17Extension, cancellation and lapsing of insurance certificates

17 Extension, cancellation and lapsing of insurance certificates

(1) Where: (a) a ship in respect of which an insurance certificate has been issued under section 16 is not at a port in Australia at the time when the certificate expires or is about to expire; and (b) the Minister is satisfied that, after the day specified in the certificate as the day until which it is to remain in force, there will be in force a contract of insurance or other financial security in respect of the ship in an amount that will cover the limits of liability prescribed by paragraph 1 of Article V of the Convention in relation to the ship; the Minister may, if it appears proper and reasonable to do so, extend the certificate for a period that expires on or before the day that the Minister is satisfied is the last day in the balance of the period during which that contract of insurance or other financial security is to remain in force, being a period that does not exceed one month from the day referred to in paragraph (b). (2) An extension of an insurance certificate under subsection (1) is of no further force or effect after the arrival of the ship at a port in Australia. (3) The Minister may cancel an insurance certificate issued under section 16 that is in force in respect of a ship if he or she is satisfied that, by reason of any modification or variation of, or to, the contract of insurance or other financial security in respect of the ship, the owner of the ship will not be covered for an amount that is not less than the limits of liability prescribed by paragraph 1 of Article V of the Convention in relation to the ship. (4) If, while an insurance certificate issued under section 16 in respect of a ship registered in Australia or in a country that is not a country to which the Civil Liability Convention applies is in force, the ship ceases to be registered in Australia or in that country, as the case may be, the certificate so issued thereupon ceases to be in force. (5) Where an insurance certificate issued under section 16 in respect of the ship is cancelled under subsection (3) or ceases to be in force by virtue of subsection (4), the master shall forthwith cause the certificate to be lodged with a person referred to in paragraph 16(2)(b).

Penalty: 20 penalty units.