Catastrophic Fire Resulting in Constructive Total Loss

Catastrophic Fire Resulting in Constructive Total Loss
  • Vessel transited the Panama Canal in when an uncontrollable fire broke out resulting in the crew abandoning ship
  • AqM immediately notified H&M and P&I insurers who confirmed cover
  • AqM negotiated with 3 different salvors with the lead company being mobilised to deal with the fire within 4 hours of first advice and Lloyds Open Form being signed the same day
  • P&I insurers put up a USD2million guarantee to salvors the same day of the loss
  • Additional technical salvage support was flown in and AqM local grounding resulted in local subcontractors being appointed ensuring prompt and efficient delivery of service was provided
  • AqM mobilised two scrap buyers to inspect and make bids for the disposal of the wreck with an MOA being signed within 3 weeks of the loss
  • Owners recovered insured value of the vessel, USD6million, and out of pocket expenses IN FULL as well as all claim liabilities.



We focus on our clients’ needs with the aim to
minimize risk. AqM will go beyond the usual
boundaries of the standard insurance broker;
we combine knowledge, flexibility and progressive
thinking to achieve transparency for our clients.


1 Lloyd’s Avenue, London, EC3N 3DQ, UK

77th Street, San Francisco, Bldg 26,
Panama City, Republic of Panama
Direct dial from Panama + 838 6053


For your information and convenience we have published a number of Insurance Clauses, and Proposal Forms for you to download to view or print.

AqM is Authorised and Regulated by the UK Financial Conduct Authority (FCA) – 311727
Republica de Panama Superintendencia de Seguros Reaseguros ROC (Registration Number) – 002