1. Perils of the Sea – extraordinary happenings of the seas that include stranding, sinking, collision of the vessels and damage to unusually heavy weather.
2. Fire
3. Assailing Thieves – robbery with force and not just ordinary theft or pilferage.
4. Jettison – throwing overboard of cargo to lighten and / or refloat the vessel, which was stranded.
5. Barratry – fraudulent act of the master or mariner against the shipowner’s interest.

It is an insurance against risk connected with naviga­tion, transportation or any stage in the  preparation  for shipment, to which a ship, cargo, freightage,  profits  or other insurance interest in movable may be exposed during a certain  voyage, shipment, transit or stage  of preparation for a fixed period of time. Marine Cargo Insurance is designed to insure merchan­dise from the time it leaves the seller's premises until  it reaches the buyer.  It encompassed all modes of conveyances, be it by land, sea or air.

COVERAGE

1. TYPE OF COVER

Base on various business needs, various types of policies can be arranged.

1. SINGLE POLICY
2. OPEN POLICY     

2. INSURED VALUE

1. Agreed Insured Value
2. Valued Policy

Insurance that covers the damage or loss for the vessel caused by perils of the seas such as bad weather, collision, sinking, stranded. It also covers risks of fire, explosion, piracy, jettison, collision, crew negligence, etc. Moreover, Marine Hull Insurance also covers for third party liability caused by collision liability and general average loss.

Policy provided includes full terms coverage and total loss coverage. Full terms insurance is for partial loss and total loss. Total loss condition is only for total loss coverage.

1. The Risk Covered 

1. Perils of the seas, rivers, lakes or other navigable waters
   
   The most obvious perils of the sea are grounding, stranding, sinking, capsizing, collision, heavy weather, contacts with floating/submerged or fixed objects.
   
   
2. Fire, explosion
   
   Fire arising from accident or other unascertained cause is covered as is fire caused by somebody’s negligence.
   
   
3. Violent theft by persons from outside the vessel

It does not cover clandestine theft or pilferage or theft committed by the ship’s crew (could be considered barratry) or passengers (if a mutiny, could be considered a piracy). Violence refers to the fact force or threat of force is used in a theft but not necessarily against a person.

4. Jettison

Throwing over board of part of the vessel’s equipment

5. Piracy

Piracy is an act of “plundering indiscriminately for their personal ends”

6. Breakdown of or accident to nuclear installations or reactors

Incorporating the Institute Radioactive Contamination Exclusion Clause reduces the coverage.

7. Contact with aircraft or similar objects, or objects falling there from, land conveyance, dock or harbour equipment or installation
   
   
8. Earthquake, volcanic eruption or lightning

These are intended to cover damage caused by natural calamities that are not necessarily perils of the seas.

9. Accident in loading, discharging or shifting cargo or fuel
   
   
10. Bursting of boilers, breakage of shafts or any latent defect in the machinery or hull

This covers the consequential damage caused by the above events.

11. Latent Defect

Latent defect is a flow or condition causing premature failure in the hull or machinery whether it is constructed or installed originally or it comes into existence as a result of the way in which the part was designed, constructed or installed.

12. Negligence of Master, Officers, Crew or Pilot

Negligence means doing something, which ought either to be done in a different way or not at all, or omitting to do something, which ought to be done.

Negligence of Repairers or Charterers provided such Repairers or       Charterers is not an Assured

13. Barratry of master, officers or crew

Barratry is a wrongful act willfully committed by the master or crew to the prejudice of shipowners.




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