Shoreline - the alternative view Since the introduction of the Oil Pollution Act 1990, we have witnessed a period of tremendous uncertainty in the shipping industry. Uncertainty has produced hostility. and dialogue between shipowners. through their P & I Clubs, and the United States Coast Guard has been cold. A positive response was required and Shoreline Mutual has been established to provide this response. Operating alongside the P & I Clubs. Shoreline Mutual provides cover up to US$300 million any one accident, and provides the guarantee for the Certificate of Financial Responsibility required under Section 1016 of OPA. Shipowners worldwide are faced with ever mounting costs in an environment which is imposing increasingly heavy burdens. Shoreline aims to ensure that the cost of this particular liability is passed on so that the burden is shared, ultimately with the public whom OPA 90 was established to protect, thereby minimising the impact for everyone. Shoreline Mutual has been established as the alternative approach to OPA 90. We believe that Shoreline Mutual will become the essential approach. SHORELINE MUTUAL (BERMUDA) LTD 1 RULES Memorandum and Bye-laws These rules are subject to the Memorandum and Bye-laws of Shoreline Mutual (Bermuda) Limited, a company registered in Bermuda. Copies of the Memorandum and Bye-laws are available on request from the managers. 2 Class of Cover Offered by the Association 3 (a) The Association offers Protection and Indemnity (P & I) cover for actual or threatened discharges of oil from an entered ship into or upon navigable waters. adjoining shorelines or within the exclusive economic zone of the United States of America as defined in the US Oil Pollution Act of 1990 and in any legislation of a State of the United States of America to the same effect and (b) release or threatened release of a hazardous substance from an entered ship into the Rule 19 lists the liabilities covered. Where there is a conflict between rule 19 and the Definitions In these rules the following definitions are intended. "The Association”. Shoreline Mutual (Bermuda) Limited. "Associated Company”. in relation to any member, a holding company, wholly owned subsidiary company, or fellow wholly owned subsidiary of the same holding company. "Directors", a quorum of the directors of the Association meeting as directors. "Dollars" or "$", United States dollars. "Entered Ship". a ship entered in the Association and one in respect of which evidence of financial responsibility is required pursuant to section 1016 of the US Oil Pollution Act of 1990. "Evidence of Financial Responsibility", evidence of financial responsibility for oil pollution as defined further in rule 19. "Fleet Entry". the entry of more than one ship by one or more members on the basis that those ships will be treated together as a fleet for underwriting purposes. "Hazardous Substance", such substances as are defined in section 101 of the US Comprehensive Environmental Response Compensation and Liability Act of 1980. "Hull Policy", an insurance policy covering loss or damage to the hull and machinery of a ship, including any excess liability policy. "Managers", Shoreline Mutual Management (Bermuda) Limited. "Member". any owner of an entered ship, or co-assured member as defined in rule 9. "Oil”. such oil as is defined in section 1001 of the US Oil Pollution Act of 1990 or in the legislation of any State of the United States of America and other territories, as defined in section 1001 (36) of the Oil Pollution Act of 1990. to the same effect. "Owner". an owner, part owner, charterer, mortgagee, trustee, operator, manager, or builder of a ship or an associated company of any of these. "Policy Year", a year from noon UTC on the date specified by the directors from time to time as the commencement of the policy year. |