The Association of Average Adjusters

Welcome!

Average Adjusters are expert in the law and practice of marine insurance and general average; they provide a professional and independent view on the claims arising from marine casualties. The Association of Average Adjusters was founded in 1869 with its prime objects the promotion of correct principles in the adjustment of marine insurance claims and general average, uniformity of practice amongst Average Adjusters and the maintenance of good professional conduct. Fellows of the Association have demonstrated their expertise by rigorous examination.

This Site

The purpose of this site is not only to provide information regarding the Associaiton and its Fellows, but also to act as a resource of information which wiil be of interest and assistance to its members and to the shipping and marine insurance industries, in particular. All categories of membership have access to additional resources.

Please advise the Webmaster of any errors or non-operating links.

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annual meetings 2009

We are pleased to announce that at the Annual Meeting of Fellows on 13th May, the Honourable Mr Justice Tomlinson was elected as Chairman of the Association for the ensuing year. Mr John Ahern was re-elected as Vice-Chairman and will perform the executive function of Chairman.

The Annual General Meeting of the Association took place on 14th May in the Old Library at Lloyd’s.

The Chairman, Richard Cornah, reported on the examination results during 2008/09.

The Associate level papers can be taken at two sittings and the exams in October produced a further 11 successful candidates.

Module 1 (MIA and related insurance principles)
Amy O’Neill (Liverpool) – Distinction
Daniel Bell (Liverpool)
Adam Whittle (Liverpool)
Matthew Smith (London) – Distinction
Konstantinos Georgiou (London) – Distinction
Daniel Gibbins (London)
Mukesh Gautama (Mumbai)
Matthew Jie Cao (Hong Kong) – Distinction
Peter Xiao Ming Fei (Hong Kong) – Distinction
Tony Sio Keong Ng (Hong Kong) – Distinction
Alf Inge Johannessen (Bergen) – Distinction

Module 2 (Hull and Cargo Claims)
Konstantinos Georgiou (London) – Distinction

April 2009 (All Modules)

The springtime exams were held between 3rd and 8th April 2009.  25 candidates applied to sit these examinations of whom 21 duly presented themselves at examination centres in London, Liverpool, Hong Kong, Nicosia, Mumbai, Athens, Doha, Bergen, Sofia and Christchurch (NZ).

The following candidates satisfied the examiners:

Module 1 (MIA and related insurance principles)
Liliana quito Castillo (London) – Distinction
Charlotte Warr (London) – Distinction
Debbie Symonds (London) – Distinction
Jonathan Cardy (London)
Tak Vyankatesh Murlidhar (Doha)
Angeliki Kallini (Piraeus) – Distinction
Adriaan Levendal (Christchurch) – Distinction
(One candidate failed to satisfy the examiners.)

Module 2 (Hull and Cargo Claims)
Alf Inge Johannessen (Bergen) – Distinction
Jonathan Cardy (London)
Matthew Smith (London)
Mukesh Gautama (Mumbai)
Amy O’Neill (Liverpool) – Distinction
Tony Sio Keong Ng (Hong Kong) – Distinction
Matthew Jie Cao (Hong Kong)
Peter Xiao Ming Fei (Hong Kong) – Distinction
(Four candidates failed to satisfy the examiners.)

Module 5 (Collision, Ancillary Insurers and Cargo Claims)
Burkhard Fischer (Cyprus)
(Mr. Fischer has now passed 5 out of the 6 Fellowship Modules)

The Chairman was pleased to note that the following have now satisfied the examiners in Modules 1 and 2 and thus become ASSOCIATE MEMBERS:

In October 2008:
Mr. Konstantinos Georgiou (London)

In April 2009:
Mr. Alf Inge Johannessen (Bergen)
Mr. Jonathan Cardy (London)
Mr. Matthew Smith (London)
Capt. Mukesh Gautama (Mumbai)
Ms. Amy O’Neill (Liverpool)
Mr. Tony Sio Keong Ng (Hong Kong)
Mr. Matthew Jie Cao (Hong Kong)
Mr. Peter Xiao Ming Fei (Hong Kong)

The outgoing Chairman's address was on the topic "Why Me?" (Which policy pays in cases of progressive or discovered damage). A copy of the address in PDF format can be downloaded HERE.

The Annual Report 2008/9 is also available for download; see below.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Successful Students at the AGM

 

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Spring Seminar - 30th March 2009

The worsening economic climate has meant that during 2009 Owners have had to contemplate seriously the prospect of putting vessels into long term lay-up.  The topic for the Spring seminar was therefore easily chosen – “All laid up and nowhere to go” and the response confirmed a high level of interest. 

