A charterer can also be a cargo-free party, which takes a ship from the owner to the charter for a specified period and then acts to transport goods with a profit above the rental rate, or even make a profit in a rising market by refloating the ship to other charterers. Charter liability insurance is a kind of insurance designed to protect shipping companies from certain risks or obligations.  This may include fines and violations of the law, damage to cargo or ship, and personal injury, including and to death. In case of damage caused by the fault of the tenant or skipper, the same, due to the impossibility of navigation, can charter the other ship according to the valid price list with payment of the renewed warning money. The owner is required to deliver the vessel at the agreed location and at the agreed time in working condition. If the owner is unable to make the reserved vessel available, he may prepare another vessel at least equivalent or better at the price of the reserved vessel or a smaller vessel, as well as a refund of the price difference, including any refunds for accommodation during the waiting time on the ship. which does not exceed the amount of the charter fee agreed for the same period. If no suitable vessel is offered to the customer after 24 hours, the customer can terminate the charter contract for which the owner refunds the full amount already paid. In the event of a major malfunction of the vessel, the owner must correct this malfunction as soon as possible. For the duration of the time the owner spends repairing the disturbance of the vessel, the owner pays for the vessel (angel), unless the charterer uses the vessel in question as accommodation during the repairs.
In this case, the owner is not required to repay a certain amount that has already been paid because he can no longer navigate. Other compensation rights are excluded. If the disturbance cannot be remedied, the owner will provide the charterer with another vessel with similar or better characteristics. If the owner is unable to make available the contract vessel or any other vessel with similar or better characteristics, the charterer may withdraw from the agreement and request a refund of the full amount already paid. Charter fees include the cost of a vessel that is equipped with the official price list and the AVS inventory list. The charter commission does not include other costs such as food taxes, fuel or mooring costs. The vessel is delivered to the charterer with full tank of water and fuel in working and clean condition; it must be delivered again in the same condition. Each ship has casco and mandatory passenger insurance. The ship`s insurance is defined under the conditions set by the insurer that insures the vessel. Damages normally covered by the insurance policy, but not immediately reported to the insurer, are not recognized.
In this case, the charterer is personally responsible for the damage caused by the non-disclosure of the damage. If the vessel is damaged, the charterer bears the costs incurred for its repair, which does not exceed the amount of the surety. The cost of repairs in excess of the amount of the deposit is borne by the insurance company. In the event of gross negligence or non-compliance with the damage, the charterer bears all costs. The personal property of the skipper and crew members is not insured, which is why insurance is recommended in a personal agreement. Personal property is not insured. The tenant is responsible for the damage caused by the mishandling of the ship and its equipment.