Circular No. 3/97 - Tankers Trading to the United States



To: Members of the AssociationFebruary 19, 1997


Dear Member;Circular No. 3/97


Tankers Trading to the United States

1997 Policy Year


Clubs whose members carry persistent oil to or from the United States will again have to pay an increased contribution towards the cost of the International Group Pool and the Excess Loss Reinsurance Contract. This additional cost will be passed on to the members concerned.


The new rates, which reflect the reduction in the cost of reinsurance, are set out below. As in the current policy year a lower rate per ton will apply to tankers equipped with segregated ballast tanks (SBT) in accordance with the requirements of Regulation 13 to Annex 1 to MARPOL 73/78.


The rates for 1997 will be as follows:


non-SBT tankers SBT tankers


(A) Tankers of more U.S. $0.18 U.S. $0.16per entered ton, each U.S. voyage

than 3,000 gt


LOOP or lightening U.S. $0.09 U.S. $0.08per entered ton, each U.S. voyage



(B) Tankers of 3,000 U.S. $540 or U.S. $480 oreach U.S. voyage per annum

gt or less U.S. $10,800 U.S. $9,600



Otherwise the terms, including the 20-voyage "cap", are unchanged.


Parcel Tankers


Special considerations will continue to apply to parcel tankers which are defined as:


ships constructed or adapted primarily to carry cargoes of noxious liquid substances in bulk, and capable of carrying at least 10 grades simultaneously, having been issued with an international certificate of fitness for the carriage of dangerous chemicals in bulk.


Parcel tankers can be separately declared and treated as tankers under 3,000 gt, except for U.S. voyages where more than 5,000 tons of persistent oil are carried, in which case the voyage premium charged will be based on the full gt, i.e., $0.18 per gt.




Unless previous arrangements have been made with the Managers, the Club's cover for all tankers capable of carrying oil in bulk will incorporate the following Exclusion Clause:



"Excluding any and all claims in respect of oil pollution arising out of any incident to which the U.S. Oil Pollution Act 1990 is applicable."



The Exclusion Clause will apply unless Members agree to undertake (1) to make quarterly declarations as specified on the attached forms, and (2) to pay the additional premium required in respect of voyages to or from the United States or to U.S. waters. The Exclusion Clause will be lifted, however, for all Members who paid the additional premium for the 1996 year to the American Club or to ITIA. Such Members need not take any action until the first declaration form is due to be returned, unless they wish the Exclusion Clause to be reinstated, in which case they should contact the Managers.


Voyage declaration forms for each of the four quarters ending May 20, 1997, August 20, 1997, November 20, 1997 and February 20, 1998 are attached to this circular. Members should state explicitly on the declaration forms if vessels are equipped with SBT's as defined above, or if not so equipped. In the absence of an explicit declaration, it will be assumed that vessels are not equipped with SBT's, and the higher rate of additional premium will apply. Definitions of U.S. voyages and persistent oils are shown on the back of the declaration forms, although the lists are not exhaustive. Members should contact SCB if further forms are required.




Yours faithfully,

Shipowners Claims Bureau, Inc., Manager






Joseph E.M. Hughes

Chairman & CEO






To: Members of the AssociationFebruary 21, 1997


Dear Member;Circular No. 3/97


Tankers Trading to the United States

1997 Policy Year



Regarding the above circular no. 3/97 sent out on February 19, 1997, the attachment (U.S. Voyage Quarterly Declaration form) was inadvertently left out of the mailing. We are enclosing the form now for your use.