The ship's flag for centuries reflected the nationality of the shipowner and the ship itself, but changes that occurred during the 20th century have changed this fact completely. One of the most significant changes is the emergence of flags of convenience that have taken over the world merchant fleet. The conditions and methods of granting registration were suitable for shipowners, which minimized costs and increased competitiveness. However, shortcomings in navigation safety soon followed, and the number of substandard ships, environmental disasters, and exploitation of shipboard crew increased. For these reasons, port state control inspections are necessary for the maritime industry. The international community and other regional communities are working to address the shortcomings of the flag of convenience system using various methods; the most accepted of which is the Port State Control model. The topic of flags of convenience and ship inspections is addressed in this final paper using reviewed literature.