ImageMarine Hull Insurance- Secure Your Ship’s Hull and Machinery

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  • > The Benefits of Hull Insurance
  • > Quick Guide to Hull Insurance
  • > Frequently Asked Questions
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The Benefits of Hull Insurance

Comprehensive Coverage

A Marine Hull insurance policy protects the hull and machinery of your vessel. It covers loss or damage from perils like fire, explosion, robbery, collision, and ship-damaging risks.

Flexible Plan

You can purchase Marine Hull insurance for a specific journey. As an alternative, cover your vessel for a set period, typically 12 months, regardless of its voyages.

Inland Vessels Covered

A Marine Hull insurance policy can cover vessels using inland waterways against risks like collision, piracy, and sinking. It also covers raising, removal, or destruction of wrecks, among other risks.


Easy Documentation

Buying Marine Hull insurance is quick and easy. The agreed value determines the sum assured for Hull and Machinery insurance. This value closely aligns with the vessel's cost.

Quick Guide to Hull Insurance

Hull Insurance

Hull insurance protects ships, boats, and onboard machinery from physical damage. Shipowners, boat owners, and marine businesses typically purchase this insurance to safeguard against various ownership and operation risks.


Hull insurance can cover a variety of risks, including damage from collisions, grounding, storms, and other perils. Policies cover equipment loss, machinery damage, and accident-related salvage and towage costs for comprehensive protection in unforeseen events.


In addition to standard marine hull insurance, there are several specialized types of coverage available. For example, "Builder's risk" insurance covers a new vessel during construction. "War risk" insurance provides coverage for ships in politically unstable or conflict-prone areas.


Premiums for hull insurance depend on factors such as vessel type, age of vessel, equipment value, and operating area. The insurer also considers the level of risk associated with the vessel's intended use when determining premiums.


Hull marine insurance is crucial for ship and boat owners. It provides financial security against accidents and unforeseen events. By purchasing hull insurance, owners can mitigate financial risks tied to vessel ownership and operation. This ensures preparedness for water-related challenges.

Features of Hull Insurance

Ships at sea risk collisions, storms, and equipment failure. Additionally, they face potential damage from natural disasters, requiring careful navigation and preparedness. Hull insurance helps protect shipowners from the financial consequences of these risks.


It has two main types, that is, Comprehensive Cover and Specific Perils Coverage policies. The main features of hull insurance are:


  • Coverage for physical damage - Covers physical damage to the insured vessel, including damage from collisions, storms, and other accidents.
  • All-risk coverage - It covers all types of damage unless specifically excluded in the policy.
  • Agreed value coverage - The policy covers an agreed-upon value for the vessel, determined at the time of issuance.
  • Salvage and recovery - Hull insurance covers salvaging and recovering the vessel costs in case of accidents or losses.
  • Deductibles - Hull insurance policies, like others, may have deductibles—portion of loss the insured is responsible for paying.
  • Optional coverage - Certain hull insurance policies may include optional coverage for personal effects, fishing equipment, and third-party liability.
  • Premiums - Hull insurance premiums vary based on factors like the vessel's value, age, and selected coverage limits.

Depending on vessels’ working area policy can be Inland water vessels insurance, Marine vessel insurance, Coastal marine insurance, and aviation hull insurance.

Benefits of Hull Insurance

Hull insurance is an essential type of insurance for vessel or ship owner and operator. The following are some of the key benefits of hull insurance:

  • Protection against financial losses - The policy covers vessel damages or losses, relieving financial impacts from repair or replacement expenses.
  • Liability coverage - Covers liability for other vessels or property damage, bodily injury to passengers, crew, or third parties. Additionally, it provides coverage for pollution caused by the vessel.
  • Peace of mind - It protected vessel owners against financial losses and liabilities, providing them reassurance and peace of mind.
  • Compliance with regulations - Law or lenders may require hull insurance for financed vessels.
  • Flexible coverage options - The vessel owner or operator can customize the policy to meet their specific needs. It offers options for different levels of coverage and deductibles.
  • Assistance with claims - If a covered loss occurs, the insurer can provide assistance with the claims process. This assistance helps expedite the repair or replacement of the vessel.

Consider both the advantages and drawbacks of marine insurance before purchasing a policy. However, advantages of marine insurance far outweigh the drawbacks, particularly for parties owning or operating vessels seeking financial protection.

What is the coverage provided by hull insurance?

Hull insurance includes fixtures attached to the ship hull as a functional part, into the definition of the hull. Marine Hull Insurance, focused on water-going vessels, is a key part of broader marine insurance coverage.


It covers all types of vessels operating in the oceans, lakes, and rivers. These encompass various vessel types such as bulk carriers, fishing boats, ships, tankers, cruises, yachts, jetties, and wharves.


The policy is crucial for boat owners, safeguarding their vessels from machinery damage and hull destruction, ensuring comprehensive protection. Also covers fittings, liabilities, and other crucial aspects.


Mainly the policy insures against the following perils of the sea:

  • Destruction of hull
  • Damage to machinery
  • Disbursement losses
  • Ship-breaking losses
  • Fittings and freight

Hull insurance may cover third-party liability, addressing losses caused by your vessels to other ships or boats. They may also cover injuries to ship workers, providing comprehensive protection in maritime operations.


Case on Hull Insurance
Couch Adventurer Ltd. operates three ocean liners equipped with five-star facilities. The ships are large and have multiple safety features, apart from satellite Integration and ocean early warning systems.


A crew manned each ship with approximately 200 on a normal workday and carries a maximum of 1000 passengers. As any accident results in a significant loss of public life. Therefore, the license of Couch Adventurer insured the ship with a comprehensive marine hull policy.


