There are many insurable interests which the shipowner cannot insure in the ordinary market.

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It has become the practice for shipowners to join mutual clubs to protect themselves from loss in respect of these interests.

Such mutual clubs are called P & I Clubs.

The club covers the 1/4ths collision liability not borne by the market, loss of life, person injury, damage to harbours, wharves and other objects, removal of wreck, infringement of rights, quarantine expenses, pollution, shipwreck indemnity to master and crew, liability to cargo and other interests not covered by the ordinary marine insurance market.

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