Lloyd’s Register

Lloyd’s Register (LR) History:

In the 17th century, much of the shipping business in London was conducted in various coffee houses. Edward Lloyd was one such coffee house owner, and this coffee shop was frequently visited by the shipping business, especially underwriters. Edward Lloyd was producing ships’ lists and giving some account of vessels likely to be offered for insurance. Lloyd’s Register is a descendant of these lists Edward Lloyd’s coffee house. Lloyd’s Register contains details of all the merchant ships in the world of over 100 GT (Gross Tons). Lloyd’s Register is made up of a large variety of types, shapes, and sizes. Lloyd’s Register ships can be categorized not only by their specialist functions, ie bulk carriers, tankers, general cargo, containers, LNG, LPG ships, etc but also by how they are operated.

Ships can basically be operated in two (2) types:

  1. Liner
  2. Tramp

A ship can be employed as a liner in other words ship runs on a regular line between two ports or series of ports. Liner ships have a regular schedule of sailings and an agreed list of tariffs (freight). A ship can be employed as a tramp. A tramp ship is chartered or hired out at the best price and such a ship may go anywhere with any cargo.

 

International Association of Classification Societies (IACS) and Lloyd’s Register

The expected working life of a ship is in the region of 15 to 25 years. But, during shipping recessions, the life of a ship might go below 15 and a ship might be scrapped. During shipbuilding, many shipowners have their own particular preferences and style. A few ship types are mass-produced and a ship must not only be efficiently designed, but a ship must also be soundly built, and the certificate of an independent body as to the quality of design and construction may help a shipowner to convince an insurance underwriter that ship is seaworthy. Such independent bodies are known as Classification Societies. There are numerous Classification Societies but the oldest, one of the largest and perhaps most famous, is Lloyd’s Register (LR).

International Association of Classification Societies (IACS) was founded in 1968, and IACS members classify around 90% of the world’s GT (Gross Tonnage). International Association of Classification Societies (IACS) consists of 12 members. International Association of Classification Societies (IACS) agreed on common shipbuilding rules which came into force in 2006. In the maritime industry, there are about 40 small classification societies which are not all IACS members.

In its original state, when Lloyd’s Register (LR) was started in 1760, it was known as the ‘green book’ and it was for the exclusive use of underwriters. In order to obtain Lloyd’s class, a ship must be built under the scrutiny of the Class Society’s surveyors and ship strength and construction must satisfy the Class Society’s rules. Class Society’s rules apply to the machinery of the vessel.

A ship must undergo regular periodical surveys to maintain ship’s class. Engines, machinery parts, boilers, screw shafts, and a variety of specific items, depending on the type of ship, are also subject to periodical surveys in accordance with the society’s rules. In the UK, classification is voluntary but few shipowners would or could operate without classification. Not only the underwriters that the shipowners have to convince of a ship’s seaworthiness but also the charterers, shippers, financiers, various cargo interests, and the port state authorities of the countries the ship will visit.