A hybrid boundary element method is suggested to solve the problem of the interaction of floating structures with both waves and slow current. A pulsating source and its mirror image referring to the sea bottom are adopted as the Green's function. The velocity potentials are expanded into an eigenfunction expansion in the outer region of the fluid domain while higher order elements are used to discretize the boundary surface surrounding the inner region. The method is validated by comparing calculated results for a circular cylinder with the semi-analytical solutions. The method is then applied to ellipsoids of various breadth and draft to investigate the influence of body shape on the wave drift damping.