In an early morning in January 2015, one of our clients’ cargo vessel collided with another bulk vessel in an area that was heavily congested with many vessels entering and departing off Singapore. The collision was so extensive that the damage would necessitated the remaining cargo to be discharged. The loss quantum was estimated at US2.5 million dollars excluding other claims expenses approximately US2 million dollars.
In addition, client also suffered uninsured losses estimated to US1.5 million dollars for charterer’s liability. To make matter worse, the commodity price has fallen and client’s buyer refused to honour their contractual obligations.
Acclaim Claim Team worked round the clock – convincing the client to provide approval of a substitute vessel, working diligently with our appointed insurer’s Recovery Agent (RA) to ensure the claim was submitted to the Protection and Indemnity Club (P&I Club) within 24 hours. This task was complicated further as we had to gain a panel of insurers’ approval before the relevant claims document could be lodged. With time not in the client’s favour, this tested Acclaim’s relationship with the all the stakeholders especially the RA. We persuaded the RA to put up the guarantee on behalf of the panel in their name. By the next 24 hours, the team was able to secure the ‘hard to get’ letter of security amounting to US5.4 million dollars from the P&I Club. In seven months, the team successfully negotiated (on the client’s behalf) and settled the claim.
The full payment of approximately US 2.15 million dollars was fully credited to the client’s account in July 2015. Our Service Team is delighted knowing we have achieved the fullest satisfaction of our client.