MARINE INSURANCE

WHAT IS MARINE INSURANCE

Marine insurance covers the losses or damages caused to ships, terminals and any transport or cargo by which goods are transferred, acquired, or held between different points of origin and final destination. The term may also apply to inland marine but it is usually used in the context of ocean marine insurance. It a haven for transporters and shipping corporations because it helps to lower the aspect of financial loss due to cargo loss. It is a crucial aspect because through this policy, shipowners and other transporters can be sure of claiming damages in case of a mishap.

DIFFERENT TYPES OF MARINE INSURANCE

HULL INSURANCE - Caters to the torso and hull of the vessel along with all the articles and pieces of furniture on the ship.

MACHINERY INSURANCE - All the essential machineries are covered under this insurance and in case of any operational damages, claims can be compensated. The above two insurances also come as one under Hull & Machinery (H&M) Insurance. 

PROTECTION & INDEMNITY (P&I) INSURANCE -  Covers the liabilities to the third party and risks which are not covered elsewhere in standard H & M and other policies.

LIABILITY INSURANCE - Compensation is sought to be provided to any liability occurring on account of a ship crashing or colliding and on account of any other induced attacks.

FREIGHT, DEMURRAGE AND DEFENSE (FD&D) INSURANCE - Provides claims for handling assistance and legal costs for a wide range of disputes which are not covered under H&M or P&I insurance.

FREIGHT INSURANCE - Offers and provides protection to merchant vessels’ corporations which stand a chance of losing money in the form of freight in case the cargo is lost due to the ship meeting with an accident.

MARINE CARGO INSURANCE - It protects the cargo owner against damage or loss of cargo due to ship accident or due to delay in the voyage or unloading.