Michael Laurie of BMT Marine and Offshore Surveys began his presentation looking back at the period in the early 1980’s when rafts of ships could be seen in Elefsis Bay and many other locations.  BMT have been working with Market Insurers and the P&I Clubs to draw up fresh guidelines regarding suitable lay-up locations and the procedures required for laying up and re-activating a ship.  He explained the difference between “hot” lay-up (a short term measure where there may be some crew reduction but the ship is kept ready for almost immediate employment) and “cold” lay-up ( a longer term strategy where a vessel is “moth-balled” with all machinery de-activated and preserved).  He also outlined the various factors that needed to be taken into account in approving a lay-up location, in terms of local geography, climate risks, and available services, such as tugs, in the event of an emergency.  He went on to emphasise the importance of sufficient time and resources being made available both when laying up and re-activating the vessel – compared with the 1980’s, modern vessels are fitted with complex electronic systems that are vulnerable to humidity and extremes of temperature. Download a copy of Michael Laurie's presentation HERE.

Richard Cornah dealt briefly with a number of coverage issues that can arise with vessels in lay-up or with the machinery problems that often seem to occur when vessels are re-activated after a long “cold” lay-up.  During a long term lay-up a vessel may be exposed to damage caused by the negligence of watchmen or contractors who may not come within the terms “crew” or “repairers” for which coverage is specified under Institute Time Clauses Hulls 1.10.83.

Jean Richards of Quantum Shipping Services arrived hot foot from an overnight flight from New York to give a fascinating, if rather chilling, overview of the commercial and financial realities underlying the present crisis.  An expert on the commercial side of shipping, with a reputation as a trouble-shooter for companies in financial difficulties, Jean clearly felt that the industry was in for a bumpy ride and that long term lay-up was the only realistic solution in many trades.  Although there had been signs of revival in some of the freight indices, charterers were being highly selective in terms of which vessels they would take on; in particular, vessels with long chains of charterers were likely to be avoided because of fears that one or more might turn out to be a financially weak link.  Generally she did not find much encouragement in the fact that many new-buildings were being cancelled or failing because of financing problems – the statistics showed that the number of vessels already trading were sufficient to keep the market unbalanced for some time to come.

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Examinations 2009

The Examination Committee has recently reviewed the list of topics for Modules 1 & 2 - see IMPORTANT NOTICE on Examinations page of this website. Information regarding Examinations in October 2009 - now available.

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Autumn Seminar - 18th November 2008

“WAR AND PEACE”

Which is more dangerous for the shipowner?

The second lunchtime meeting of 2008 took place on 18 November and was attended by over 70 people from all sectors of the market. With the topic of piracy having been the subject of several other recent seminars, the chosen theme was to look at other situations in which an owner may be deprived of the use of his vessel.

In answering the question “War and Peace – which is more dangerous for the shipowner?” Andrew Paton’s presentation concentrated on the significant hazards of peacetime arrests and detainments. A Fellow of the Association since 1987, Andrew Paton has been closely involved in the management and running of the Standard War Risks Association; he outlined some of the practical difficulties of interpreting cover wordings and exclusions when vessels are seized, for example, following allegations of fraud or drugs finds. Panellists Colin Bryan (Director at Millers Insurance, specialising in War Risks) and John Culley (from Thomas Miller, managers of the UK War Risks Association and Hellenic War Risk Mutual and Chairman of the combined group of War Risks Associations) added their own observations regarding these difficult and complex situations.

During lunch, the hijacking of a Saudi owned tanker the previous day meant that piracy was again a favourite topic of conversation, particularly with regard to whether hull or war policies were the right home for this risk.

The majority of the recent cases off Somalia have involved Fellows of the Association in dealing with the General Average aspects and advising generally on questions such as the parties who could be brought in to contribute to ransom payments. The new (13th) edition of Lowndes, co-edited by Richard Cornah (the current Association of Average Adjusters Chairman), also contains additional material regarding the basic principles involved, which has provided timely guidance for many facing these problems for the first time.

The seminar also provided an opportunity to announce that 11 candidates had passed Module 1 (Marine Insurance Act and related principles) of the Association of Average Adjusters exams, of which 7 passed with distinction having scored more than 80%. Konstantinos Georgiou passed both Modules 1 & 2 at this October sitting thereby becoming an Associate Member of the Association. The Chairman congratulated those involved and hoped that many would go on to tackle the four higher level modules required to achieve Fellowship.