Kathmandu. On the night of January 13, 2012, the cruise ship Costa Concordia ran aground off the coast of Isola del Giglio, Italy. The incident occurred when Captain Francesco Schettino, deviating from his intended course, made a move ‘through the sails’. <\/p>\n
A large part of the hull of the luxury liner broke after colliding with an underwater iceberg. Water entered the engine room. As a result, the power supply was cut off. The ship tilted and eventually capsized. More than 4,200 passengers and 32 crew members were killed and many were injured. <\/p>\n
The cost of the ship was around $500 million to $570 million. It was declared a creative total loss. Insurance companies such as XL, Generali and RSA paid more than $500 million for damaged hulls and machinery. Costa Concordia had a $30 million deductible. It was carried by the owner Costa Cruz (part of the Carnival Corporation). <\/p>\n
A significant portion of insurance claims fall under protection and indemnity (P&I) insurance offered by mutual clubs such as Standard Club. This covers passenger and crew liability, claims for personal bodily injury and death, environmental impact, and significant costs of debris removal. <\/p>\n
Complex parabuckling techniques were used to steer the ship which had been stranded for more than a year. This task proved to be extremely difficult and expensive. Engineering challenges, environmental monitoring, and lengthy operation led to a significant increase in the cost of debris removal, towing and scrapping. <\/p>\n
By 2014, the P&I deficit had reached about $1.44 billion. This brings the total insured marine damage to nearly $2 billion. <\/p>\n
The accident became one of the most expensive marine insurance claims in history. Total claim payments were estimated to range from $1.5 billion to nearly $2 billion. Insurance claims were spread across pooling and reinsurance arrangements between a number of underwriters from London’s Lloyd’s, international reinsurance companies and an international group of P&I clubs. Reinsurance companies such as Munich Reich reported losses in the double digits in the millions of euros. <\/p>\n
The Costa Concordia incident highlighted the risks of operating large cruise ships and raised awareness of the risks of removing debris. The most expensive single marine hull damage in those years was the damage. Rapid and heavy claim payments demonstrated the power of the global marine insurance market to prevent major losses. \u2013Insurance NewsBD<\/span><\/p>\n","protected":false},"excerpt":{"rendered":" Kathmandu. On the night of January 13, 2012, the cruise ship Costa Concordia ran aground off the coast of Isola del Giglio, Italy. The incident occurred when Captain Francesco Schettino, deviating from his intended course, made a move ‘through the sails’. A large part of the hull of the luxury liner broke after colliding with […]<\/p>\n","protected":false},"author":16,"featured_media":297507,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[45031,45044,45159],"tags":[],"class_list":["post-297509","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-banner-news-en","category-international-news-en","category-news-en"],"acf":[],"_links":{"self":[{"href":"https:\/\/english.insurancekhabar.com\/ikbrapi\/wp\/v2\/posts\/297509","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/english.insurancekhabar.com\/ikbrapi\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/english.insurancekhabar.com\/ikbrapi\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/english.insurancekhabar.com\/ikbrapi\/wp\/v2\/users\/16"}],"replies":[{"embeddable":true,"href":"https:\/\/english.insurancekhabar.com\/ikbrapi\/wp\/v2\/comments?post=297509"}],"version-history":[{"count":1,"href":"https:\/\/english.insurancekhabar.com\/ikbrapi\/wp\/v2\/posts\/297509\/revisions"}],"predecessor-version":[{"id":297510,"href":"https:\/\/english.insurancekhabar.com\/ikbrapi\/wp\/v2\/posts\/297509\/revisions\/297510"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/english.insurancekhabar.com\/ikbrapi\/wp\/v2\/media\/297507"}],"wp:attachment":[{"href":"https:\/\/english.insurancekhabar.com\/ikbrapi\/wp\/v2\/media?parent=297509"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/english.insurancekhabar.com\/ikbrapi\/wp\/v2\/categories?post=297509"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/english.insurancekhabar.com\/ikbrapi\/wp\/v2\/tags?post=297509"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}