between 68 ships.

One naval architect for two superintendents. A small operation of say 4 ships may well use a consultant.

One careful lady owner is the analogy. The more times a vessel has changed hands, the more problems will occur. Remember the days of a choke to start a car, the owner knew how to start his car, but a stranger did not. An old ship well run and maintained is the same as an old car that has been loved. A new car in the hands of the wrong person who thrashes it also does not last for too long.

The introduction by the Owner of the International Ship Security Certificate (ISSC), as part of the ISPS Code, after it became mandatory in July 2004, is something the underwriters are now looking favourably upon.

If the underwriter was to give a credit of a maximum of 20 points, with an average of 2 per section in the Questionnaire, a simple, transparent and effective underwriting tool will be developed. Owners are well aware that insurance underpins their operation, that underwriters intrinsically have the right to a high degree of knowledge. They understandably want proactive recognition when they have gone beyond statutory requirements.