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Marine cargo insurance is cover for goods while being transported by sea.The cover will also extend to air, train and road.  The normal cover is from warehouse to warehouse.All destinations during the transit are included.

you must understand the cover you require and ensure you have the correct cover in place.A decent broker will provide advice and arrange cover however you should always try and insure for cargo clauses A.all risks cover will be provided on this basis.It is essential to have the correct cover.You have to bear in mind with out this you face only being able to claim from the liability cover of the carrier.The carrier would have to be deemed negligant and even then you will only be able to claim based on the weight of goods and not the replacement cost.

even with cargo clauses A, All Risks, it should be appreciated there will be exclusions in cover.  These can include damage due to improper packing, infestation and rejection by customs.

Many acronyms are used when considering marine insurance.These include FOB (Free on Board – seller assume all risk until title transfer of goods).

When dealing with Marine cargo (goods being sent by sea), general average will apply.  This will apply when a partial loss occurs on a marine transit.General average will apply in the event of a claim, say fire, where upon all owners of cargo on board will be made to contribute towards a loss.Marine cover should respond to this event.

A marine policy can be extended to include stock throughput cover.Cover is provided for stock in a third party or your own warehouse.Cover is a complete solution which will cover transit and storage.  

Consideration should be given to the insured value placed on the policy.  The insured value is calculated by adding the invoice cost, freight, insurance premium and any appllicable markup, usually a minimum of 10 percent.

Related posts:

1. Marine Insurance Basics For Newbies
2. Marine Insurance Plan – Boat Piracy Insurance Plan
3. Marine Insurance Coverage – Your Oldest Profession
4. Kobuta Marine Generators
5. The Marine Corps sword

This entry was posted on Wednesday, September 8th, 2010 at 8:49 pm and is filed under Home and Household. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.