Section K: Premiums

18.1 - Premium

A member who has a ship entered in the club shall pay a fixed premium in an amount agreed between the member and the managers.

18.2 - Laid-up returns

If a ship is laid-up in a safe port without any cargo on board for 30 or more consecutive days after finally mooring there, the member is, subject to rule 18.3, allowed a pro-rata return of premium up to a maximum rate of 75%. Any lay-up return is reduced pro-rata for any period of shifting within the port during lay-up. Exclusions to rule 18.2 Unless otherwise agreed by the managers, there shall be no return if: a there are crew on board the ship other than for security or for maintenance necessary for the safety of the ship; or b repairs are carried out other than for the safety of the ship.

18.3

If a member does not notify and submit his claim for reimbursement to the managers in writing within three months under rule 16.5, or within three months of the end of the policy year under rule 18.2, no allowance or return shall be made unless the managers otherwise determine.

18.4 - Payment

Any premium or other sums due shall be designated in such currency,  and be payable in such manner and at such time, as the managers may specify. If any sum due is not paid on the specified date, time being of the essence, such member shall pay interest on the amount outstanding from that date until the date of payment at such rate as the board determines. The managers may, however, waive payment of interest in whole or in part.

18.5

Where a member has appointed a broker, the broker is the agent of the member. Payments of premium and other sums due to the club shall not be considered received by the club until actually received by it, and payment by the member to his broker or other intermediary shall not constitute payment to the club.

18.6

Where the member has appointed a broker, payment by the club to the broker of sums due to the member shall constitute payment to the member. Any such payment shall fully discharge the club’s liability to the member in respect of such sums.

18.7 - Lien

The club is entitled to, and the member grants, a lien on the ship in respect of any amount owed by the member to the club

18.8 - Reserves

The board may: 36(1) establish and maintain such reserves or other accounts as it thinks fit; (2) transfer any sum standing to the credit of any policy year to any reserve; (3) apply the sums in any reserve for any purpose and may at any time transfer sums from one reserve to another.

18.9 - Investment

The funds of the club may be invested in any way the board may determine.

18.10

Unless the board otherwise determines, all funds relating to any policy year or reserve shall be pooled and invested as one fund.

18.11

The board may apply investment returns to any policy year or reserve as it thinks fit.