Singapore legislation
Section 34
Section 34
Financial security requirement
(1)
Unless the requirement in subsection (2) is met, a shipowner must not allow the shipowner’s ship —
to go to sea; or
if it is already at sea, to remain at sea.
(2)
The requirement mentioned in subsection (1) is that there is in force a contract of insurance or other financial security —
that is contracted with, or provided by, an approved financial security provider;
that is adequate to ensure that the shipowner will be able to meet any liabilities the shipowner may have —
arising from the shipowner’s obligation to repatriate a seafarer; or
to provide compensation in the event of death or long‑term disability to seafarers arising from occupational injury, illness or hazard; and
that contains such terms and conditions, and meets such other requirements, as may be prescribed.
(3)
The liabilities of the shipowner referred to in subsection (2)(b) include liabilities arising under —
sections 23(9), 24(1), 35, 36 and 37;
the Work Injury Compensation Act 2019 or the Work Injury Compensation Act (Cap. 354, 2009 Revised Edition) repealed by that Act; and
the seafarer’s employment agreements of seafarers working on the ship.
(4)
Where an approved financial security provider has made any payment to a seafarer under a contract of insurance or other financial security mentioned in subsection (2) for a liability arising from a shipowner’s obligation to repatriate a seafarer, any right which the seafarer has (or but for that payment would have had) against the shipowner as a result of the liability is, with respect to the amount of payment made, transferred to and vested in the approved financial security provider.
(5)
Any person who contravenes subsection (1) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $10,000 or to imprisonment for a term not exceeding 12 months or to both.
(6)
In this section, “approved financial security provider” means a provider of insurance or other financial security that has been approved by the Director under section 34A for the purposes of this section.