Braemar: Ask Questions to Cut Casualties, Costs
Underwriters should be asking more questions at the time of placing or renewing marine insurance to reduce the risk of major incidents and cut unnecessary costs, suggests Braemar (Incorporating The Salvage Association).
Speaking at the International Union of Marine Insurance annual conference in San Diego last week, Regional Director for the Americas, Richard Gayton, said the vulnerability of vessels to both attritional and major losses should not be masked by the label of human error. He called for underwriters to ask more detailed questions when rating or determining the need for a Risk Assessment survey to ensure these vulnerabilities were properly identified at the time of placing.
With manning levels having more than halved in the past sixty years and automation on board resulting in fewer technical personnel , Mr Gayton pointed out that recruiting surveyors to survey damages, review tenders, monitor repairs and approve costs will ultimately significantly reduce restoration costs when casualties do occur.
“Underwriters play a pivotal role in our market, having driven necessary industry changes in the past whilst industry players have dragged their heels. More pointed questions by underwriters at placing, especially regarding crewing levels and training, could make a real difference to restoring unjustifiable deficiencies, and so cutting casualties and costs.” he said.