The Builder's Risk insurance policy is designed to cover a vessel and related property and materials from the start of construction or conversion through the final (re-)delivery to the owner. Coverage can be placed for the builder or owner of the vessel and insures against physical loss or damage to the vessel and collision liability and protection and indemnity exposures during sea trials and delivery. Cover can be extended to include Post-delivery guarantees.
The single risks policy can be written for the construction of a specific vessel and a declaration policy can be used for ongoing construction operations of the builder by including many vessels within a specific agreed policy period.
A Ship Repairers’ Liability policy is designed to protect the shipyard against liability claims for damage to vessels under refit/repair by the shipyard.
In order to provide underwriters with a thorough understanding of the nature of the risk they are insuring and to provide meaningful risk management and reduction guidance to the yards, a JH143 survey is intended by an independent surveyor. The analysis has the sole purpose of evaluating possible risks involved in shipyards’ operations and/or premises and to assist the yard in defining possible risk reduction measures.