When underwriting liability cover for charterers and traders, we believe it is better to listen and then provide a Tailor-Made cover specifically to respond to the risks rather than provide an ‘off the shelf’ standard cover.

This flexibility brings benefits to all concerned but primarily to the charterer or trader. In order to do so we provide:

  • Comprehensive cover
  • Optional limits of liability
  • Deductible options
  • Flexibility

However, there are some conditions of cover with North.

Tailor-Made Cover to Suit Risk

Tailor Made - Infographic

Comprehensive Cover

Cover can be as extensive as your exposure and needs demand.

Comprehensive charterers’ liability cover, which is available to time and voyage charterers, covers three key areas:

  • Liability for loss or damage to the cargo.
  • Liability for loss or damage to the ship or hull – Damage to Hull (DTH).
  • Liability to third parties.

All are available from North and for further information please contact your usual underwriting contact.

Limits of Liability

Cover is available with various limits of liability to suit the needs of charterers and traders up to a maximum Combined Single Limit (CSL) of US$1bn. Lower limits are available in order to control premium and more accurately match exposure.

Separate sub-limits can be arranged for liabilities for Damage to Hull (DTH) as well as liabilities arising from ownership of cargo, bunkers, and freight at risk. DTH liability is usually up to US$100m but this can be negotiated with your underwriter. The usual maximum liability of our cargo liability cover is US$50m.

For more information on our standard and additional cover, please visit our dedicated pages:


Some charterers and traders may be more risk adverse than others and part of the underwriting process is to assess and agree what level of deductible is required as part of the Tailor-Made and flexible cover from North.

Some charterers and traders choose to retain significant risk themselves, by taking deductibles as high as US$250,000, whilst others seek lower deductibles. Clearly, the premium rates which our underwriters seek will be affected by the level of policy deductibles and retained risk.

More typical deductibles for charterers and traders are;

Cargo $10,000 to $50,000
Damage to hull $35,000 to $100,000
All other claims $10,000 to $25,000
Fees 25% min $1,000 and max $10,000


Deductible levels and their combination are agreed as part of the underwriting and quoting process and are subject to individual negotiation – premium rating varies accordingly.


Whilst the usual method of declaration is to declare ships, and the amount of time on charter, as and when they are delivered, it is possible to consider rating schemes which involve declaration of overall tonnage or even cargo lifted.

Declaration schedules can be agreed to suit and may be monthly, quarterly or annually. We can agree arrangements as part of providing a Tailor-Made and flexible product to accurately meet requirements of charterers or traders. In certain circumstances it is possible to agree a lump sum premium.

Liability cover for charterers or traders is charged on a fixed premium basis and our charterers and traders are not liable for additional supplementary calls or release calls.

Premium requirements are assessed on a case by case basis by our underwriters who consider a multitude of factors; principally these include ship type, trade, cargoes carried, trading pattern, charterparties used and contractual agreements as well as compliance with conditions of entry and our underwriting criteria.


It is condition of entry that all ships entered with North under a Charterer’s Entry will, throughout the period of entry have a current and corresponding Owner’s entry with an International Group P&I Association (IG) and remain fully classed by a member of the International Association of Classification Societies (IACS).

In particular circumstances this condition may be negotiated but the premium and terms will reflect those discussions. Cover is subject to any ship, at any time during the period of entry with North, NOT engaging in any activity or trade that puts the Member or North in breach of any applicable sanctions. Any failure to comply with this subjectivity is an automatic cesser event under North’s rules.

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