Kadir DOLU ( Atty, LL.M. )
TABLE OF CONTENTS
ACKNOWLEDGEMENT7
ÖZET .9
ABSTRACT .11
TABLE OF CONTENTS .13
ABBREVIATIONS 17
INTRODUCTION.21
SUBJECT MATTER, AIM AND QUESTIONS 21
Role of Insurance . 21
Role of Marine Insurance. 22
P&I Insurance and the Subject Matter and Aim 23
Questions Raised 25
SCOPE AND STRUCTURE . 27
APPROACH AND METHODOLOGY. 28
AN OVERVIEW OF MARINE INSURANCE.31
BRIEF HISTORY 31
TYPES OF MARINE INSURANCE OF WHICH P&I IS A PART 33
Marine Cargo Insurance. 33
Hull and Machinery Insurance (H&M) . 34
Protection and Indemnity Insurance (P&I) 35
P&I Defined . 35
Claims Covered 37
Legal Framework. 44
Statutory Framework . 44
Contractual Framework 45
In Terms of Insurance Law. 45
In Terms of Law of Obligations 47
Other Types of Marine Insurance 51
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III. HISTORY OF P&I INSURANCE .53
EVOLUTIONARY BACKGROUND 53
Impacts of the Bubble Act 1720 and the Period Theretofore . 53
Decline of the Hull Clubs and Increasing Liabilities of
Shipowners 55
From Protection Plus Indemnity Onwards. 58
Reinsurance and the Pooling System. 59
Moving to Offshore Countries . 61
PROVIDERS AS OF TODAY. 62
P&I Clubs 62
Legal Structure 62
Constitution and Management. 63
Correspondents and Brokers 64
Club Membership 66
Traditional Insurance Companies 68
ROLE AND FUNCTION OF THE “PAY TO BE PAID” RULE WITHIN THE
CONTEXT OF THE DISTINCTIVE FEATURES OF P&I INSURANCE .71
THE “PAY TO BE PAID” RULE. 71
The Condition Precedent . 71
Conditions and Measure of Indemnity 73
Doctrine of Subrogation in the Policy 75
Legal Doctrines Reinforcing the Indemnity Principle 75
Subrogation in Terms of P&I Insurance 76
On the Part of Clubs . 76
On the Part of Third-Party Claimants . 78
Problems Arising out of Its Application . 79
Establishment and the Ensuing Problems. 79
Erosion Towards the 21th Century 81
The Current Situation 82
PRINCIPLE OF MUTUALITY 83
Role and Function in the Policy . 83
Significance on the Part of Third-Party Claimants . 86
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NON-PROFIT-MAKING BASE . 87
CLAIMS HANDLING . 89
SIGNIFICANCE OF COMPULSORY INSURANCE AND DIRECT ACTION
AND THE IMPACTS OF THE “PAY TO BE PAID” RULE THEREON91
THREE-TIERED PROTECTION . 91
Compulsory Insurance . 91
Direct Action 93
Waiver of “Pay to Be Paid” 93
LEGAL FRAMEWORK . 95
Under International Law 95
CLC 1992, FUND 1992, and the Protocol of 2003 95
BUNKERS 2001 100
WRC 2007 102
HNS 2010. 104
PAL 2002 106
IMO Guidelines 109
MLC 2006 and the Amendments of 2014 . 111
Under Supranational Law. 115
Under National Laws 115
English Law. 115
Scandinavian Law 118
American Law 119
Turkish Law . 121
PERSPECTIVE OF CLUBS 123
CONCLUDING REMARKS 127
VII. ACADEMIC SOURCES 135
PRIMARY SOURCES . 135
Convention Based Regimes 135
National Regimes . 137
Table of Contents 16
