P&I Clubs, or Protection and Indemnity Clubs, are mutual insurance associations that provide liability coverage for shipowners and operators. They protect against various risks, including damage to cargo, environmental pollution, and injuries to crew members. Members pay annual premiums, which are pooled to cover claims made by any member. These clubs are essential in the maritime industry, as they help manage the financial risks associated with shipping operations. P&I Clubs also offer legal support and advice, ensuring that members comply with international regulations and standards related to maritime safety and liability.