Title 46, ShippingRelease 119-110
§53904 Liability Insurance for Persons Involved in War or Defense Efforts
Title 46 › Subtitle V — Merchant Marine › Part C — Financial Assistance Programs › CHAPTER 539 — WAR RISK INSURANCE › § 53904
Summary
The Secretary of Transportation can provide insurance to cover legal claims against people who give services or facilities for a ship. The Secretary may do this only if it is needed for prosecuting a war or for national defense and if approved insurance companies in a U.S. state will not sell it at reasonable rates or on reasonable terms. This insurance cannot cover employer liability or workers’ compensation for employees.
Full Legal Text
Title 46, §53904
Shipping, Source: USLM XML via OLRC
(a)In General.—
The Secretary of Transportation may provide insurance under this chapter against legal liability that a person may incur in providing services or facilities for a vessel if, in the opinion of the Secretary, the insurance—
(1)is required in prosecuting a war or for national defense; and
(2)cannot be obtained at reasonable rates or on reasonable terms and conditions from approved companies authorized to do insurance business in a State of the United States.
(b)Limitations.—
Employer liability insurance and worker compensation insurance against legal liability to employees may not be provided under this section.
Legislative History
Notes & Related Subsidiaries
Historical and Revision Notes
Revised SectionSource (U.S. Code)Source (Statutes at Large) 5390446 App.:1286.June 29, 1936, ch. 858, title XII, § 1206, as added Sept. 7, 1950, ch. 906, 64 Stat. 774; Aug. 3, 1956, ch. 929, § 5, 70 Stat. 986. In subsection (a), the words “a vessel” are substituted for “any American- or foreign-flag vessel, public or private” to eliminate unnecessary words.
Reference
Citations & Metadata
Citation
46 U.S.C. § 53904
Title 46, Shipping
Last Updated
Sep 22, 2026
Release point: 119-110