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Freight Demurrage and Defence (FD&D)

FDD Types of Dispute

There are many types of risks faced by owner and charterer Members of the Club that are not mutual by nature and that do not, therefore, fall within the scope of P&I cover. The Club is able to support Members involved in these disputes by providing FDD cover.


- Standard deductible is US$ 7,500 for each dispute.

- Expert “in-house” advice to optimize results

- 75% cases are resolved 'in-house' using Steamship’s lawyers (without charge)

- Flexible cover and premiums:

  • Up to USD 10 million available cover
  • Variable limits/caps 
  • Owners/Charterers FDD cover 

Our Cover

FDD or "Defence" cover provides support for legal and other expenses incurred when pursuing or defending these types of disputes if they arise in connection with the chartering, trading and/or operation of the entered vessel. 

The Club’s team of legally qualified claims handlers provide assistance to Members both prior to and after the instruction of external lawyers. Of the FDD matters handled by the Club each year 75% are resolved by the Club’s claims handlers without the need to instruct external lawyers and, therefore, at no additional cost to the Member. 

FDD cover is, however, so much more than support for legal and other expenses associated with pursuing or defending FDD disputes. The Club can provide security for costs, and the Club’s claims handlers provide practical support reviewing contracts and clauses, and advise on emerging issues affecting the Members. 

When disputes are referred out the Club’s lawyers will assist with the management and conduct of the dispute. Indeed, the discretionary nature of FDD cover requires close cooperation between the Club, the Member, and external lawyers so that:

(a)    Costs are incurred with the Club’s approval can be supported; and 

(b)    There is an agreed strategy to ensure the best possible result for the Member -  that is, so far as possible, either to minimise the Member’s exposure or maximise any recovery, taking account of litigation risk and costs. 

Class 2 Rules: Freight, Demurrage and Defence


Club Rules 2022 - Freight, Demurrage and Defence

2022 - 2023

FD&D Key Contacts - London

FD&D Contacts Cyprus

FD&D Contacts Greece

FD&D Contacts Hong Kong

FD&D Contacts Singapore

FD&D Contacts Tokyo