The Announcement
The announcement outlines several fundamental changes to the previous position taken by the French authorities and clarifies some, but not all, of the issues which concern yachts and their crew who spend time in France:
• New definition of French residency both ashore and on board yachts when in France
• New ruling concerning the time period when yachts are in shipyards in France
• Precision on the alternative of taking out private insurance rather than registering with ENIM
These changes have come about thanks to the ongoing efforts of industry partner Associations such as MYBA, ECPY, GEPY, and the
PYA along with those bodies representing the interests of commercial businesses.
Thank you to the PYA for sharing an analysis of the new instruction in both English and French, prepared by the firm of maritime lawyers, Ince & Co, which has been commissioned by MYBA to monitor the situation.
Clarification on the meaning of “residency on French territory’’
Two alternative criteria can be taken into account in order to determine the length of residency “in a stable and regular manner”:
The presence of the applicant’s household in France; OR
Presence on French territory or in a French overseas department for an aggregated period of at least 6 months (over a period of 12 months).
Where a seafarer does not have a household in France, the 6 month period is now used as a criterion to determine whether such seafarer is resident in France by virtue of their presence on board a vessel as part of their employment. The length of their residency is analysed with regard to the presence of the seafarer in French territorial or internal waters.
A seafarer must be registered with ENIM or a private insurance scheme at the beginning of their employment if it is anticipated that they will stay in in French territorial or internal waters for a period of 6 months or longer.
The 6 month period does not need to be continuous.
Special rules for refit periods
Ince & Co have obtained special treatment for seafarers employed on board a yacht located in a shipyard, or during periods which the yacht is immobilised due to refit/repair or other works.
Seafarers on board or employed to work on a foreign-flagged yacht are not required to affiliate with ENIM for the period in which the yacht is undergoing such works.
Concept of cover of the French Social Security Code
Private insurance needs to cover all the branches of Article L.111-1 of the French Social Security Code. However, the actual level of coverage for each of those branches by private insurance will not be monitored by ENIM.
Where a seafarer is covered by private insurance
It is acceptable for the costs of private insurance to be for the account of seafarers, subject to any obligations relating to the payment of certain costs incumbent on yacht-owners/employers.
For the full details of the report
please read here or contact Ince & Co directly.
