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"ABYC E11.17.1.4: The shore-grounding (green) connector is connected, without interposing switches or overcurrent protection devices from the shore power inlet to -an optional galvanic isolator, and then to -all non-current carrying parts of the boat's AC electrical system, including -the engine negative terminal or its bus."
That's what any surveyor or insurance inspector will be looking for.
The engine is assumed to be electrically connected to the propeller shaft and therefore grounded to the water, which provides the safety ground.
What I often find when working on an AC system is that although the AC green wire is connected to the engine negative terminal, the owner has recently installed a propeller shaft flexible coupling made of plastic or rubber (ie PYI, Globe, Vetus, etc) , without also installing the optional grounding connection through the coupling. Therefore, although the AC green ground wire is connected to the engine, the system is still dangerous because the engine is not grounded to the water through the propeller shaft and therefore the AC safety ground is not actually functional.
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