Ensuring a high level of service reliability is of paramount importance in an all-electric ship. In the literature, shipboard power systems (SPS) have been designed for improved survivability and quality of service (QOS) requirements. This paper presents a two-level topology design approach and develops system-level architectures for SPS that ensure continuity of service and survivability in the event of outage or failure. A reliable SPS architecture is obtained by (1) the choice of topology, (2) optimally placing equipment loads within a topology, and (3) designing a reliable distribution circuit topology. First, a theoretical framework is developed to demonstrate the relationship between the reliability of a distribution circuit and the high-level topology of its connections. For the ship's primary distribution system, a breaker-and-a-half (BAAH) topology was observed to be the most reliable. The reliability indices are further improved by optimally placing equipment loads within the BAAH topology. For zonal electric distribution (ZED) systems, an algorithm to design an optimal topology by minimizing the number of conductors while satisfying a required reliability measure is proposed. It is concluded that the reliability of a distribution circuit depends on: (1) the topology of its connections, and (2) the relative placement of equipment loads and generators.