{"id":12858,"date":"2020-08-21T10:32:46","date_gmt":"2020-08-21T10:32:46","guid":{"rendered":"https:\/\/securenow.in\/blog\/?p=12858"},"modified":"2026-01-12T07:27:00","modified_gmt":"2026-01-12T07:27:00","slug":"how-does-marine-cargo-insurance-work","status":"publish","type":"post","link":"https:\/\/securenow.in\/insuropedia\/how-does-marine-cargo-insurance-work\/","title":{"rendered":"How does Marine cargo insurance work?"},"content":{"rendered":"
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A marine cargo insurance policy<\/a> is a category of property insurance that provides protection to a property that is in transit. The losses to the property in transit can incur due to certain perils associated with transport by sea, by air, or inland waterways.\u00a0 Marine cargo insurance provides coverage to the goods and the means of transportation from damages caused due to weather issues, piracy, loading or unloading of cargoes, etc. This insurance mainly covers cargoes meant especially for international transportation and will cover the goods from the time they leave the warehouse of the seller until they reach the buyer’s warehouse.<\/span><\/p>\n

Major benefits of marine cargo insurance<\/b><\/h2>\n

Some of the major benefits provided by marine cargo insurance are:<\/span><\/p>\n

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  1. \u00a0 \u00a0 \u00a0<\/span>Comprehensive <\/span>all-risks coverage<\/span> is available which includes infestation, rejection of customs, dishonesty of employees, damage caused due to improper packaging of goods, etc.<\/span><\/li>\n
  2. \u00a0 \u00a0 <\/span>Flexible coverage options are available for the policyholders.<\/span><\/li>\n
  3. \u00a0 \u00a0 <\/span>The covers provided with cargo insurance can be customized to suit the needs of the policyholder.<\/span><\/li>\n
  4. \u00a0 \u00a0 <\/span>Assistance on claim settlement and survey is available worldwide.<\/span><\/li>\n
  5. \u00a0 \u00a0 <\/span>Extensions can be made to the marine insurance policy<\/a> to cover strikes, riots, or other perils of the sea<\/a>.<\/span><\/li>\n<\/ol>\n

    Marine Cargo Insurance Policy Types<\/b><\/h2>\n

    The types of <\/span>Marine cargo insurance<\/span> are described below:<\/span><\/p>\n

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    1. <\/b>Specific Cargo policy: <\/b>The specific cargo policy will provide cover against specific perils under the cargo, sent or received during the policy term.<\/li>\n
    2. Open policy: <\/b>\u00a0<\/b>The open policy will provide cover for cargoes within the policy period and also for the indefinite period until cancelled the policy, either by the insurance provider or the insured. Some insurance providers also include third-party liability coverage within this policy.<\/li>\n
    3. <\/b>Open cargo: <\/b>The open cargo policy will cover all the marine cargoes of the particular client within a 12-month policy term. The voyage involved in this case can be either an import or an export.<\/li>\n<\/ol>\n

      Marine Cargo Insurance Coverages<\/b><\/h2>\n

      The Marine Cargo Insurance<\/a> mainly offers four types of covers i.e.<\/span><\/p>\n

      1. <\/strong>Institute Cargo Clause(C) i.e. ICC C<\/b><\/h4>\n

      This is one of the most restrictive clauses of marine cargo insurance and only provides cover in case of specific cases such as:<\/span><\/p>\n