In a country where the Bunkers, Civil Liability and Wreck Removal Conventions are in force, vessels need insurance certificates. In Canada, Transport Canada issues these certificates to Canadian ships as well as foreign ships that are registered in countries where these conventions are not in force.
Your marine insurance certificate is valid for up to one year. You’ll need to re-apply every year before your certificate expires.
Types of Certificates
There are three marine insurance certificates currently issued by Transport Canada.
International Convention on Civil Liability for Bunker Oil Pollution Damage
The International Convention on Civil Liability for Bunker Oil Pollution Damage, 2001, (Bunkers Convention), makes ship owners strictly liable for oil pollution damage and sets out limits of liability and compulsory insurance for all ships that use bunker oil. Bunker oil is considered to be any fuel used in the propulsion or operation of the ship. Because it is so commonly used, it is more frequently involved in pollution incidents than oil carried as cargo by tankers.
Under the Bunkers Convention, ship owners must maintain adequate insurance or other financial security and ships over 1,000 gross tonnes must carry a certificate issued by countries that are party to the Convention. In Canada, it is Transport Canada that issues these certificates.
International Convention on Civil Liability for Oil Pollution Damage
The International Convention on Civil Liability for Oil Pollution Damage, 1992 (CLC), makes owners of ships carrying persistent oil as cargo (e.g. oil tankers) strictly liable for oil pollution damage and sets out limits of liability for vessels based on the size of the ship.
Under the CLC, ship owners must maintain adequate insurance or other financial security and ships that can carry 2,000 tonnes or more of persistent oil must carry a certificate issued by countries that are party to the Convention. In Canada, it is Transport Canada that issues these certificates.
Nairobi International Convention on the Removal of Wrecks
The Nairobi International Convention on the Removal of Wrecks, 2007 (the Wreck Removal Convention) ensures that wrecks that may cause a hazard to:
- safety
- navigation
- property
- communities, and/or
- the marine environment
are quickly and expertly removed. It also makes the owner of the wreck strictly liable for all eligible costs linked to wreck removal.
Under the Wreck Removal Convention, ship owners must maintain adequate insurance or other financial security and ships over 300 gross tonnes must carry a certificate issued by countries that are party to the Convention. In Canada, it is Transport Canada that issues these certificates.
Related information
- Liability and compensation for marine incidents
- Marine liability and compensation: Passenger vessel insurance
- New passenger insurance requirements for commercial vessels
- Marine Liability and Compensation: Wreck removal
- Marine Liability and Compensation: Limitation of liability for maritime claims
- Marine Liability and Compensation: Oil Spills