P. &. I Clubs Law and Practice

Page 365


P&I Club Reinsurance and the International Group of P&I Clubs


24.1 The liabilities imposed on shipowners can amount to potentially enormous claims against their P&I Clubs. To fund such cover is theoretically quite simple under the mutual system by virtue of the fact that claims can be met by the members’ mutual obligation to contribute by way of unlimited calls. This system of having a “whip-round” to meet unexpectedly large claims was, however, partly responsible for the demise of a number of old mutual clubs where members could not predict their premium contributions in advance and often found themselves unable to cope with unexpectedly large emergency or supplementary calls.

The rest of this document is only available to i-law.com online subscribers.

If you are already a subscriber, click Log In button.

Copyright © 2024 Maritime Insights & Intelligence Limited. Maritime Insights & Intelligence Limited is registered in England and Wales with company number 13831625 and address 5th Floor, 10 St Bride Street, London, EC4A 4AD, United Kingdom. Lloyd's List Intelligence is a trading name of Maritime Insights & Intelligence Limited.

Lloyd's is the registered trademark of the Society Incorporated by the Lloyd's Act 1871 by the name of Lloyd's.