This circular is directed at those Members whose cover includes cargo liability under Class 1 Rule 4.19.
The recent missile attacks on vessels in the Red Sea and congestion in the Panama Canal is resulting in vessels being rerouted to avoid these areas. This can amount to a deviation from the contractually agreed voyage and may result in members being deprived of the right to rely on the usual Hague-Visby defences in the event of a cargo claim.
The attention of Members is drawn to the provisions of Class 1 Rule 4.19 (viii). Members are required to notify the Managers in writing of any such deviation at the earliest opportunity, preferably before the deviation or, if the deviation has taken place without the authority or knowledge of the Members, as soon as the Members become aware of it. The Managers will then either confirm that cover continues unprejudiced or will at the request and for the account of the Members arrange additional insurance to cover the liability of the Members arising from the deviation.
Failure to observe this Rule may result in the loss of cover.
