Risk Management & Insurance

The operation of any ocean-going vessel carries an inherent risk of catastrophic marine disasters, death or personal injury and property losses caused by adverse weather conditions, mechanical failures, human error, war, terrorism, piracy and other circumstances or events. The occurrence of any of these events may result in loss of revenues or increased costs or, in the case of marine disasters, catastrophic liabilities.

Our planned insurance is going to be comprehensive and fully compliant with existing standards, although we cannot insure against all risks, and we cannot be certain that all covered risks are adequately insured against or that we will be able to achieve or maintain similar levels of coverage throughout a vessel 's useful life. There can be no guarantee that any specific or minor claim will be paid by the insurer. More stringent environmental regulations at times in the past have resulted in increased costs for, and may result in the lack of availability of, insurance against the risks of environmental damage or pollution. We plan the traditional range of main and liability insurance coverage for our targeted vessels to protect against most of the accident-related risks involved in the conduct of our business.