MEOclassIIexamnotes

Subrogation is the legal right of the insurer to step into the shoes of the insured after paying a claim and recover the loss from the third party responsible. Definition After indemnifying the insured for a loss, the insurer acquires the right to recover damages from the party who caused the loss. 👉 It is based on the principle of indemnity . Why Subrogation is Important? Prevents the insured from getting double compensation Helps the insurer recover claim amount Ensures the actual wrongdoer pays How It Works (Example) A ship is damaged due to negligence of a port crane operator . Shipowner claims insurance. Insurer pays ₹10 crore as compensation. Insurer then sues the port authority to recover ₹10 crore. ➡ This right to recover is called subrogation . When Subrogation Arises? After the insurer has paid the claim Loss must be caused by a third party Insured must not waive rights against third party without insurer’s consent Types of Subr...

AIS (Automatic Identification System) should normally remain ON at all times . Switching it OFF is allowed only under specific circumstances and must follow proper procedure. When AIS May Be Switched OFF As per SOLAS Regulation V/19 : If the Master believes AIS operation compromises ship’s safety or security Piracy risk area Security threat Naval/military instructions Flag State or Company security procedures permit it AIS Switch-Off Procedure (Step-by-Step) Master’s Decision Only the Master can authorize switching OFF AIS. Risk Assessment Assess navigational, security, and traffic risks. Ensure radar, ARPA, ECDIS, and lookout are fully effective. Inform Bridge Team All watchkeepers must be informed. Extra vigilance to be maintained. Switch OFF AIS Transmission AIS may be set to: Silent mode (preferred, if available), or Power OFF (if silent mode not available) Log Book Entry (Very Important) Record in Deck Log ...

The IAPP (International Air Pollution Prevention) Certificate consists of Form A or Form B annexed to the certificate. What is Form B? Form B is attached to the IAPP certificate for ships fitted with an Exhaust Gas Cleaning System (EGCS) 👉 commonly called scrubber-fitted ships . Form A vs Form B  Form A                     Form B For ships without scrubber                          For ships with scrubber (EGCS) Compliance by low sulphur fuel                          Compliance by equivalent method Simple fuel sulphur limits                                              Detailed EGCS particulars No EGCS details      ...

 A code of conduct is a set of rules and ethical standards that define acceptable behavior responsibilities and discipline of seafarer while onboard and shore Purpose: Safe , professional and disciplined operation Maintain good order and morale Prevent misconduct , accidents Protect company reputation

PR 16 – Shipboard Incineration Regulation 16 deals with control of shipboard incinerators. Key Points: Incineration of certain substances is prohibited , such as: Annex I, II & III cargo residues PCBs Garbage containing heavy metals Ozone-depleting substances Incinerators must be: Type-approved Operated as per manufacturer instructions Must maintain: Incinerator log Temperature control monitoring Crew must be trained  Never burn: Plastics containing halogen compounds Sludge not approved for incineration Cargo residues PR 17 – Reception Facilities Regulation 17 deals with port reception facilities. ✅ Key Points: Ports must provide adequate facilities for: Oily residues Sewage Garbage Exhaust gas cleaning residues (scrubber sludge) Facilities must be: Without causing undue delay Ship must: Report inadequate facilities to flag state / IMO GISIS

Blockchain is a decentralized, distributed digital ledger that records transactions securely and transparently across a network of computers. Once data is recorded, it cannot be altered without consensus of the network.  Key Characteristics Decentralized – no single controlling authority Immutable – records cannot be changed Transparent – all participants can verify data Secure – uses cryptography Traceable – complete transaction history How Blockchain Works (Simple) Transaction is initiated Data is verified by network nodes Transaction is grouped into a block Block is linked to previous block (chain) Block is permanently stored  Applications in Shipping & Maritime  1. Documentation Electronic Bill of Lading Charter party contracts Certificates & survey records  2. Supply Chain Transparency Cargo tracking Prevents fraud & document tampering Real-time status visibility  3. Smart Co...

 The Principle of Subrogation states that: After the insurer pays the insured for a loss, the insurer acquires the legal right to recover that amount from the third party responsible for the loss. It is based on the principle of indemnity .  Why This Principle Exists Prevents double compensation to the insured Ensures the actual wrongdoer pays Protects insurer from unfair loss How It Works (Marine Example) Ship is damaged due to negligent stevedores . Shipowner claims under hull insurance. Insurer pays compensation. Insurer then sues the stevedore to recover the amount. ➡ The insurer “steps into the shoes” of the insured. Legal Provision (India) Under Section 79 of Marine Insurance Act, 1963 : Upon payment of loss, the insurer is subrogated to all rights and remedies of the insured. Key Features Applies only after claim payment Loss must involve a third party Insured must not waive rights without insurer’s consent Insurer c...