This document only provides a summary of the key features of the insurance. You will find all the terms and conditions in the policy conditions.

What is this type of insurance?

The cover relates to defence cover provided by the NNPC for "Freight, Demurrage and Defence" disputes.

Extra information

Cover is provided for legal disputes in which the member or insured is involved which related to the insured vessel and includes both the

assistance of the NNPC’s in-house claimshandlers and legal advisers as well as for appointed lawyers and experts up to the limit as set out in the policy.

What is insured?

The policy provides cover for legal disputes arising in connection to the insured vessel.

Extra information

The policy also provides cover for any costs award against the member or insured.

Limit of cover

The limit of cover under the policy is Euro 100,000.- unless otherwise stated in the policy.

What is not insured?

  • The policy does not provide cover for disputes which relate to the vessel’s Hull & Machinery policy or matters which relate to employment disputes or disputes between members and assureds. Disputes which exist at the time the policy is taken out are also not covered, nor is there cover for matters which are excluded under Class 1, P&I risks.

Extra information

There is no cover for default risks and related claims.

Are there any restrictions on cover?

The policy can only be taken out if the member or insured has also taken out a policy for P&I risks with the NNPC (Class 1).

Extra information

In the event that a dispute relates to the recovery of salvage or towage, the legal costs up to 5% of the amount claimed shall be for account of the member or insured.

The discretion of the Board of Directors

The Board of Directors always has the discretion to refused to cover a dispute under this polis or to apply limitations or additional terms and conditions as it may deem appropriate. The Board may also refuse to provide further cover under this policy if it deems appropriate.

Extra information

The Board of Directors may decide to exercise its discretion for example if the member or insured refers the matter to a lawyer without approval of the NNPC, if the matter is reported too late and this results in additional costs or risks, or if the member provides incorrect information or does not co-operate in the assessment or handling of the matter.

Where am I covered?

The policy provides world-wide cover.

What are my obligations?

The member or insured is obligated to timely notify the NNPC of any matter which falls under the policy and to provide the NNPC with all relevant information and documentation. The member or insured is also obligated to pay the premium by the due date.

When and how do I pay?

The payment of premium is required by quarter or bi-annually, as agreed.

When does the cover start and end?

The policy will commence and end on the dates referred to in the policy. The insurance will also be terminated when the P&I policy is terminated (for example in the event of a sale or bankruptcy of the insured vessel).

How do I cancel the contract?

The policy can be terminated at the end of the policy year, subject to notice being given of no less than 2 months.