In response to the evolving dynamics of the shipping industry, the IG has diligently reviewed and revised these LOI wordings, which were last updated in 2010. Despite the known risks associated with LOIs, they continue to be widely utilized in our industry.
With valuable insights from charterer and owner representatives, as well as guidance from BIMCO, we are proud to present the revised wordings. They can be easily downloaded from the links provided below and, of course, from our company’s website. Moreover, we encourage you to review the explanatory notes, highlighting the individual changes made.
Noteworthy in the updated wordings is a more prominent warning, reminding our members about the potential impact on P&I cover. As always, we strongly advise our members who accept LOIs to exercise due diligence in assessing the financial standing of any counterparty involved in a Letter of Indemnity.
Stay up-to-date with the latest IG recommended LOI wordings and proactively manage your risks in the ever-changing shipping landscape. As always, if you have any questions about the use of LOI or need any assistance in this regard, please contact us at all times via claims@nnpc.nl.
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