Three sets of conditions taken into account by the Classification Society for nuclear merchant ships are: (1) the ship must be protected, (2) the crew is not to be exposed to undue hazards, (3) when the ship is in port the general public is not to be exposed to undue hazards. Of greatest importance is the nature of the potential risk existing in the operation of a nuclear reactor. Any accident involving radiation hazards would certainly imply a wide emotional reaction by the public. Fuel element classification involves two principles: (1) nuclear factors which give the highest values of the neutron flux at characteristic spots, and (2) technological factors which take care of fabrication tolerances, deformations of the element in operation, coolant flow variations and accuracy and time lapse of the reactor control gear. Various conditions which need to be understood for proper classification of the pressure vessel and containment vessel are discussed, with great emphasis placed on the safety of operation outlined in the present classification systems. Present methods of examination of nuclear plants, including the use of ultrasonics, give results which aid in classification during the fabrication process. R&D programs are currently under way in some places to investigate in a more accurate manner the behavior of reactor systems under fault or accident conditions.