What is Deviation Clause in Marine Insurance? When the ship intentionally changes its route or remains in port without cause then deviation in marine insurance happens. Thus, the deviation is the new route or delay of the ship. Unless the marine insurance states otherwise, there is a breach of the insurance contract by the party […]
What are the Various Clauses of Marine Insurance Policies?
Various clauses of Marine Insurance are explained briefly below: Valuation Clause Here the value of the subject is the value as decided between both parties. In case of any loss or damage, the compensation amount would not exceed the amount as stated in the marine insurance policy. Case: K.S Shipping is planning to buy a […]
What is Particular Average Clause in Marine Cargo Insurance?
A particular average clause refers to the particular loss or damage caused to cargo due to a particular peril. The person affected by the damage to the cargo bears the loss. Thus, in any situation, it is not possible to shift the burden of loss to others involved in the shipment. So, under the particular […]
What is Constructive Total Loss in Marine Cargo Insurance?
A constructive total loss in marine cargo insurance means that the cost of repair of a damaged item is more than the current value of the item. The insurer settles the insured the entire amount. Since the repairing cost exceeds the replacement or market value so the insurer settles the entire claim. Insurance companies often […]
What is new Jason Clause in Marine Insurance Policies?
According to the marine insurance policies, the new Jason clause is included in most of the bills of ladings. To understand the meaning of the new Jason clause, it is important to understand how marine insurance works. What is marine insurance? A marine insurance policy is an agreement whereby the insurance company or the insurer […]
What is a constructive total loss in hull marine insurance policy?
A constructive total loss in the Hull Marine Insurance policy means that the cost of repair of a damaged ship/vessel is more than the value of the ship/vessel. In a constructive total loss, the insured vessel is abandoned as its actual total loss appears to be unavoidable. Retrieving the ship from the place where it […]
How Does the Sales Contract affect the Marine Transit Insurance Contract?
In the case of a marine transit insurance contract, the terms of the sales contract are what will affect and who will get compensated. The main parties to a sales contract are a seller and a buyer. Others associated with the sales contract are bankers, carriers, and clearing agents among others. It is the seller […]
Warranties in Marine Insurance
In marine insurance, a warranty is a promise or assurance given by the insured to the insurer regarding the condition or use of the insured property or vessel. A warranty outlines the insurer’s liability and determines if the insured can make a claim for vessel or cargo loss or damage. They play a crucial role […]
Know About All the Clauses in A Marine Insurance
A marine insurance policy works wonders by covering you and your consignment against a myriad of perils like fire, earthquake, lightning, washing overboard, etc. The policy comes loaded with various clauses in Marine insurance, some are listed below: 1. Institute Cargo Clause A The clause covers all the risks of loss or damages to goods. […]
What if the same goods are insured by multiple marine insurers?
A marine business can insure its goods with multiple marine insurers. However, the law dictates that you inform the second and consequent insurers about the previously taken insurance(s). Steps to take when insuring goods with multiple insurers A marine insurance buyer should inform secondary and consequent buyers about his earlier taken insurance policies. Even if […]