Marine Cargo/Hull

What is covered

Marine insurance deals with matters of the sea such as import and export that are transported by sea & air referred to as cargo insurance. The insurance covers the insured’s property against loss or damage arising from perils the sea, air, land and inland water ways

This is the body of the ship which is usually made of fiber glass, metal or wood. With this type of insurance, we are looking at the body of the ship, machinery and equipment on board the vessel, and potential liability to third parties

Ship-owners’ liability whether contractual or to third parties are all capable of being covered under marine insurance by extension of the hull policy. The contractual liabilities are those of which arise under the contract of affreightment in connection with cargo or liabilities to passenger etc. Third party liabilities include damage to persons and property caused by the negligent navigation of the ship

Protection and Indemnity clubs are not insurance but non-profit mutual association of ship-owners and chatterers who came together to provide cover for liabilities not covered under the ITC clauses. The Clubs cover members’ liability for 7 major claims: • Cargo (claims for short delivery, loss of or damage to cargo) • Crew (medical expenses, repatriate compensation for death or injury) • Collision (to extent not covered by ITC hull clause) • Fixed and floating objects (damage to dock) • Third party injury and death (stevedores, passengers) • Oil pollution (fines, wreck removal etc) • Cover also includes costs and expenses incurred in investigating and handling claims

The sum insured is paid if the insured suffers an accident or is off work due to sickness. The insurance is taken on an annual basis. The policy can be taken by individual or group to cover:

•  death
• total loss of sight in one or both eyes
• total loss of one or both limb
• permanent total disablement
• permanent partial disablement
• temporary total disablement
• temporary partial disablement
• medical expenses

The main provisions of this policy indemnifies the insured against claims for damages and claimant’s costs for breach of professional duty, due to negligent act, error or omission made against him during the period of insurance.

Key features:

• cover is on claims made basis
• the negligence must have been committed in the conduct of business
• negligence by predecessors is covered
• professional duty only is covered
• discovery period of three months is allowable

This cover is issued to commercial organisations to indemnity an employer against direct pecuniary losses and loss of stock through acts of dishonesty by employees. Types of policy are:
• Individual
• Collective (named)
• Blanket
• Position