Find it faster with Advanced Search

 

Joint War Committee

The Joint War Committee comprises underwriting representatives from both the Lloyd’s and IUA company markets, representing the interests of those who write marine hull war business in the London market. Click here for a list of current Committee members and Committee Terms of Reference.  

Listed Areas

The current Listed Areas are detailed in JWLA020, revised in June 2013.
Rules for the Use of Force
Contrary to some reports, JWC is not and will not be reviewing RUF. The progress made on the subject will be discussed in committee as a matter of information for underwriters. RUF are an issue for lawyers, security companies, the ship owners who engage them and P+I insurers. Physical damage underwriters are ancillary to that debate but contingently affected when things go wrong because damage can be exacerbated. 


Gulf of Guinea
There have been continuing attacks off of Benin and Nigeria since mid 2011 resulting in a number of cases where the ship has been hi-jacked and a significant part of the cargo of gasoil has been stolen - losses range from $2m to $6m.

Somalian Piracy
It has been confirmed that the crew of the Iceberg 1 were released on Decenber 23rd following action by the Puntland Maritime Police Force after being in captivity for two years and 9 months.  

In the light of the ongoing threat, owners are often opting for the protection of security detachments. The standards of the personnel vary and there are as yet no widely adopted accreditation procedures which underwriters could use as a measure of quality. SAMI (Security Association for the Maritime Industry) made some progress with checking security company credentials and IMO has recently produced some guidelines for owners and flag states on parameters for security companies.

However, flag states have generally failed to clearly specify whether they allow armed guards, thus leaving legality an open question. The UK insurance position will in the first instance take account of Section 41 of the MIA, the implied warranty of legality under English law.

The area where ships are potential targets remains enormous. The JWC considered the increased range of the pirates given their use of substantial motherships and expanded the Listed Area acordingly. Pirate activity continues, although for the time being, at a reduced level. The lack of countries willing to prosecute captured pirates means that considerable numbers of captured pirates have simply been released to sail again. The US Executive Order effectively requires insurers to contact OFAC should they be involved in a piracy case. 

EUNAVFOR believes that voyage registration is falling and over 25% of vessels transiting the Gulf of Aden fail to register with MSCHOA or report to UKMTO and are therefore unable to benefit fully from the naval protection which is available. In one sample of incidents, out of 15,000 vessels which registered their transits, only 2 were taken.

Information

Best Management Practice

The current version is BMP4. This version includes details of self-protection measures and a feedback request to masters on the effectiveness of the anti-piracy actions taken by the vessel. Maintaining vigilance, and reporting to UKMTO and MSCHOA are fundamental but only part of what prudent owners should do. It is clearly necessary for adequate training and regular practice to be given to crews to enable them to respond effectively when under attack or threat. Low speed and low freeboard remain factors which significantly increase the vulnerability of ships.

UKHO has produced this chart which neatly summarises the situation.

Somalia background 

Bulletins/Circulars

The following circulars have been issued by the JWC, including the latest Listed Areas, released 12 June 2013.

12 Jun 13  |  JWLA/021 Hull War, Strikes, Terrorism and Related Perils Listed Areas
28 Mar 12  |  JWLA020 Hull War, Strikes, Terrorism and Related Perils Listed Areas
08 Dec 11  |  JWLA019 Hull War, Strikes, Terrorism and Related Perils Listed Areas
01 Aug 11  |  JWLA018 Hull War, Strikes, Terrorism and Related Perils Listed Areas
03 Mar 11  |  JWLA017 Hull War, Strikes, Terrorism and Related Perils Listed Areas
27 Jan 11  |  JW2011/001 BMP in the Indian Ocean – Specific Information Requests
16 Dec 10  |  JW2010/009 Increased Range of Somalia-Based Piracy
16 Dec 10  |  JWLA016 Hull War, Strikes, Terrorism and Related Perils Listed Areas
29 Nov 10  |  JW2010/008 Access to EUNAVFOR Information on BMP Compliance
02 Aug 10  |  JWLA015 Hull War, Strikes, Terrorism and Related Perils
09 Jun 10  |  JWLA014 Hull War, Strikes, Terrorism and Related Perils.
21 Apr 10  |  JW2010/002 US Piracy Executive Order Questions
20 Apr 10  |  JW2010/001 US Piracy Executive Order
11 Mar 10  |  JWLA013 Hull War, Strikes, Terrorism and Related Perils
10 Sep 08  |  JW2008/002 Defensive Measures
27 Aug 08  |  JW2008/001 Aden Update

Wordings

The JWC issues wordings and clauses from time to time which are available for market use. In 2005, working in conjunction with JHC, JWC produced wordings which allow underwriters to put the piracy peril into the war policy.

The most recent wordings issued by the committee are listed below. Further information on these can be obtained from the committee Secretary.

Contact us

Neil Roberts Neil Roberts
Senior Executive, Underwriting

Links