Being a freight forwarder, you are responsible for the damages or lost goods during transit and sued against damaged goods. In order to be on the safe side, a freight forwarder should always ask its clients to buy cargo insurance. Clients should buy cargo insurance as it is their insurable interest to protect the cargo […]
What is marine protection and indemnity insurance?
Marine protection and indemnity insurance (P&I) liability insurance are designed for addressing the needs associated with the marine industry. This insurance provides cover against all maritime risks associated with vessel operation, and third-party damages caused to cargo. It also safeguards insured against risks associated with environmental damages such as pollution, war, oil spills, etc. In […]
Why is marine insurance necessary?
Marine insurance is needed when the risks are associated with marine activities. These marine activities can include transportation by oceans and waterways. Or other means and mediums, building or maintaining water-going vessels, ships or submarines, etc. So, why is a marine insurance policy necessary? Some of the major reasons which make the purchase of a […]
How is marine insurance premium calculated?
Overview How Is Marine Insurance Premium Calculated? Marine insurance premiums are calculated based on several risk factors and the valuation of the insured shipment or vessel. The final premium is determined using the following core components: Insured Value (IV) – This includes the cost of goods, freight, and a markup for anticipated profits (often 10%–15%). […]
What documents must be submitted by the insured while filing a Marine Insurance claim?
In order to file a marine insurance claim, it is necessary to submit the following documents by the policyholder – Duly filled original marine insurance policy or certificate Copy of billing lading Survey report/missing certificate Original invoice and packing list along with weight notes Copies of all the correspondence exchanged between you and the insurance […]
Why is Marine Insurance important?
Insurance is an important protection for any business activity. Marine insurance is the oldest form of insurance that is essential to boost trade which ultimately leads to economic growth. Any business that is engaged in trade including the import and export of goods is exposed to a variety of risks that can result in loss […]
What is the difference between marine and cargo insurance?
Shipping Insurance Trade is an integral part of any economy. A business involved in trade needs insurance protection against various risks associated with the transport of goods or their shipment from one place to another. It is broadly known as marine insurance. Marine insurance is a wide concept available to buyers through various subtypes depending […]
For what Duration Marine Inland Transit Insurance Clauses apply?
Overview The duration clause in marine inland transit insurance outlines the time period during which the goods are covered. As per the Institute Cargo Clauses (A/B/C), the coverage typically begins when the goods leave the warehouse and ends either at delivery to the final destination or after a specified number of days (usually 60 days) […]
What are the Perils of the Sea in Marine Insurance?
Perils of the sea in marine insurance include extraordinary forces of nature faced by maritime ventures during the voyage. Broadly speaking, ‘peril of the sea’ covers damages to the ship during the voyage by the Acts of God. It includes those accidents or casualties which do not happen due to the free will of a […]
What is Deviation Clause in Marine Insurance?
Overview A Deviation Clause in a marine insurance policy governs what happens if a vessel changes its planned route during transit. This clause is crucial because an unjustified deviation can void the insurer’s liability from the moment of deviation onward, though losses incurred before remain covered. Permissible deviations—such as emergencies like storms, rescue operations, or […]