Anchor Your Assets, Safeguard Your Shipments: Inbest's Comprehensive Marine Coverage

Marine insurance is a contract of indemnification. Inbest’s marine insurance guarantees that the items shipped from the country of origin to the land of destination are insured. Our insurance covers the loss or damage of ships, cargo, terminals, and any other mode of transportation used to transfer, acquire, or hold items between their sites of origin and final destination. The word developed when parties began shipping commodities by water. Despite its name, maritime insurance applies to all modes of product delivery. For example, when items are carried by air, the insurance arrangement is referred to as marine cargo insurance.

The Ins and Outs of Marine Insurance

marine insurance broker in Kolkata

How does Marine Insurance work?

Helps Mitigate Risks

Marine insurance effectively shifts responsibility for the products from the parties and intermediaries involved with Inbest. The initial legal liability of intermediaries

handling the goods is inherently limited. By opting for an insurance policy, exporters can mitigate the exclusive responsibility for the goods and secure maritime insurance coverage, protecting against potential loss or damage during export.

Ensures full coverage

The carrier of the products may be responsible for the expense of any damages or losses sustained while on board. However, most remuneration agreements are based on a 'per package' or 'per consignment' basis. The coverage given may be insufficient to cover the cost of the goods sent. Exporters like to transport their items after insuring them with an insurance company like us.

Fulfills Export Contracts

The inclusion of marine insurance is imperative to fulfil contractual commitments in exports. Adhering to agreements, exporters must secure marine insurance to safeguard the interests of the buyer or their bank and uphold contractual obligations.

To obtain maritime insurance and avoid claims, ensure the following:

  1. Pack goods with a focus on ensuring safety during loading and unloading.

  2. Employ robust packing techniques to withstand natural hazards effectively.

  3. Consider the potential for clumsy handling or theft when securing goods for shipping.

Key Aspects Of Marine Insurance policies in Kolkata

Offer & Acceptance: 

The commodities covered by marine (transit) insurance are insured after the insurance firm accepts the offer, which is a fundamental component of any contract.

Premium Payment: 

Timely payment of the premium is crucial for ensuring that the owner's risk is covered adequately.

Contract of Indemnity: 

Marine insurance operates as a contract of indemnity, with the insurance company liable only for the actual loss suffered.

Utmost Good Faith: 

The owner of the goods being transported must transparently disclose all relevant information to the insurance company when insuring their goods.

Insurable Interest: 

Marine insurance is valid if the person has an insurable interest at the time of loss.

Contribution: 

In instances where a person insures their goods with two insurance companies, both companies will proportionately contribute to the loss in case of a marine loss.

Period of Marine Insurance: 

The insurance policy specifies the normal transit duration, typically not exceeding one year for open marine insurance.

Deliberate Act: 

If products are damaged or lost during transit due to the purposeful act of an owner, the policy will not cover the damage or loss.

Claims: 

To receive compensation under marine insurance, the owner must notify the insurance company immediately so that the company can take the appropriate steps to determine the loss.

Varieties of Marine Insurance Available in Kolkata, India

When considering marine insurance policies in Kolkata, acquaint yourself with the various options available to make a knowledgeable choice that aligns with your needs. The various types of marine insurance include:

Marine Cargo Insurance: 

Cargo owners face the risks of mishandling both at terminals and during a ship's voyage. Marine insurance, obtainable through a reasonable premium, acts as a financial shield for cargo owners. It covers instances of misplacement, damage, or loss of cargo. Moreover, it includes third-party liability insurance, providing coverage for damages caused by the insured cargo to the port, ship, railway track, other cargo, or individuals.

Hull & Machinery Insurance: 

The hull, as the principal supporting structure of a vessel, requires protection in the event of a ship accident. Hull insurance, commonly used by ship owners, safeguards against such calamities. In addition to hull insurance, machinery insurance is recommended to cover potential damage to the ship's machinery. The combined coverage is often referred to as Hull and Machinery Insurance.

Liability Insurance: 

Unforeseen incidents such as collisions, crashes, or piracy attacks may endanger valuable cargo and crew members' lives. Liability insurance is essential in such cases, protecting the ship owner from obligations caused by circumstances beyond their control.

Freight Insurance: 

This insurance category covers the loss of goods when items are lost or destroyed, or if the ship is lost. By compensating for such damages, goods insurance assures that the shipping company is not held liable for unforeseen circumstances affecting its cargo.

Coverage in Marine Insurance: What is covered and what is not covered in marine insurance?

Some of the most popular regions covered by marine insurance are:

  1. Total loss protection

  2. Sinking, stranding, fire, and explosion

  3. Earthquake or lightning strike

  4. Unpredictable administrative costs

  5. Cargo loss during loading or unloading

  6. Dumping or washing overboard

  7. Natural disasters

  8. Accident, collision, overturning, derailment

  9. Average in general

Certain scenarios are not covered by marine insurance, such as:

  1. Willful acts by the insured

  2. Liquid leakage, normal weight loss, volume loss, or normal wear and tear

  3. Inadequate or unsuitable packing

  4. Inherent vices or nature in the insured item

  5. Delay of goods

  6. Default by owners, managers, charterers, or operators on financial obligations

  7. Unsuitability or unseaworthiness of the conveyance

Marine Insurance - Frequently Asked Questions

FAQ-marine insurance

Several stakeholders are eligible for marine insurance, including those listed below:

  1. Manufacturers

  2. Importers and exporters

  3. Cargo owners

  4. Buying agents

  5. Buyers

To initiate a claim under maritime insurance, you may require the following documents: 1. Claim form 2. Insurance certificate with the policy number 3. Bill of lading 4. Missing certificate or survey report 5. Invoices, packaging lists, and shipping details 6. Copies of correspondence exchanged

There are three types of marine protection. These are freight insurance, ship/hull insurance, and cargo protection.

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