Introduction

Launch and Recovery System (LARS) equipment represents a significant investment for maritime and offshore operations. These sophisticated systems are designed to safely deploy and retrieve lifeboats, rescue craft, and personnel in emergency situations. Given their critical role in safety operations and their substantial capital value, LARS equipment requires specialised insurance coverage that goes beyond standard commercial policies.

Whether you operate a commercial vessel, offshore platform, rescue service, or maritime facility, understanding your insurance obligations and options for LARS equipment is essential. This comprehensive guide explores the complexities of LARS equipment insurance, the specific risks involved, compliance requirements, and how to secure adequate protection for your operations.

What is LARS Equipment?

Launch and Recovery Systems are mechanical and hydraulic systems installed on vessels and offshore installations to safely launch and retrieve lifeboats, fast rescue craft (FRC), and personnel transfer vessels. These systems are critical safety infrastructure regulated by international maritime law.

Types of LARS Equipment

• Davit Systems: Mechanical arms that lower and raise lifeboats over the vessel's side
• Gravity Davits: Systems that use gravity to assist in lifeboat deployment
• Crane-Based Systems: Integrated crane systems for personnel and equipment transfer
• Winch Systems: Motorised winches for controlled deployment and recovery
• Wire Rope and Rigging: Critical components including cables, shackles, and attachment points
• Hydraulic Components: Pumps, cylinders, and control systems
• Control Systems: Electronic and manual controls for safe operation

Applications Across Industries

LARS equipment is utilised across multiple sectors including commercial shipping, offshore oil and gas operations, rescue services, naval vessels, research vessels, and maritime training facilities. Each application presents unique operational challenges and insurance considerations.

Regulatory Compliance and Standards

LARS equipment is subject to stringent international and national regulations designed to ensure operational safety and reliability.

International Maritime Regulations

• SOLAS (Safety of Life at Sea): International Convention requiring all commercial vessels to carry certified lifeboats with properly maintained LARS equipment
• LSA Code (Life-Saving Appliances Code): Specifies technical requirements for lifeboat systems and davits
• IMO Resolution MSC.81(70): Amendments to SOLAS regarding lifeboat and rescue craft safety
• IMCA Guidelines: International Marine Contractors Association standards for offshore operations
• Class Society Rules: Lloyd's Register, DNV GL, ABS, and other classification societies maintain specific requirements

Maintenance and Certification Requirements

All LARS equipment must undergo regular inspections, maintenance, and certification. Insurance policies typically require evidence of compliance with these standards. Failure to maintain proper certification can result in policy voidance or claims rejection. Annual thorough examinations, five-yearly overhauls, and continuous maintenance records are essential documentation for insurers.

Key Risks Associated with LARS Equipment

Understanding the specific risks associated with LARS operations is crucial for securing appropriate insurance coverage.

Mechanical Failure

LARS equipment operates in harsh marine environments subject to constant corrosion, salt spray, and extreme weather conditions. Mechanical failures can result from material fatigue, inadequate maintenance, design defects, or manufacturing flaws. A davit arm failure during lifeboat deployment could result in catastrophic consequences, including loss of life and vessel damage.

Operational Errors

Improper operation, inadequate crew training, and failure to follow procedures represent significant risks. Errors in deployment sequences, overloading beyond rated capacity, or operating in unsuitable sea conditions can cause equipment damage and endanger personnel.

Environmental Damage

Corrosion, rust, and material degradation occur rapidly in marine environments. Salt water exposure, UV radiation, and temperature fluctuations accelerate deterioration. Without proper protective coatings and maintenance protocols, LARS equipment can deteriorate significantly over time.

Collision and Impact Damage

Davits and recovery systems can sustain damage from vessel collisions, contact with other structures, or impact during rough sea operations. Such damage may render equipment temporarily or permanently unusable.

Liability Exposure

If LARS equipment failure results in injury or death, operators face significant liability claims. Professional indemnity and public liability coverage becomes critical, particularly for rescue services and maritime contractors.

Business Interruption

Equipment failure may prevent vessel operations, leading to lost revenue, delayed cargo delivery, and contractual penalties. Offshore operations particularly suffer from business interruption when LARS systems require repairs.

Insurance Coverage Options for LARS Equipment

Comprehensive LARS equipment insurance typically combines multiple coverage types to provide complete protection.

Equipment and Machinery Insurance

This core coverage protects LARS equipment against physical damage from covered perils including mechanical breakdown, electrical failure, and accidental damage. Coverage typically includes repair or replacement costs, with agreed values established during policy inception. Deductibles and sub-limits may apply to specific components.

Maintenance and Breakdown Coverage

Extended coverage options can include planned maintenance, routine inspections, and preventive servicing costs. Some policies offer breakdown coverage that reimburses emergency repair expenses incurred when equipment fails unexpectedly.

Professional Indemnity Insurance

For companies providing LARS maintenance, inspection, or operation services, professional indemnity insurance protects against claims arising from professional negligence, errors, or omissions. This coverage is essential for independent contractors and service providers.

Public Liability Insurance

Covers legal liability for bodily injury or property damage to third parties resulting from LARS equipment operation. This becomes critical if equipment failure causes injury to crew members or damage to other vessels or installations.

