Several the mainstream protection and indemnity insurers are warning shipowners and their crew to closely monitor the spread of the coronavirus.
So far there have been 540 confirmed cases of the disease, mostly in China, and 17 deaths.
Although the virus, which originated in the inland region of Wuhan, is not viewed as an immediate threat to crew, Steamship Mutual’s Hong Kong office chief executive Rohan Bray said there are number of issues to consider if the threat grows.
It could even lead to ports being quarantined, he suggested.
“If the prevalence of the virus increases, the shipping industry can expect to see the same sorts of issues arising as with prior severe disease outbreaks,” he said in a loss prevention note Steamship Mutual members.
“ Apart from the obvious danger to crew members of contracting the illness at a port in an infected area, port authorities may institute reporting and quarantine measures to guard against the spread of the disease from vessels that have previously called at infected ports, and in the most severe cases of outbreak ports may be closed altogether.”
He said there are issues for shipowners to consider if this happens including charter party disputes and force majeure.
However, he pointed out that even at the height of the ebola virus crisis ports remained open.
“At this point in time there would appear to be no reason to consider any port unsafe because of the Wuhan virus, and the scale of any epidemic would have to escalate substantially before owners could consider legitimately refusing to call at scheduled or ordered ports on account of the safety of the crew,” he added.
But Bray advised owners entering charters to consider adding related clauses to new contracts.
“While it is still ‘early days’ in terms of the Wuhan virus, if the outbreak does become more widespread owners and charterers entering into new fixtures would be well advised to consider incorporating specific clauses along similar lines,” he said.
In a similar loss prevention note, the UK P&I Club warned that the situation is “fast changing”.
It urged shipowners to monitor the situation explaining that the situation could change daily.
“Loss prevention measures will vary by disease and may involve preventive vaccinations, vessel disinfections, limitations on crew or passenger shore leave, ability to obtain ship supplies, restrictions on treatment of sewage or wastewater or even require cancellation of port calls,” the UK Club said.
North P&I Club urged its members to monitor health advice for travellers from the World Health Organization.
