What risks are covered under marine insurance?

• Sinking, stranding, fire, explosion.
• Loss in loading or unloading cargo.
• Total loss coverage.
• Earthquake or lightning.
• Unforeseeable administrative expenses.
• Jettison or washing overboard.
• Collision, overturning, derailment, accident.
• Natural calamities.

• Freight Insurance.
• Liability Insurance.
• Hull Insurance.
• Marine Cargo Insurance.

What is indemnity in marine insurance?

Principle of Indemnity

According to the principle, the marine insurance policyholder would be compensated only to the extent of the loss. It means, the person should not buy marine insurance to get profits. In any case, the policyholder will not get more than the actual loss happened.

What are the benefits of marine insurance?

Benefits of Marine Insurance Plan:

It provides all-round coverage against a wide variety of risks faced while at sea. Most marine insurance providers offer claim survey assistance worldwide, along with claim settlement assistance.

Is rain water damage covered by marine insurance?

Below given risk can be covered under I.C.C. 'b' on payment of additional premium: Theft, pilferage and/ or non-delivery. Fresh water and rainwater damage.

Is theft covered in marine insurance?

As the name entails, all risk marine insurance is cargo insurance that covers any and all instances of theft, loss, or damage to your cargo. The insurance policy is all-encompassing and covers the following instances of theft, loss, or damage: Stranding. Sinking.

What is particular risk?

Particular risks are risks that affect only individuals and not the entire community. Examples of particular risks are burglary, theft, auto accident, dwelling fires. ... For example, the risk of unemployment is generally not insurable by private insurance companies but can be insured publicly by federal or state agencies.

What are the excluded losses under the marine insurance?

Again the Act prefaces the exclusion with: 'Unless the policy provides,' then goes on to state that '… the insurer is not liable for any loss caused by ordinary wear and tear ordinary leakage and breakage, inherent vice or nature of the subject matter insured, or for any loss caused proximately by vermin or rats, or ...

What are the principles of marine insurance?

The fundamental principles of Marine Insurance are drawn from the Marine Insurance Act, 1963* As in all contracts of insurance on property, the contract of Marine Insurance is based on the fundamental principles of Indemnity, Insurable Interest, Utmost Good Faith, Proximate Cause, Subrogation and Contribution.

What are the salient features of Marine Insurance Act?

Marine insurance is an indemnity policy under which an insurer agrees to compensate for losses or damages in consideration of the timely payment of premium. The contract of marine insurance shall cover the clause for indemnity as in no case Assured shall be allowed to make profits out of claim amount.

What are the advantages and disadvantages of marine insurance?

There are not many disadvantages associated with marine insurance. The insurance premium fee indeed adds a little cost to the shipment. As a result, the price of transportation cost increases a bit. But compared to the risk involved in a shipment, it is very low.

How is damage in marine insurance settled?

Survey and Claim – As per the marine insurance, if at the time of taking the goods delivery, any package shows signs of outward damages, the policyholder or his agents must call for a detailed survey by the ship surveyors and also lodge the monetary claim with the shipping company.

Which risks are not insured against in any of the marine cargo policies?

Marine cargo policies always contain a FC&S (Free of Capture & Seizure) clause, which excludes war risks, strikes, riots and civil commotions and similar risks. A specific agreement must be made for an additional premium to be paid if these perils are to be insured.

What are marine losses?

A marine loss is a loss in quantity or quality of commodities that occurs between the time the B/L is issued to the shipping company and the time the shipping company turns over custody and control of the commodities to the Awardee (or the Awardee's designated C&F agent), usually at the port.

What does marine transit insurance cover?

Marine Transit insurance typically covers the safe transport of all types of goods, and any loss or damage to ships, cargo, terminals or marine infrastructure projects.

What is SRCC cancellation clause?

An insurance clause referring to loss or damage directly caused by strikers, locked-out workmen, persons' participation in labor disturbances, and riots of various kinds. The ordinary marine insurance policy does not cover this risk.

What is tail end risk in marine insurance?

Onward journey from the discharge port to the warehouse or factory, where the cover has terminated at the discharge port is called tail-end risk. Majority of CIF import in India are insured till the discharge port (CIF discharge port) hence onward journey from discharge port needs to be insured.

Is marine insurance mandatory?

Marine insurance is mandatory for all ship and yacht owners to obtain, especially where the vessel is to be used for commercial or transportation purposes and where it will be carrying passengers, workers, or cargo across international waters.

What are the essential elements of marine insurance contract?

Do you mean by marine insurance?

Marine Insurance — a type of insurance designed to provide coverage for the transportation of goods either on the ocean or by land as well as damage to the waterborne instrument of conveyance and to the liability for third parties arising out of the process.

What are the 5 principles of insurance?

What is not covered in hull insurance?

Exclusions under Marine Hull Insurance

Normal wear and tear of the hull and machinery. Damage done due to nuclear activity. Radioactive contamination. Damage done by the crew members under the influence of alcohol.