Article 341 of the Saudi Commercial Maritime Law
المادة 341 من النظام البحري التجاري · الفصل الثالث: التأمين على الأجرة
The article regulates insurance of assistance and salvage rewards, under which the insurer pays their costs and rewards caused by an insured risk where the ship's insurance is insufficient, and insurance of refloating costs where abandonment is permitted.
Official text (Arabic)
This article has not been amended since the law was issued.
1- إذا كان موضوع التأمين خاصًّا بالمكافآت المستحقة عن المساعدة والإنقاذ, التزم المؤمِّن
-بحدود مبلغ التأمين- بدفع المصروفات التي تنفق لمساعدة السفينة أو إنقاذها بسبب خطر يشمله التأمين, ويدفع كل مكافأة أخرى تستحق بسبب هذا الخطر ولا ينتج التأمين المذكور أثره إلاَّ في حالة عدم كفاية المبلغ المنصوص عليه في وثيقة التأمين على السفينة.
2- إذا كان موضوع التأمين خاصًّا بالمصروفات التي تنشأ عن تعويم السفينة, التزم المؤمِّن بدفعها في حدود مبلغ التأمين, وذلك في الأحوال التي يجوز فيها للمؤمن له ترك السفينة بسبب خطر يشمله التأمين.
This is the official Arabic wording, the only legally binding version. We do not translate the law itself; the explanation below is ours. Official source: Bureau of Experts at the Council of Ministers
Article 341 explained in plain English
This article deals with two special kinds of insurance:
1. Insurance of assistance and salvage rewards (paragraph 1): the insurer is bound, within the insured sum, to:
- Pay the expenses spent to assist or salvage the ship because of a risk covered by the insurance.
- Pay any other reward due because of that risk.
But this insurance produces its effect only if the sum stated in the ship's insurance policy is insufficient. It is supplementary insurance that comes after the ship's basic insurance is exhausted.
2. Insurance of the ship's refloating costs (paragraph 2): the insurer is bound to pay them within the insured sum, in the cases where the insured may abandon the ship because of a risk covered by the insurance. This insurance does not cover refloating costs in every case, but only in the cases where abandonment is permitted.
Article 340 regulates insurance on the ship's freight, while Article 342 deals with insurance of seamen's wages and expenses, their repatriation and expected profits. To assess the need for these kinds of insurance, it is advisable to consult a lawyer who specializes in insurance and maritime cases.
Practical example
An insured ship runs aground, and large sums are spent to salvage it, with rewards exceeding what the ship's insurance policy covers. Its owner had concluded special insurance for assistance and salvage rewards, so the insurer under this policy is bound for the difference within the insured sum because the basic policy's sum was not enough.
Translated from our Arabic explanation with machine assistance. For guidance only; it does not replace advice from a lawyer on your situation.
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Frequently asked questions about Article 341 of the Saudi Commercial Maritime Law
When does insurance of salvage rewards pay?
It produces its effect only if the sum stated in the ship's insurance policy is insufficient, and the insurer is then bound within the insured sum.
Does insurance cover the costs of refloating the ship?
If the subject of the insurance is these costs, the insurer is bound to pay them within the insured sum in the cases where the ship may be abandoned because of a risk covered by the insurance.
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يجب أن يكون لدى الناقل تأمين أو ضمان من جهة معترف بها، لتغطية مسؤوليته عن الوفاة والإصابات البدنية. وفي هذه الحالة يجوز للمتضرر الرجوع المباشر على المؤمن أو الض
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- Article 295
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The texts are reproduced from the official website of the Bureau of Experts at the Council of Ministers for reference; where they differ, the officially published Arabic text prevails. This content is not legal advice.