The policy covers damages to the ship because of a mishap. It also covers compensation payable to the employees and tourists on the ship.


The company also maintains contingency funds to meet with certain expenses not covered by the insurer. Such as injury to passengers or crew members while boarding or debarking the ship on a pier, etc.

Hull Insurance for Financial Safety of Shipper

Godavari Shipping Ltd. is the second-largest shipping company running river transport in the country. The firm manages 20 river vessels including 5 with passenger-carrying capacity.


In some areas, the company reported, damaged ships because of collisions with other boats and fishing vessels. To recover such losses, hull cover under maritime insurance is a must for the firm. At times, facing issues such as a discarded fishing net stuck in the underwater turboprop blades. The ship had to undergo repair as a result.


Such incidents increase the cost of repairs and operations. They also cause the firm to lose revenue because of ship operations cessation. The company's hull insurance covers losses from collisions, even though such incidents with third-party claims are rare.


Godavari trains its staff for improved performance and emergency handling, reducing avoidable losses and enhancing overall efficiency.


The firm had to abandon goods midway to save the vessel and remaining cargo in a critical situation. They had to disburse the repair cost for an emergency repair at the next port. Which was not the destination port and had to pay general average liability for the lost goods.


Documents Required for Hull Insurance Policy in India

Note the documents required for a Hull Insurance claim below:

  • Application form - Fill out an application form with your personal details. Provide information about your vessel, including make, model, and year of manufacture.
  • Registration certificate - Provide a copy of the vessel's registration certificate to confirm ownership and other pertinent details.
  • Builder's certificate - For a newly built vessel, a builder's certificate is necessary to confirm construction and quality.
  • Proof of value - Provide value proof with an invoice or certified surveyor's vessel valuation certificate when needed for policy.
  • Previous insurance policy - : When renewing a hull insurance policy, provide a copy of the previous policy.
  • Safety certificates - Certain vessels may require safety certificates like load line or safety equipment certificates for submission.

Note that the required documents for a hull insurance claim may vary based on the insurer and policy terms. This depends on the insurer and the terms and conditions of the policy. Carefully review the policy documents and requirements before applying for coverage, as recommended.

Hull Insurance Policy Claim Process in India

In India, the claim process for a hull insurance claim process typically involves the following steps:

  • Notify the insurer - The first step in the claim process is to inform the insurer about the loss or damage to the vessel. Complete this task as soon as possible to ensure a prompt starting of claim process.
  • Submit the claim form - The insurer will issue a claim form, requiring completion with loss or damage details. Include supporting documents like photos, bills, and repair estimates with the form.
  • Survey of the damage - The insurer may appoint a surveyor to assess the extent of the damage or loss. The surveyor will submit a report to the insurer, who will use it to assess the claim amount.
  • Settlement of the claim - Upon approval, insurer either repairs the damage or compensates for the loss, settling the claim.

Acknowledging that the hull insurance claim process may vary is crucial, depending on the policy's terms and conditions. Note that the hull insurance claim process varies based on the policy's terms and conditions.

Difference between Marine Cargo, Hull, and Machinery Insurance Policy

A marine cargo insurance policy covers damage to transported goods. A marine hull and machinery insurance policy provides coverage for physical damage to the ship or boat. The policy typically includes the following components:


  • Hull and machinery insurance - It protects the insured vessel from physical damage, including collisions, storms, and other accidents.
  • Cargo insurance - : It shields transported goods, covering damage or loss from accidents, theft, and other risks occurring during transit.
  • Liability insurance - It shields against harm to others or their property from the insured vessel's operations, including other vessels.

The policy may also include additional coverage for things like salvage and recovery, wreck removal, and personal effects. Premiums for this policy type vary based on the vessel and cargo value, along with chosen coverage limits.


Carefully reviewing the terms and coverage of a marine cargo insurance policy is crucial. Ensure that it meets your specific needs and requirements. Additionally, it's crucial to review the terms and coverage of a marine hull and machinery insurance policy. This ensures that it aligns with your specific needs and requirements.


An insurance broker or agent can assist you in understanding and choosing the right policy for your needs.

Frequently Asked Questions

Marine hull insurance compensates owners for vessel damage caused by covered perils, ensuring financial protection in such unfortunate events. The policy covers repairs or replacements for the vessel's hull and machinery in case of total or partial loss. It provides financial protection to boat owners.
Yes, hull insurance is a type of marine insurance. Specifically designed to cover ships or vessels transporting goods via waterways.
  • Cargo insurance protects goods in transit, while hull insurance covers vessel and machinery damage.

  • Buy cargo insurance to protect transported goods via air, water, road, or rail. Covers all modes of transportation. A hull insurance policy specifically protects ships or vessels while they are in movement via the waterways.
  • Insuropedia

    What is Hull Insurance?

    Hull insurance is an insurance policy especially designed for covering ship damage expenses, the ‘Hull’ refers to the main body of the ship. Hull insurance can be understood to be somewhat like a car insurance, with the difference being that it is meant for a water-faring vehicle instead being for of a land-faring vehicle.

    Hull insurance also includes any fixtures attached..

    Read More

    What is a constructive total loss in Marine Hull insurance policy?

    A constructive total loss in marine hull insurance 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 is abandoned...

    Read More

    What is Insurable Interest for Different Parties under Marine Hull Policies?

    The different parties which can take the cover under the Marine Hull Policies are as follows: Ship owners, Shipbuilders, charterers, bankers, financiers of Ships or vessels who have Insurable interest.

    Ship owner’s insurable interest: The marine hull policies cover the ship’s body or her ‘Hull’, also the ship’s machinery...

    Read More

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