THIRUVANANTHAPURAM: There is growing suspicion that two recent ship accidents near Kerala’s international shipping route—occurring within just two weeks—may have been deliberately staged to claim massive insurance payouts. The MSC ELSA, which sank near Kochi on May 25, was 28 years old. The Wan Hai 503, which caught fire 45 nautical miles off the Beypore coast, was 20 years old. The estimated construction cost of both vessels exceeds Rs 500 crore.

Both ships and their cargo were covered by multi-crore insurance policies.

It is suspected that the shipping companies may have paved the way for these accidents by neglecting essential repairs and failing to address technical issues. However, only a detailed investigation will reveal the truth. The MSC ELSA had a faulty ballast management system, which is vital for maintaining a ship’s stability at sea. Although it was built to withstand waves up to 15 meters high in the Mediterranean, the vessel completely sank within 12 hours after listing 26 degrees off the Kochi coast.

The Wan Hai 503, which caught fire yesterday, had passed all inspections in Colombo before heading toward Mumbai. The sudden outbreak of fire and explosions after departure has raised suspicion. The exact contents of the more than 1,000 containers onboard both vessels remain unknown.

The average operational lifespan of cargo ships is about 25 years, while in countries like Japan, it is just 15 years. There are concerns that companies may be staging such accidents to avoid the massive costs of dismantling aging ships and purchasing new ones. Since salvaging old vessels from the sea is extremely expensive, insurance companies typically approve claims without hesitation.

42% of maritime accidents involve old ships

• In the past year, 42% of maritime accidents involved aging vessels, up from 10% in 2018.
• International Maritime Organization (IMO) and the European Union have tightened regulations on older ships.
• Due to increased cargo traffic, aging vessels are being used as feeder ships instead of being decommissioned.

No need for legal battles—just claim insurance.

The state government's stance is that instead of pursuing criminal cases against the companies responsible for these accidents, the priority is to secure insurance claims. As a result, these companies may escape without facing legal consequences. The incidents have been declared state disasters, and a committee has been appointed to assess the damages.

Insurance claims will be sought in accordance with international standards—for the loss of the ships, the goods in the containers, marine pollution, and the disruption of the livelihoods of fishermen.