THE DEVELOPMENT OF THE P&I CLUB AS A PROTECTION FOR INDONESIAN CARRIER

Mohd. Kamarulnizam Abdullah (1) , Irma Rachmawati (2)
(1) Institute for Malaysia and International Studies (IKMAS), Universiti Kebangsaan Malaysia (UKM) , Malaysia
(2) Magister Kenotariatan Universitas Pasundan (UNPAS) Bandung , Indonesia

Abstract

Sea transportation experiences risks and material loss in its operation. The most significant risks include damage to the vessel and sea pollution due to ship collisions and accidents. The carrier should prioritize the risks. When the underwriter does not cover the risk, the shipowner should establish an association covering the loss among the members to the extent the underwriter does not cover it. This study will examine the importance of the Rule to P&I Clubs and its impact on Indonesian carriers and will also find the differences between P&I Club and Insurance. The research adopts Library Resarch Method, dogmatic legal approach, a descriptive and analytical nature.  Due to the method, the following sources have been used: Convention law, domestic legislation, case law, legal textbooks, journal articles, P&I Club Rules, preparatory works, and websites of international organizations and law firms. P&I CLUB covers many accidents which are not covered by any marine insurance. In pollution accidents, P&I covers every detail of the impact of pollution. The difference between P&I Club with marine loss insurance, in general, is that P&I Club covers the loss/damage more extensively, which is not covered by any marine insurance.
Keywords: Protection, Indemnity, Carrier.

Full Article

Generated from XML file

References

Al-Feky, A. (2018). Marine P&I Insurance and the Cover of the Third Party. History, 124, 28–31.

Anderson, C. B., & de la Rue, C. (2010). The Role of the P&I Clubs in Marine Pollution Incidents.

Boulton, M., & Sandborn, C. (2010). Financial vulnerability assessment: who would pay for oil tanker spills associated with the Northern Gateway pipeline. Environmetal Law Centre, University of Victoria., 13–13.

Cheong, S. M. (2011). The role of government in disaster management: the case of the Hebei Spirit oil spill compensation. Environment and Planning C: Government and Policy, 29(6), 1073–1086.

Cho, D. O. (2010). Limitations of 1992CLC/FC and enactment of the Special Law on M/V Hebei Spirit incident in Korea. Marine Policy, 34(3), 447–452.

Departemen Perhubungan. (n.d.). Implementasi P&I Bagi Kapal Nasional.

Director of Sea Communication of the Ministry of Transportation. (n.d.). Final Report Kajian Analisis Trend Kecelakaan Transportasi Laut Tahun 2006-2011.

Hao, H. (2019). Analysis and Enlightenment of the Main Disputes in the Korean Courts’ Judgments of the Hebei Spirit Oil Pollution Incident. China Oceans L. Rev., 151.

Heazelwood, S. (n.d.). P&I In Practice. 131.

Jia, L. (2016). The loose tendency of the “Pay to be Paid” rule of P&I clubs. Penerapan P&I Club Bagi Kapal Indonesia (Research Report).

Knapp, S., & Franses, P. H. (2010). A comprehensive review of the maritime safety regimes: present status and improvement recommendations. Transport Reviews, 320(2), 241–270.

Kontan.id. (2011). Indonesia punya P&I Club untuk amankan operasi kapal. Www.Industry.Kontan.Co.Id.

Lai, K. H., Lun, V. Y., Wong, C. W., & Cheng, T. C. E. (2011). Green shipping practices in the shipping industry: Conceptualization, adoption, and implications. Resources, Conservation, and Recycling, 55(6), 631–638.

Lin, M. T. (2009). A selective appraisal of the P&I insurance system with special reference to claims for personal injury, illness, and loss of life.

Liu, J., & Faure, M. (2018). Risk-sharing agreements to cover environmental damage: theory and practice. International Environmental Agreements: Politics, Law and Economics, 18(2), 255–273.

Mee, L. D., Jefferson, R. L., Laffoley, D. D. A., & Elliott, M. (2008). How good is good? Human values and Europe’s proposed Marine Strategy Directive. Marine Pollution Bulletin, 56(2), 187–204.

Merkin, R. (2011). Marine Insurance in Maritime Law (Second Edition). Sweet & Maxwell.

Omer, A. M. (2008). Energy, environment, and sustainable development. Renewable and Sustainable Energy Reviews, 12(9), 2265–2300.

P. Bennett. (2000). Environmental governance and private actors: enrolling insurers in international maritime regulation. Political Geography, 19(7), 875–899.

Purwendah, E. K. (2016). Penerapan Regime Tanggung Jawab dan Kompensasi Ganti Rugi Pencemaran Minyak oleh Kapal Tanker di Indonesia. Jurnal Komunikasi Hukum, Universitas Pendidikan Ganesha Singaraja, 2(2), 138.

Purwendah, E. K., & Periani, A. (n.d.). Value Of Justice Replacement Of Oil Pollution Damaged By Tanker Accident In Indonesia’s Law System.

Semark, D. (2013). P&I Clubs: Law and Practice. Informa Law from Routledge.

Siregar, M. (2012). Beberapa Masalah Ekonomi dan Manajemen Transportasi. Lembaga Penerbit UI.

S. Kristiansen. (2013). Maritime transportation: safety management and risk analysis.

Sugiyanto. (2009). Hukum Asuransi Maritim Protection&Indemnity (P&I) Insurance.

Trace, K., & Sien, C. L. (1998). Handmaiden of Trade: A Study on ASEAN-Australia Shipping. ASEAN and Australian Shipping Policies.

Varela Chouciño, M., Echebarria Fernández, J., & Hjalmarsson, J. (2023). Insurance of Marine Autonomous Surface Ships: Risk Allocation, Seaworthiness, and Technological Challenges from an Underwriter’s Perspective. Springer International Publishing.

Winter, R. A. (1991). The liability insurance market. Journal of Economic Perspectives, 5(3), 115–136.

Zhu, L. (2014). Probing compulsory insurance for maritime liability.

Authors

Mohd. Kamarulnizam Abdullah
Irma Rachmawati
irma.rachmawati@unpas.ac.id (Primary Contact)
Author Biographies

Mohd. Kamarulnizam Abdullah, Institute for Malaysia and International Studies (IKMAS), Universiti Kebangsaan Malaysia (UKM)

Lecturer Institute for Malaysia and International Studies (IKMAS), Universiti Kebangsaan Malaysia (UKM)

Irma Rachmawati, Magister Kenotariatan Universitas Pasundan (UNPAS) Bandung

Dosen Magister Kenotariatan Universitas Pasundan (UNPAS) Bandung

Article Details