Marine insurance provides compensation for incidental collateral damage to the shipment during transit. In addition to that, it covers the goods and cargo that the ship carries. Therefore, cargo insurance is a category of marine insurance. In addition, it covers maritime accidents, marine insurance and hull vandalism. Thus, whatever the destination of the ship, it is necessary to take out a marine insurance policy.
Benefits of marine insurance in India
Globally, transportation takes place by air, road, rail and sea. However, for bulk transport abroad, the sea is the most common choice of transport. Despite the ease of transporting bulk loads by sea, it elicits a great deal of caution due to its unpredictable natural accidents. So, to avoid incurring losses due to unforeseen attributes, marine insurance is important. In addition, it offers a variety of benefits for the shipping company as well as the carrier.
Few advantages associated with marine insurance
- Full coverage: It provides insurance against all marine threats and thus offers compensation for the same.
- Flexibility: The policy offers a range of options depending on the budget and the needs of the insurance company.
- Claims investigation and settlement assistance: Investigation of settlements and complaints is feasible worldwide.
- Extension of coverage: Police lineups to get additional coverage for factors like raids, riots, etc.
- Customized: The policy can be changed to meet customer needs.
Marine insurance included
The insurance covers the following situations:
- In case of fire, explosion, sinking of the cargo during transport.
- Collision, overturn and also derailment for land transport.
- Discharge of the cart due to anxiety or agitation.
- The general sacrifice recovers the charges.
- Natural disasters like tsunami, earthquake, lightning, etc.
Exclusive marine insurance
Similar to inclusions, there are some that are excluded from coverage such as:
- The quality of the packaging is not appropriate, which causes the damage.
- If the damage is intentional and premeditated.
- Unsuccessful transmission due to bankruptcy, no liquidation or inappropriate financing.
- Depreciation of goods.
Types of marine insurance
This covers the torso, hull, items and some furniture of the ship. This insurance is used to reimburse losses in the event of an incident.
All equipment and machinery is covered by this insurance. In addition, hull and machinery insurance could be concocted as one, that is to say hull and machinery insurance (H&M). In addition, extends to the risk of war and the risk of strike action.
Protection and compensation insurance (P&I)
The owners in association form a P&I club which offers this insurance. Exclusively, covering terms that are not present elsewhere. In addition, the protection deals with risks related to the property of the carrier (crew complaints). During this time, the indemnity deals with the risks due to the rental of the ship (Cargo).
This type of insurance covers obligations resulting from a ship crash, collision, sinking and related accidents.
Freight, demurrage and defense insurance (FD&D)
This is fully defense insurance by offering handling assistance and legal costs (confrontations) that are outside the scope of P&I and H&M.
This provides insurance to the customer’s carrier who loses money in freight when the cargo is damaged in an accident. In addition, it avoids any loss suffered by businesses.
Marine freight insurance
This is specifically intended for cargo owners to protect the cargo during the journey. In addition, in many cases, coverage extends to damage to cargo during loading and unloading at port.
Marine insurance policy
The repayment period depends on the type of insurance policy. Here are the types of policies available
- Travel policy (valid for 1 year)
- Time policy (valid for a specific duration)
- Mixed policy (a combination of time and travel policy)
- Open / unassessed policy (the value is not predefined, so compensation only after inspection)
- Value policy (previously the value of the cargo is mentioned)
- Port risk policy (guarantees the safety of the ship in port)
- Betting policy (no fixed conditions, not written and therefore not legal)
- Floating policy (only the amount of the claim is present, no other details)
- Single ship policy (small or one ship owner)
- Fleet policy (several ships, one owner insures all under one policy)
- Blockage policy (covers all damage whether by rail, road or sea)
Marine insurance providers in India
- ICICI Lombardâ Covers all modern transport, with all their respective threats. In addition, it is a flexible, fast and efficient means of handling.
- General Insurance Company TATA AIG – They are the pioneers of online marine insurance and they provide 24/7 support. In addition, they offer to tailor the policy according to the needs of the client.
- United India Insurance Co. Ltd.- they cover most policies and they compensate damage in all means of transport (air, road, rail and sea)
- IFFCO Tokio General Insurance- Likewise, provides coverage for all means of travel. In addition, covers all damages.
There are many other providers, including Bajaj Allianz, HDFC Ergo, etc.
Best Appropriate Marine Insurance Policy
In India or elsewhere in the world, a range of options are available. However, it is important to compare the plethora of insurers against the requirements. Then select the plan that works best for you. In addition, the search engine offers you some questions that help analyze the needs and then display the appropriate policies.
- First, inform the insurer of the claim
- State the type of damage and the circumstances in which it occurred
- Then, the inspection of insurers
- All policies, original invoice and document submission
- Finally, after examination and verification, the amount of the claim will be released