Days before the deadline, the brokers pieced together two new insurance facilities to provide shipowners with the necessary COFRs.
The final regulations required all vessels over 300 tons, from oil tankers to ships carrying dry goods, to have COFRs to enter or trade within U.
The limits prescribed by the Coast Guard were but one factor in the clubs' rejection of the COFRs, however.
In no way would they provide the COFRs, even if that meant their members could not ship to and from the United States.
Johnson & Higgins' concept for a contingency insurance facility to offer COFRs was unveiled at the annual meeting of the International Union of Marine Insurance in Stockholm in September.
The initial plan called for the facility to provide COFRs through the purchase of a master bond.
Meanwhile, First Line "has yet to pay a nickel" on the COFRs it has issued, he added.