Overview The Running Clause, also referred to as the Running Down Clause (RDC) in marine insurance, is a key policy provision that extends liability coverage beyond hull damage to include third-party loss in cases of vessel collision. Under standard hull policies, damage to another ship or its cargo caused by the insured vessel is covered—typically […]
What is Insurable Interest in The Marine Policies?
The insurable interest in Marine policies means that policyholders must have a financial stake in the vessel, cargo, or other insured property. Insurable interest in marine insurance can arise in a number of ways. For example, the ship owner has insurable interest in its safe transportation and arrival. Cargo owner has insurable interest in safe […]
What is Inland Transit Coverage in Marine Insurance?
In Marine Insurance, Inland Transit Coverage stands as a protective bulwark for goods navigating overland routes. This active insurance component shields shipments against a spectrum of risks, encompassing damages and losses during transportation. As cargo traverses roads and railways, this coverage ensures comprehensive protection. Clauses within Inland Transit Coverage meticulously address diverse perils, from collisions […]
Are There any Exclusions in Marine Insurance Policy?
Marine Insurance Policy is one of the most useful covers offered by insurers to insure the businesses exporting/importing and transporting goods. It is a comprehensive policy that includes several covers depending on the type of transit undertaken. The policy is available in a customized format and covers all kinds of legal exports and imports of […]
What is the Meaning of Free on Board in Marine Insurance Policies?
Overview Freeboard in marine insurance refers to the vertical distance between the waterline and the upper deck of a vessel. It acts as a critical safety margin that ensures the ship remains buoyant, stable, and within insured limits. Why Free Board Matters: Safety Indicator: Less freeboard means a higher risk of water ingress during rough […]
What is Warranty in Marine Insurance Policy?
A marine insurance policy consists of several warranties. Marine Insurance covers the loss or damage of ships, cargo, or by any other means of transport, that’s transporting property. Therefore, it offers a warranty to an insured promise to do or not to do some particular thing. And so we must know what exactly a warranty […]
What is Open Marine Insurance Policy?
As the name says, an open marine insurance policy covers an indefinite number of inland movement of consignments. This insurance policy remains open until cancelled or exhausted the sum insured, whichever comes first. Under an open marine insurance policy, declared successive shipments to the insurance company. And they automatically get covered under the open marine […]
What does ‘both to blame Collision clause mean in a marine insurance policy?
‘Both-to-blame’ Collision clause in Marine Insurance In an event of a collision, the company’s liabilities and risks are covered by the ocean marine insurance policy purchased by the company. A marine insurance policy provides protection against losses for ships. Such policies also cover the shipping industry in the event of damage to the ship’s hull […]
What are the types of marine insurance?
There are several types of marine insurance policies available to cover the various risks associated with marine transportation. These policies mainly include Hull Insurance, Machinery Insurance, Cargo Insurance, Freight Insurance, P&I Insurance, War Risk Insurance, Builders’ Risk Insurance, Offshore Energy Insurance: Hull and Machinery (H&M) Insurance are types of marine policy that together cover damage […]
What is Insurable Interest for Different Parties under Marine Hull Policies?
The different parties which can take cover under the Marine Hull Insurance Policies are as follows: Shipowners, Shipbuilders, charterers, bankers, financiers of Ships, or vessels who have Insurable interest. Ship owner’s insurable interest: The marine hull policies cover the ship’s body or her ‘Hull’, also the ship’s machinery, ordinary fittings and tackle as required for […]