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Marine insurance bill wins first nod

BANGKOK: Thailand’s first marine insurance bill based on a UK law has received the green light from regulators and will be sent to the Cabinet for consideration.

marinetourismaccidentseconomics
By Bangkok Post

Monday 18 September 2017 04:48 PM


Boats on display at the Phuket International Boat Show (PIMEX), now reincarnated as the ‘Phuket Rendezvous’, at Royal Phuket Marina earlier this year. Photo: Mark Knowles

Boats on display at the Phuket International Boat Show (PIMEX), now reincarnated as the ‘Phuket Rendezvous’, at Royal Phuket Marina earlier this year. Photo: Mark Knowles

If approved, the bill, which took six months to draft, will be forwarded to the National Legislative Assembly for enactment.

The Office of Insurance Commission on Friday (Sept 15) held a seminar on the new bill, which it claims will bolster the local insurance industry’s competitiveness, as well as investors’ confidence.

Secretary-general Suthiphon Thaveechaiyagarn said marine insurance was worth B5.3 billion in 2016, or 0.03% of trade value.

“Once the law takes effect, the value should gradually increase to at least B14.4bn,” he said.

In the absence of it, Thai courts have been applying the UK’s 1906 Marine Insurance Act in principle in cases involving marine insurance disputes.

“But since the law is in English, it depends on how well witnesses testify in court, creating advantages and disadvantages in a case. Besides, there are few marine law experts in Thailand,” he said.

Most marine insurance disputes involve damaged goods on which owners demand compensation from insurance companies. In some cases, the policies needed to be interpreted.

 

Read original story here.