NorthStandard’s Strike & Delay class has added Weather Cover to its range of risks, offering shipowners and charterers insurance protection against adverse weather conditions that can pose a threat to ships.
he marine insurer has introduced a new marine insurance product that provides coverage for up to eight days in the event of a ship being delayed in or outside a port due to bad weather. This offering is part of their Strike & Delay package.
Despite significant improvements in forecasting capabilities, weather continues to play a crucial role in ship strandings, as well as causing disruptions in voyage planning and necessitating route diversions. Nick Rowe, Head of Strike & Delay, NorthStandard, reports a growing number of requests from members for the Club to extend its ‘Onshore’ cover to mitigate these risks.
Unfavourable weather poses a consistent threat to shipowners and charterers, and the expenses associated with unexpected conditions can be significant
… stated Rowe. As NorthStandard explains, port closures can result in vessels being unable to leave or requiring them to stay at sea or take an alternative route. Both situations can result in extended wait times and result in substantial financial setbacks.
NorthStandard has extended its weather cover to include the risk of delay to ships caused by named storms, wind, swell, fog, and unexpected rain and ice.
Cover for up to eight days is provided if a ship experiences delays at any port, berth, sea-lane, or navigable waterway, regardless of whether the port authority officially closes due to weather reasons.
The launch of the new cover has received support from various committee members such as Alpha Bulkers & Pantheon Tankers, Astra Shipmanagement, Bunge, d’Amico, Mandarin Shipping, Swire, BSM, and Ultrabulk.
NorthStandard has developed a tool for underwriting weather after listening to the market and analysing data from its in-house resources and third parties. We also anticipate that this coverage will evolve and adapt to member trading patterns.
… said Tim Huxley, CEO of Mandarin Shipping and chair of the committee
The scale of NorthStandard’s Strike & Delay capability will be important for supporting underwriting innovation, as claims will be handled from six regional hubs across Asia, Europe, and the Americas.