Wednesday, 10 January 2018

Why you do Marine Insurance?

Marine Insurance
Marine insurance is defined as a ‘Protection against future losses. Marine insurance is another departure from the general term ‘Insurance’ and as the name suggests it provides insurance to the ships, boats and mostly the cargo which carries goods.  Marine insurance plays a very important role because through marine insurance ship owners and transporters can claim damages especially considering the mode of transportation used. There are four modes of transport- road, rail, air, and water. Water mode of transport causes a worry to the transporters because of harm to the cargo due to natural calamities and another incidence which could cause a huge financial loss.
Marine insurance is important to all transporters and in marine insurance, the transporter can choose the insurance plan as per their size of his ship, many such minor points which could go a great extent in affecting the transport majorly. There are various plan and policies which covers the various ships, the transporters can choose and can get benefits of the best policy which suits his business.

Marine Insurance coverage
The marine insurance policy covers the different risks. Apart from covering different damages or losses like involved in sea, Marine insurance also covers the conditions related to cross-border armed battles. As we all know, the open waters can create a big obstacle to your ship and cargo and this can cause huge financial damage. Marine insurance ensures you’re all assets and finance is protected against such situations.
The cost of Marine Insurance depends on the size of your ship, routes taken and value of the cargo. You can choose specific coverage and through this, you can reduce cargo coverage to meet the important need of your business. Marine insurance can be tricky and companies are very strict when it comes to making claims.
Benefits of cargo insurance
The cargo insurance is also considered as a part of Marine Insurance which covers the loss or damage of any goods while in transit. Cargo policies have two plans, Open Perils, and Named Perils. Cargo can be insured for a single shipment or multiple shipments over a specific period of time. Most of the policies provide coverage to cargo’s value as well as other charges based on payment. Always keep in mind that, cargo insurance has geographical restrictions, so read your policy carefully before dealing with it.
Types of Marine insurance
·         Port risk policy- It is the marine insurance which guarantees the safety of your ship while it is stationed in a port.
·         Liability insurance-  It is the type of marine insurance it provides compensation for any liability that may occur such as a ship crashing or colliding with another ship as well as other attacks.  
·         Freight Insurance- It is the type of insurance which protects the Merchant Ships Corporation that is at risk of losing money in the form of freight. This would occur when the cargo is lost following an accident and solve the problem of companies.
·         Cargo insurance- It is the type of Marine insurance that is specific to the cargo ships and also pertains to the belongings of the ships.
·         Hull insurance- It is the type of insurance that is mainly for all the articles and pieces of furniture on the ship.
 Invest in Marine Insurance and secure your business.

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