Employers Liability Insurance

Protects against claims from employees injured during LARS operation or maintenance. Statutory requirement in most jurisdictions, this coverage is essential for any organisation employing personnel involved with LARS systems.

Business Interruption Insurance

Reimburses lost revenue and ongoing expenses if LARS equipment failure prevents normal operations. Coverage typically includes lost profit, fixed costs, and additional expenses incurred during the interruption period.

Factors Affecting Insurance Premiums

Insurance providers assess multiple factors when determining LARS equipment insurance premiums.

Equipment Age and Condition

Newer equipment in excellent condition typically attracts lower premiums. Older systems may face higher premiums or coverage restrictions, particularly if maintenance records are incomplete.

Maintenance History

Comprehensive maintenance records demonstrating compliance with regulatory requirements significantly reduce premiums. Conversely, poor maintenance history or missed inspections result in higher costs or coverage limitations.

Operational History

Claims history directly impacts premiums. Organisations with previous equipment failures or incidents pay higher premiums than those with clean operational records.

Crew Training and Competency

Evidence of proper crew training, certification, and competency assessments reduces premiums. Well-trained personnel demonstrate lower risk profiles to insurers.

Operating Environment

Vessels operating in harsh environments (Arctic waters, tropical regions with high corrosion) face higher premiums than those in moderate climates. Frequency and intensity of equipment use also influence costs.

Safety Protocols and Procedures

Documented safety procedures, regular drills, and emergency response plans demonstrate risk management commitment and typically result in premium reductions.

Claims Process for LARS Equipment Damage

Understanding the claims process ensures smooth resolution if LARS equipment sustains damage.

Immediate Response Requirements

Upon discovering damage, operators must immediately notify their insurance provider and document all circumstances. Failure to report promptly may jeopardise claims. Preserve all evidence including photographs, video footage, and witness statements.

Professional Assessment

Insurers typically require independent professional assessment of damage. Certified marine engineers or LARS specialists evaluate the extent of damage and repair requirements. This assessment forms the basis for claim settlement.

Repair Authorisation

Before commencing repairs, obtain written authorisation from your insurance provider. Proceeding with unauthorised repairs may result in claim denial or reduced settlement.

Documentation and Evidence

Maintain detailed records of all repair work, parts replacement, and labour costs. Original invoices, receipts, and engineer reports support claim substantiation.

Settlement and Payment

Once the claim is approved, settlement occurs according to policy terms. Payment may cover repair costs, replacement costs, or agreed values, depending on policy provisions and damage extent.

Best Practices for LARS Equipment Protection

Implementing comprehensive protection strategies minimises risks and supports insurance claims.

Regular Maintenance Programme

Establish and strictly adhere to manufacturer-recommended maintenance schedules. Document all maintenance activities, inspections, and repairs. Regular servicing prevents many equipment failures and demonstrates due diligence to insurers.

Comprehensive Training

Ensure all personnel involved with LARS operations receive proper training and certification. Conduct regular refresher training and competency assessments. Well-trained crews operate equipment safely and identify potential problems early.

Environmental Protection

Implement corrosion prevention measures including protective coatings, regular cleaning, and appropriate storage. Protect equipment from extreme weather when possible. Environmental protection extends equipment lifespan and reduces damage risk.

Regular Inspections

Conduct frequent visual inspections for signs of wear, corrosion, or damage. Identify and address minor issues before they escalate into major problems. Inspection records demonstrate proactive risk management.

Emergency Response Planning

Develop comprehensive emergency response procedures for equipment failure scenarios. Conduct regular drills to ensure personnel understand procedures. Emergency preparedness minimises consequences if equipment fails.

Spare Parts Inventory

Maintain adequate supplies of critical spare parts to enable rapid repairs. Availability of replacement components reduces downtime and business interruption.

Choosing the Right Insurance Provider

Selecting an appropriate insurance provider ensures you receive specialised coverage tailored to your LARS operations.

Specialist Marine Insurers

Choose providers with demonstrated expertise in maritime equipment insurance. Specialist insurers understand LARS-specific risks and regulatory requirements better than generalist providers.

Claims Support

Evaluate providers' claims handling processes and support capabilities. Responsive claims support minimises disruption when equipment damage occurs.

Risk Assessment Services

Many specialist insurers offer risk assessment and loss prevention services. These services help identify vulnerabilities and implement protective measures, potentially reducing premiums.

Flexible Coverage Options

Select providers offering flexible coverage options that can be customised to your specific operations. One-size-fits-all policies may leave gaps in coverage.

Conclusion

Launch and Recovery System equipment represents critical safety infrastructure requiring comprehensive insurance protection. The combination of regulatory complexity, operational risks, and significant capital investment makes specialised LARS equipment insurance essential for maritime operators, offshore companies, and rescue services.

By understanding the specific risks associated with LARS operations, maintaining compliance with international regulations, implementing robust maintenance and training programmes, and securing appropriate insurance coverage, organisations can effectively protect their equipment investment and minimise operational disruption.

Partnering with specialist marine insurers who understand LARS-specific requirements ensures you receive tailored coverage that addresses your unique operational needs. Proactive risk management combined with comprehensive insurance protection provides the foundation for safe, compliant, and financially secure LARS operations.