Get to know the definition of Protection and Indemnity (P&I) Insurance

August 15, 2023

Gain a comprehensive understanding of insurance and P&Is, their benefits

Understanding insurance and P&Is isn’t just for the bigwigs; it’s crucial for businesses of all sizes. Insurers, underwriters, and brokers hold the keys to peace of mind when disaster strikes. With their help, insured businesses can navigate the murky waters of personal injury claims and ensure prompt payment for damages incurred through liability cover and reinsurance.

Get to know the definition of Protection and Indemnity (P&I) Insurance

P&I insurance, also known as Protection and Indemnity insurance, is a specialized type of coverage that offers liability protection for shipowners and operators. It serves as a safeguard against third-party claims arising from various risks associated with maritime operations. Marine insurers, reinsurance, underwriters, and payment are key elements of P&I insurance.

One of the primary functions of P&I insurance is to protect shipowners and charterers from financial losses resulting from liabilities incurred during their operations. This includes damage to cargo, personal injury, pollution incidents, collision with other vessels, and even wreck removal costs. By providing comprehensive coverage for these risks, P&I insurance allows shipowners and charterers to navigate maritime operations with peace of mind. Marine insurers and underwriters play a crucial role in claims handling related to these risks.

A key aspect of P&I insurance is its focus on indemnity provided by insurers. In simple terms, indemnity refers to the compensation or reimbursement insurers provide in case of covered losses or damages. With P&I insurance, shipowners can rest assured knowing that they have financial support from insurers in the event they are held liable for any third-party claims arising from their operations. These claims can include collision liability, and insurers provide this support based on statistics and the policy year.

The International Group of P&I Clubs plays a crucial role in providing collective coverage for shipowners around the world through cargo insurance and marine insurance class. These clubs, including mutual insurance companies, collaborate to offer tailored benefits and services to their members. By pooling resources and expertise, they ensure shipowners have access to robust protection against potential liabilities.

P&I insurance covers many risks encountered by ship owners in maritime operations. Some notable areas where this coverage comes into play include collision liability, machinery breakdown, and various other pages.

  1. Cargo Damage: Shipments can be damaged due to various factors such as rough sea conditions or mishandling during loading/unloading processes. P&I insurance provides compensation for such losses, including collision liability, liability cover, machinery cover, and data.
  2. Personal Injury: Accidents onboard vessels can lead to injuries or fatalities among ship owners, machinery, clubs, and visitors. P&I insurance helps cover medical expenses, loss of income, and legal costs associated with personal injury claims.
  3. Ship owners can rely on P&I insurance to cover the costs of cleanup, environmental damage, and potential legal liabilities in the unfortunate event of pollution incidents caused by a vessel. This assistance is crucial for ship owners who want to meet their responsibilities and protect their website visitors from negative consequences.
  4. Collision Liability: Collisions between ship owners’ vessels can result in substantial damage to property and potential injuries. P&I insurance offers coverage against claims arising from such incidents. Ship owners can rely on P&I clubs to provide them with data and support in navigating collision-related liabilities.
  5. When ship owners experience a vessel becoming stranded or sinking, they often need to arrange costly salvage operations or wreck removal. P&I insurance provides coverage for these expenses. Ship owners can find more information about wreck removal on our website, where visitors can explore various clubs and resources available.

ANHISA – Your Expert in Insurance Matters. Need an expert’s touch?

Services Offered From negotiation to litigation, ANHISA stands with extensive experience, especially in insurance disputes.

Why Choose ANHISA? Our clients, from P&I Clubs to insurers, have always found effective solutions with us. We blend “dry and wet” matter expertise to give you peace of mind.

Contact Details

Seeking advice or wish to consult?
Reach out to:
Mr. Dang Viet Anh
T: +84 28 5416 5873
M +84 983 467070


Protection and Indemnity (P&I) Insurance isn’t just an insurance policy. It’s a commitment to safeguard maritime operations against the unpredictable. With experts like ANHISA, navigating the seas of insurance becomes smoother. Ready to set sail with peace of mind?


  1. What is the primary purpose of P&I Insurance?
    • It’s tailored to cover vessel owners and operators against third-party liabilities in maritime operations.
  2. How do P&I Clubs function?
    • They are mutual associations that manage P&I insurances, sharing risks among their members.
  3. Why is environmental coverage crucial in P&I Insurance?
    • With increasing environmental concerns, covering cleanup costs post-accidents becomes vital.
  4. Can I customize my P&I Insurance as per my vessel’s specifics?
    • Absolutely! Tailor it as per your needs and ensure comprehensive protection.
  5. How can ANHISA help in my insurance matters?
    • ANHISA offers services from negotiation to litigation with extensive experience, ensuring effective solutions.

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