To harmonize standard terms of cover for fixed premium P&I entries with the governing reinsurance arrangement,1 it was necessary to include, inter alia, the Coronavirus Exclusion Clause (LMA 5395) and the Cyber Endorsement (LMA 5403) in the Rules for Mobile Offshore Units (MOUs); the Additional Covers -Terms and Condition; and in the individual Certificates of Entry for Charterers’ P&I risks2 with effect for the 2021 policy year commencing on 20 February 2021.

However, to meet the needs for protection against the Coronavirus risk within the fixed P&I segment, Gard P. & I. (Bermuda) Ltd and Assuranceforeningen Gard – gjensidig (hereinafter collectively referred to as the ‘Associations’) will offer Members and clients in respect of the categories of covers listed below a special extension of cover. The extension of cover (hereinafter referred to as the ‘Special Covid-19 Extension’) shall comprise liabilities, losses, costs and expenses falling within the scope of terms of entry agreed but for the Coronavirus Exclusion Clause (LMA 5395) and subject to a sub-limit of USD 10 million per ship or vessel per event. (No extension of cover is offered in respect of risks excluded pursuant to the Cyber Endorsement).

The Special Covid-19 Extension shall apply for the following categories of fixed premium covers offered by the Associations:

• Comprehensive Charterers’ liability cover
• P&I for Mobile Offshore Units (MOUs)
• Crew cover
• Comprehensive Carriers cover
• Extended Crew Cover
• Comprehensive general liability cover for offshore and specialist vessels (CGL)
• Comprehensive general liability cover for MOUs (CGL)
• Divers’ cover