Merchant Shipping (Maritime Labour Convention) Act 2014 · 2020 Revised Edition · Part 6 · Medical Care and Treatment
34. Financial security requirement
Feedback & supportLast amended by an amending law of 2020. 3 amendments in all.
Unless the requirement in subsection (2) is met, a shipowner must not allow the shipowner’s ship —
shipowner
“shipowner”, in relation to a ship, means the owner of the ship, and includes —(a)the registered owner; or(b)in the absence of registration —(i)the person owning the ship; or(ii)any other person (such as the ship manager, agent or bareboat charterer) who has assumed responsibility for the operation of the ship from the owner and who, on assuming such responsibility, has agreed to take over the duties and responsibilities imposed on shipowners in accordance with the Convention, whether or not any other organisation or person fulfils certain of the duties or responsibilities on the shipowner’s behalf;
to go to sea; or
if it is already at sea, to remain at sea.
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.
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the Work Injury Compensation Act 2019 or the Work Injury Compensation Act (Cap. 354, 2009 Revised Edition) repealed by that Act; and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.
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.
seafarer
“seafarer” means any person, including the master, who is employed or engaged or works in any capacity on board a ship, but does not include —(a)a pilot;(b)a port worker;(c)a person temporarily employed on the ship during the period it is in port; and(d)a person specified in an Order made by the Authority, with the approval of the Minister, declaring the categories of persons not to be regarded as seafarers;
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.
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.
Director
“Director” means the Director of Marine appointed under section 4 of the Merchant Shipping Act 1995 and includes the Deputy Director of Marine appointed under that Act;