Fishermen are not keen on buying insurance for their fishing boats.

(Baonghean)While fishermen in southern provinces can easily purchase boat insurance, in Nghe An, most fishing boats are not insured. Therefore, when accidents occur, the fishermen bear the brunt of the consequences…

Recently, it has become a problem for fishing boat owners in the South. Although purchasing insurance was easy and convenient, when an insured event occurs, they find it troublesome and inconvenient, often facing denials of claims for various reasons. This is tantamount to insurance companies "ripping off" fishermen.
In Nghe An, due to cumbersome procedures and a lack of awareness, fishermen are very reluctant to buy insurance.

Nghe An province has over 4,000 fishing vessels, with about one-third being large vessels exceeding 90 horsepower. In previous years, thanks to fuel subsidies, the government encouraged fishermen to purchase fishing vessel insurance and crew insurance. However, for the past three years, the government's fuel subsidy policy has ended, leaving fishermen facing numerous difficulties at sea. Many lack the funds to purchase insurance, and most importantly, they are fed up with the cumbersome procedures involved in claiming insurance benefits after accidents.

Many fishing boats in Dien Chau have not purchased insurance for their vessels and crew members.
It's still working.

According to Mr. Hoang Nghiep, Chairman of the People's Committee of Tien Thuy commune, Quynh Luu district, the commune has 364 boats, of which 178 are between 90CV and 700CV, but none of them have purchased fishing boat insurance. Previously, people bought insurance, but now they no longer do so due to difficult living conditions, high operating costs, and low fish prices, resulting in many boat owners not making a profit and therefore not being interested in purchasing insurance. Mr. Nguyen Van Ke, Chairman of the Tien Thuy Commune Fisheries Association, stated: “From 2008 to 2010, 100% of fishing boats in Tien Thuy, Quynh Luu district had insurance, thanks to government support for fuel and insurance. But after that, the policy was discontinued.” From 2012 to 2015, according to Decision No. 09/2012 of the Nghe An Provincial People's Committee on agricultural support, the budget only supported 50% of the cost of crew insurance for fishermen from poor households. Fishing boat insurance was not included.

Fishing boat insurance in Tien Thuy commune, a thriving fishing area in Quynh Luu district, is currently virtually non-existent. This has led to numerous problems. In 2012, Mr. Nguyen Quang Han's boat sank just 70 nautical miles from shore, suffering losses exceeding 1 billion VND. In January 2013, Mr. Truong Cong Sau's boat in Duc Xuan hamlet, Tien Thuy, also sank. One crew member went missing, while the rest were rescued by a Thanh Hoa vessel. Mr. Nguyen Van Hong's boat also sank in 2013; fortunately, several other vessels came to his rescue, and salvage operations were hired to repair it, but this still cost hundreds of millions of VND. Despite such significant losses, the boat owners received no compensation because they did not purchase insurance, thus bearing the heavy consequences. Mr. Thanh, a fishing boat owner in Tien Thuy - Quynh Luu who also experienced an accident in 2012, said: "I thought I wouldn't be affected, but who knew I would be in trouble? When the accident happened, I panicked and there was no one to help me."

In Quynh Di - Quynh Luu, it is known that currently no boat owners have purchased insurance for their fishing vessels. Quynh Di has 72 fishing boats, but only a few have crew insurance, while the boats themselves have not. According to Mr. Nguyen Duc Xan, a fishing boat owner in Quynh Di, the reason is partly due to a lack of awareness, and partly because people are hesitant to go through the cumbersome procedures of insurance companies when receiving insurance payouts. People still talk about others who bought insurance three or four years ago but had great difficulty claiming compensation after an accident. Fishing boats are also bought and sold frequently, so new boat owners are not keen on buying insurance either.

The current situation of uninsured fishing vessels in Nghe An is quite common. This also raises the issue of fishing vessel management. If relevant agencies implemented stricter policies to inspect vessels before they set sail, requiring the presentation of crew and vessel insurance before departure, it would significantly reduce the number of uninsured fishing vessels. At the same time, insurance companies should provide fishermen with comprehensive advice and guidance on various types of insurance, terms, conditions, and compensation requirements, so that fishermen feel more secure when participating in insurance and their rights are protected in the event of an insured incident.

Text and photos: Chau Lan