Ukraine Conflict - FAQs regarding reporting of vessel calls to Russia
In Notice to Members No.2 2022/2023 we explained that Members must now report to the Club all vessel calls to Russia and transits through Russian territorial waters, and the regulatory basis for this new requirement. We now set out below some of the Frequently Asked Questions we and other Clubs have received on the Notice.
The information below sets out our best understanding of the current legal requirements imposed on the Club and its Members under the UK Russia (Sanctions) (EU Exit) Regulations and its accompanying General Trade Licence.
May we take this opportunity to remind Members, wherever they are based, of the need to report their vessels calls to Russia and transits through Russian territorial waters within one month of doing so to the Club and that a failure to do so may invalidate the vessel’s P&I insurance cover and/or prevent the Club from covering a claim.
Although the Club is domiciled in and regulated by the insurance authorities in Luxembourg, the fact that the Manager’s office in London provides “insurance-related services” as defined by the relevant UK legislation, such as the management of policies and claims handling, may be sufficient to bring insurance policies underwritten by the Association within scope. In addition, the fact that the servicing of insurance contracts in all the Clubs offices may be performed by UK nationals (to whom the regulations apply regardless of domicile) may also be sufficient to being those offices within scope.
The Managers are currently seeking clarification from the UK Government on this point, but we believe it to be prudent to collect the data in case it is confirmed that West is subject to these Regulations.
The Member can only provide the Club with such accurate information as is available at the time that information needs to be submitted. That may be the original named consignee specified in the bill of lading or other transport document at the time it was issued (or the consignee may simply be described as “to order”). Or it may be the holder of the bill of lading by way of endorsement at the time the bill is surrendered to the carrier (i.e. the receiver).