Marine Insurance is insurance of goods in transit by all modes of transport like Sea, Air, Road and Rail. The cover starts from the time it leaves insured’s premises while in ordinary course of transit till it reaches final destination.
Types of Policy
Specific Voyage Policy: This policy is issued to cover specific shipment of cargo.
Marine Open Policy/Cover: This policy/cover is issued to cover all shipments of customer for export, import and/or domestic movements over a period of one year
Sales Turnover Policy: This policy is suitable for clients who are involved in multiple movements of goods like Domestic Purchases, Imports, Domestic Sales, Exports, Stock Transfer between depots, factories, warehouses and/or c&f agents.
Coverage
Marine Insurance policies are generally issued as All Risk Policy. It covers loss or damage due to all fortuities subject to terms & conditions of policy. All Risk policies mention specific exclusion, which are not covered by policy.
Some Standard Major Exclusions
- Ordinary leakage, ordinary loss in volume or weights or ordinary wear & tear
- Loss or damage caused by insufficiency or unsuitability of packaging
- Inherent Vice
- Willful misconduct of the assured
- Damage attributed to delay how so ever caused
Some Important Add-on Covers
- Sellers interest – Buyers interest clause
- Contingent Duty Cover
- Shutout Cargo Clause
- Brand & Label Clause
- Seal intact Clause
- Concealed Damage Clause
Marine Insurance policies are tailor made to suit need of customers. Based on different needs and willingness of underwriters, Marine policies are structured.
Important considerations while taking a marine insurance cover
Policy Period: the policy should be in effect when transit begins.
Carrier: Check that the age of the vessel does not exceed 20 years for bulk cargos and 30 years for general and containerized cargos.
Geography: ensure that the destination is covered under the policy
Limits: ensure that the shipment value does not exceed the per sending limit stated in the policy
Premium payment: adequate premium balance is maintained at all times. Under section 64 V B of the Insurance Act, 1938, premium has to be paid before the risks incepts
Valuation: check whether basis of valuation stated in the policy is concurrent to your terms.
Declarations: ensure that timely declarations are sent to the insurer. If you use online facility for issuing certificates then this step can be avoided
Claims: in case of a claim you can send intimation to insurer/representative of insurer named in policy with copy to claims@probitas.in or call our office on +91 22 4302 0000
Documents to preserve
- Policy / Certificate of Insurance copy
- Original Invoice & Packing List
- Airway Bill / Bill of Lading / Original LR / Waybill along with damage/shortage remark
- Original Damage/Shortage/Non-delivery Certificate or Certificate of facts from carrier
For a further detailed understanding and explanation do please call us for a personal interaction on 022 4302 0000 or marketing@probitas.in