Keeping Your Yard Shipshape – An Insurer’s Perspective

Sponsored Content: Being described as someone who “runs a tight ship” is a compliment recognized by anyone engaged in the maritime world and should be an aspirational goal for any shipyard. Such a reputation will help attract workers, customers, investors, and yes, insurance companies. Regardless of the size of your operation, there are some universal points of emphasis which everyone can focus on to help their yard “ship shape”.

• Yard maintenance: A tidy yard, well-maintained buildings, equipment, and tools are all things which can help to keep your workers and property safe, reduce downtime, and generally instill confidence in your employees and customers that you know what you are doing.

• Training and pre-planning: Training MUST be more than checking a box.  It is a critical piece of safety management to make sure the people and property on your premises are safe and that your work is being performed correctly.   Carefully pre-planning jobs, teaching and verifying proper techniques for tool usage, fire safety, confined space entry, and hazardous material handling should be a point of emphasis for a shipyard.    While no one wants to have an accident, reviewing “near misses” can also be an excellent tool for identifying issues before it is too late.      

• Keep an eye on those contracts: In business, nobody likes surprises.  The difference between a big claim or a little claim can rely on something as simple as punctuation.  Use the contract to nail down all aspects of a transaction.  Do not just assume everyone is on the same page.   Cutting and pasting from prior contracts can lead you down the road to ruin.  Try to develop a centralized contract review procedure for all of your contracts to ensure that responsibility is falling in the proper place and that you are not stuck with liabilities that you should not be.  Contracts should be scrutinized to make sure they “mean what they say and say what they mean”.

• Trust but verify:   You have gone to all of this trouble setting up procedures and training.  Make sure you frequently revisit them to make sure they are being implemented and that they are appropriate given your current circumstances.

• Ask for help: You may have decades of experience in the shipyard industry, but with the landscape changing by the day with new questions to confront, it is important to recognize that you may not have all of the answers.  

• Show off: Like school children, insurance brokers and underwriters love a field trip.   It allows us to see the work you have put in and to get a better understanding of your operations.   

With offices throughout North America and around the globe, Starr has the expertise borne from over 80 years as marine insurer.  In addition to first-rate underwriting and claims services, Starr can provide your yard with best-in-class Loss Control resources, often at no additional cost.  They can help guide you through the ever-changing landscape of the maritime industry – in your shipyard and beyond.