Importance of parallel-bareboat charter registration and its connection with marine insurance

Abstract

The impact of the Parallel Registration is pretty apparent in modern shipping. Traces of Parallel Registration, Dual Registration, Demise Charter Registration and Bareboat Charter Registration can be found in both the Open Ship Registries system and the traditional Closed Ship Registries. The stance of both the new maritime nations and the traditional Flag States towards Parallel Registration are analyzed. The reasons for the acceptance of the Parallel Registration include the positive impact to the maritime companies, the benefits to the Ship Registries involved and the satisfaction of particular ambitions on behalf of the States that embrace this institution. There is further specialization in the implications of Parallel Registration in the Marine Insurance practices especially in the case of bareboat chartering. The status of the ship owner, the ship charterer and the mortgage lender are further examined under the auspices of Parallel Registration in the event of a Marine Insurance incident.