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 vessels as well as foreign vessels 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 owners of seagoing vessels strictly liable for oil pollution damage and sets out limits of liability and compulsory insurance for all vessels that use bunker oil. Bunker oil is considered to be any fuel used in the propulsion or operation of the vessel. 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, owners of a seagoing vessel over 1,000 gross tonnes 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.
The Marine Liability Act extends the application of the Bunkers Convention to non-seagoing vessels over 1,000 gross tonnes.
International Convention on Civil Liability for Oil Pollution Damage
The International Convention on Civil Liability for Oil Pollution Damage, 1992 (CLC), makes owners of seagoing vessels 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 their size.
Under the CLC, owners of seagoing vessels that carry 2,000 tonnes or more of persistent oil in bulk as cargo must maintain adequate insurance or other financial security and 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, owners of a seagoing vessel of 300 gross tonnes or more must maintain adequate insurance or other financial security and must carry a certificate issued by countries that are party to the Convention. In Canada, it is Transport Canada that issues these certificates.
The Wrecked, Abandoned or Hazardous Vessels Act extends the application of the Wreck Removal Convention to non-seagoing vessels of 300 gross tonnes or more.
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