What is Marine Insurance ?

Marine Insurance is a type of insurance that provides coverage against the losses or damages of cargo or goods during transportation between the points of origin to the destination. Marine insurance policy provides coverage for all means of transportation example road, railway, air, sea, couriers and postal service.
Marine Cargo insurance primarily covers loss during transit caused due to fire, explosion, hijacks, accidents, collisions, and overturning. We offer specially curated plans for covering the risk of theft, malicious damage, shortage, and non-delivery of goods, damages during loading and unloading, and mishandling of goods/cargo. The insured can choose the coverage based on specific business requirements. The policy is available for a variety of cargo/goods if you are dealing in or manufacturing them.

Why Should You Buy Marine Insurance ?

As an entrepreneur your goods are of immense value to you. It’s your source of revenue. Insuring your goods against any unfortunate incident, while they are being transported, means securing your own future & business.
If you’re an individual and making a move due to personal or professional reasons, you’re likely to be worried about a lot of things already.
Your household items no doubt have memories attached to them and you have painstakingly collected each thing as you’ve moved ahead in life. Knowing that all your stuff is safe means you can breathe easy about this one thing at least.

What is Covered in Marine Insurance ?

All the modes of transportation namely, air, water, rail & road are covered under this policy. Goods being transported via courier services are also insured.
Your goods in transit will be protected against vehicle collision, overturning, derailment, or accidents happening anywhere from the source to destination. This coverage can also be extended to loss or damage of goods due to theft, strike, riots, terrorism, and other hostile acts by human by opting for appropriate coverage as per one’s needs.

What Are the Types of Marine Insurance ?

For business operators who regularly engage with cargo, transit, and marine transportation companies, understanding the types of marine insurance can be a lesson in risk management.

The types of marine insurance depend on how you conceptualize the insurance cover, the risk parameters, and the underlying assets. The two broad types of marine insurance policies are generally divided based on coverage and the insurance contract structure.
Types of Marine Insurance as Per the Types of Coverage:

Who Needs Marine Insurance?

Having this policy is essential for businesses and individuals equally. Business consignments are usually high in value and any damage can directly effect business.

When it comes to an individual, relocation is regarded as one of the most stressful life events, be it for job change or marriage. Whatever your reason may be for transporting your goods, our policy safeguards your goods against material damages.

Hi-Tech

Since 2007 we have been a visionary and a reliable software engineering partner for world-class brands. We are a boutique digital transformation consultancy and software development company that provides cutting edge engineering solutions.

IT-Tech is the partner of choice for many of the world’s leading from the enterprises, SMEs and technology challengers.

Industrial

Since 2007 we have been a visionary and a reliable software engineering partner for world-class brands. We are a boutique digital transformation consultancy and software development company that provides cutting edge engineering solutions.

IT-Tech is the partner of choice for many of the world’s leading from the enterprises, SMEs and technology challengers.

Banking

Since 2007 we have been a visionary and a reliable software engineering partner for world-class brands. We are a boutique digital transformation consultancy and software development company that provides cutting edge engineering solutions.

IT-Tech is the partner of choice for many of the world’s leading from the enterprises, SMEs and technology challengers.

Medical

Since 2007 we have been a visionary and a reliable software engineering partner for world-class brands. We are a boutique digital transformation consultancy and software development company that provides cutting edge engineering solutions.

IT-Tech is the partner of choice for many of the world’s leading from the enterprises, SMEs and technology challengers.

Automotive

Since 2007 we have been a visionary and a reliable software engineering partner for world-class brands. We are a boutique digital transformation consultancy and software development company that provides cutting edge engineering solutions.

IT-Tech is the partner of choice for many of the world’s leading from the enterprises, SMEs and technology challengers.

Marine Cargo Insurance

This is one of the types of marine insurance policies that are systemically important. The insurance policy covers the cargo, the tanker, and the third-party liabilities.

The Cargo Can Get Damaged During the Process

while unloading or loading, or during the transit, or even during an accident. Since a ship-owner and operator has to run an extensive operation, her entity is liable to several businesses. Having third-party coverage protects her from paying off every related party if the ship undergoes an accident. The same insurance policy also covers the very tanker and the ship carrying the cargo.

Damage Liability Insurance

This form of marine insurance policy is broadly structured to cover many unforeseeable risks associated with an asset. If the asset can get damaged anytime during the transit via marine routes, it can be covered with comprehensive damage liability insurance.

Hull Insurance

While the cargo may belong to a separate entity, the logistics might get handled by a distinct entity, and there might be a different entity on the receiving end of the shipment – the vessel-owner has to ensure her risks are mitigated. The hull insurance plan covers explicitly everything on the vessel that is under the proprietorship of the vessel-owner.

Damaged or Lost Freight Insurance

The shipping company might be held liable by several parties in one go if the shipment is damaged or lost in transit. And yet, there is a probability of this happening on practically any route. This insurance cover will help the shipping company get compensated if the damage is incurred from an event out of its direct control. 

Types of Marine Insurance as per the Structure of the Plan

  • One-Year or Timed Policies: These are valid for a fixed period of the contract.
  • Open Policy: All the shipments are made in a stipulated period.
  • Voyage-Based Insurance Cover: As soon as a specific voyage to a particular period is over, the policy expires. There are also some hybrid policies covering both the timed plans and voyage-based plans.

Cargo Value Cover

The cargo's value is already determined and agreed upon in the insurance documentation. This value is then insured.

Floating Plan (Ideal for Regular Customers)

All the traders, importers, exporters, or shipment companies that regularly engage in marine transits should take this cover. It gives them particular coverage before the vessel is on its way. The other details are disclosed later. It saves time and still provides the necessary protection.

Wager

This cover provides compensation only against the considerable damages. No stipulated amount is discussed prior.

Exclusion of Marine Policy

  • Ordinary leakage or loss in good’s weight.
  • Loss or damage due to wilful act of negligence and misconduct.
  • Any loss or damage due to excessive delay.
  • Loss or damage due to improper packing.
  • Financial default or insolvency of owners, charterers, managers, or operators of the vessel.
  • Loss or damage due to wire, strike, riot and civil commotion.
  • Loss or damage arising from the use of nuclear fission, weapon, or any other radioactive force.
  • 1/4th of collision damage.
  • Removal of wreck.
  • Contamination due to radioactive rays.
  • Attack or damage from biological, biochemical, chemical, electromagnetic or any such type of weapons.
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