76Financial security

76 Financial security

(1) The owner of a regulated Australian vessel must demonstrate to AMSA’s satisfaction that the owner has financial security that meets subsection (2).

Note Financial security may be demonstrated by production of a current insurance cover note, evidence of protection of indemnity insurance or coverage under a scheme.

(2) A master or owner of a regulated Australian vessel must not take the vessel to sea if the vessel does not have on board documentary evidence of financial security to meet liability arising from:

(a) death or long-term disability of a seafarer because of occupational injury, illness or hazard; and

(b) abandonment of any seafarer of the vessel.

(3) The documentary evidence of financial security must include the following information:

(a) the name of the vessel;

(b) the home port of the vessel;

(c) the call sign of the vessel;

(d) the IMO number of the vessel;

(e) the name and address of the provider or providers of the financial security;

(f) the contact details of the person responsible for receiving requests and arranging seafarer assistance;

(g) the name of the owner of the vessel or registered owner if different;

(h) the period of validity of the financial security;

(i) an attestation by the provider or providers of the financial security that:

(i) the security meets the requirements of MLC standards A2.5.2 and A4.2.1; and

(ii) at least 30 days notice is to be given to the Administration for any cessation of the security.

(4) For paragraph (2)(b), abandonment is taken to have occurred if the owner of the vessel or registered owner has not:

(a) complied with any repatriation requirement mentioned in sections 31 to 33; or

(b) paid wages or other payments due to the seafarer for at least 2 months; or

(c) provided the necessary maintenance and support mentioned in paragraph 2(b) of MLC standard A2.5.2.

Note Paragraph 5 of MLC standard A2.5.2 provides that for paragraph 2(b) necessary maintenance and support includes adequate food, accommodation, drinking water supplies, essential fuel for survival on board the ship and necessary medical care.

(5) The owner must ensure that documentary evidence of the financial security is:

(a) placed on board the vessel in a location where it is available for perusal, without the need for a seafarer to ask to access it; and

(b) written in English.