PRIA Logo™
Title 46 — ShippingRelease 119-73not60

§44103 Financial Responsibility to Pay Liability for Death or Injury

Title 46 › Subtitle Subtitle IV— Regulation of Ocean Shipping › Part C— Miscellaneous › Chapter 441— EVIDENCE OF FINANCIAL RESPONSIBILITY FOR PASSENGER TRANSPORTATION › § 44103

Last updated Apr 5, 2026|Official source

Summary

Owners or charterers of covered vessels must prove, under rules set by the Federal Maritime Commission, that they have money or backing to pay for death or injury to passengers or others on voyages to or from a U.S. port. The amount is based on passenger accommodations: $20,000 each for the first 500, $15,000 each for 501–1,000, $10,000 each for 1,001–1,500, and $5,000 each over 1,500. If they run more than one covered vessel, the requirement is based on the ship with the most accommodations. That required amount must be available to pay any court judgment for death or injury. Owners can meet the rule with insurance, a surety bond from a bonding company allowed to do business in the U.S., qualifying as a self-insurer, or other proof the Commission accepts.

Full Legal Text

Title 46, §44103

Shipping — Source: USLM XML via OLRC

(a)The owner or charterer of a vessel to which this chapter applies shall establish, under regulations prescribed by the Federal Maritime Commission, financial responsibility to meet liability for death or injury to passengers or other individuals on a voyage to or from a port in the United States.
(b)(1)The amount of financial responsibility required under subsection (a) shall be based on the number of passenger accommodations as follows:
(A)$20,000 for each of the first 500 passenger accommodations.
(B)$15,000 for each additional passenger accommodation between 501 and 1,000.
(C)$10,000 for each additional passenger accommodation between 1,001 and 1,500.
(D)$5,000 for each additional passenger accommodation over 1,500.
(2)If the owner or charterer is operating more than one vessel subject to this chapter, the amount of financial responsibility shall be based on the number of passenger accommodations on the vessel with the largest number of passenger accommodations.
(c)The amount determined under subsection (b) shall be available to pay a judgment for damages (whether less than or more than $20,000) for death or injury to a passenger or other individual on a voyage to or from a port in the United States.
(d)Financial responsibility under this section may be established by one or more of the following if acceptable to the Commission:
(1)Insurance.
(2)Surety bond issued by a bonding company authorized to do business in the United States.
(3)Qualification as a self-insurer.
(4)Other evidence of financial responsibility.

Legislative History

Notes & Related Subsidiaries

Historical and Revision Notes

Revised SectionSource (U.S. Code)Source (Statutes at Large) 4410346 App.:817d(a) (1st–5th, 29th–last words), (b).Pub. L. 89–777, § 2(a) (1st–5th, 29th–last words), (b), Nov. 6, 1966, 80 Stat. 1356. In subsection (d)(2), the words “issued by a bonding company authorized to do business in the United States” are substituted for 46 App. U.S.C. 817d(b) to eliminate unnecessary words. The words “or any State thereof or the District of Columbia, the Commonwealth of Puerto Rico, the Virgin Islands, or any territory or possession of the United States” are omitted as unnecessary because of the definition of “United States” in chapter 1 of the revised title.

Reference

Citations & Metadata

Citation

46 U.S.C. § 44103

Title 46 — Shipping

Last Updated

Apr 5, 2026

Release point: 119-73not60