The current study aims to investigate the combined effect of cracking and pitting damage on the ultimate strength of ships. The well-known Smith’s approach is modified considering the random number and distribution of cracked-pitted plates in the ship cross-section. Using the Monte Carlo approach, the structural reliability index of the cracked-pitted ship is determined. A single-bottom oil tanker’s ultimate strength is computed, and it turns out that the reliability indices for various damage scenarios are nearly identical when the ship is at its early age. When the ship ages, its reliability index rises to its maximum if the damage is concentrated at the bottom under sagging conditions and at the sides and longitudinal bulkheads in hogging conditions. The reliability indices in the hogging conditions are often greater than those in the sagging conditions. Furthermore, it is determined that, while the ship is at its early age, the detrimental effect of pitting, cracking, or a combination of both on the reduction of the ship’s hull girder ultimate strength is equal. The lowest reliability index is seen in aged ships when cracking and pitting are combined, followed by cracking and pitting damage separately. It is shown that pitting corrosion has a lower reliability index than the general type of corrosion.