Marine Insurance
Essay Preview: Marine Insurance
Report this essay
MARINE INSURANCE
Marine insurance is a contract whereby the insurer undertakes to indemnify the insured in manner and to the extent thereby agreed against the losses caused in connection with a marine adventure including vessels, cargoes, freights and any other interests incidental to the marine adventure like wares, merchandise, transit by land, water or air and so on.
Types of Subject Matter of Marine Insurance
Hull Insurance
Cargo Insurance
Freight Insurance
Liability Insurance
Types of Marine Insurance Policy
Voyage Policy: Route predetermined, more suitable for cargo
Time Policy: Effective for a predetermined time, more suitable for hull
Mixed Policy: Mix of voyage and time policy both for vessel and cargo
Valued Policy: Subject matter pre-valued
Unvalued Policy: Subject matter is not pre-valued
Blanket Policy: premium prepaid for specific time, place and amount. Excess or shortage of premium is adjusted later.
Currency Policy: Policy amount is fixed in local currency but compensation to be paid in Dollar or Pound or Euro
Floating Policy: A large single premium which covers various voyages.
Block Policy: Covers marine risks as well as other related risks
Named Policy: Names of ship and cargoes are mentioned
Composite Policy: Several insurers cover huge amount of risk
P.P.I policy or Wagering Policy: Policy Proof of Interest i.e. there is no insurable interest but honored by the insurer for some business purposes
Port Risk Policy: Covers the risk of ship and cargo at the time of staying in port
Single Vessel Policy (single policy for a single ship) and Fleet Policy (single policy for several ships under same fleet):
Double Insurance Policy: Policy purchased for same subject matter from more than one insurer.