Marine insurance covers the loss or damage of ships, cargo, terminals, and any transport by which the property is transferred, acquired, or held between the points of origin and the final destination. Cargo insurance is the sub-branch of marine insurance, though Marine insurance also includes Onshore and Offshore exposed property, container terminals, ports, oil platforms, pipelines), Hull, Marine Casualty, and Marine Liability. When goods are transported by mail or courier, shipping insurance is used instead.
Meet Contractual Requirements Export and Import cargo insurance meets contractual requirements that may oblige you to protect buyer's or their banker's interest. This is an important aspect while shipping goods CIF and CIP.
Limited Carrier Liability Cover This Marine Insurance cover offers overall protection to your cargo because freight forwarder and carriers' liability in the event of loss is limited. Also, they are not legally responsible for the most common causes of loss.
Customised Policy Export import cargo insurance can be customised specifically to your requirement. For instance, damage to cargo due to heating, breakage, leakage or damage due to extraneous causes can be covered.
Clear Loss Assessment Export insurance follows internationally accepted principles of total and average loss while estimating loss value. Total loss is when the cargo is completely destroyed while the average is when a part of it is damaged.
Wide Risks Covered
Covers Legal Requirement
Reduce exposure to financial loss
Generally, there are three types of covers, namely Institute Cargo Clause (C) - Named peril basis, Institute Cargo Clause (B) - Named peril basis and Institute Cargo Clause (A) - Unnamed peril basis. ICC (A) offers the widest form of cover under Marine Cargo Insurance because of the perils covered
In the basic Export and Import policy loss due to terrorism is not covered. But you can include this as an extension under the policy by paying the marginally extra premium. It is advised to do this addition at the time of buying the policy. We’ll make sure that you include the necessary add-on coverages while buying the policy
Institute cargo clause (C) also known as ‘named perils clause’ covers physical loss or damage to the cargo due to fire or explosion, discharge of cargo at the port of distress, vessel contact or collision, vessel or ship being stranded, grounded, sunk or capsized and overturning or derailment of conveyance other than water
Marine Export and Import cargo policy does not cover ordinary leakage, wear and tear of cargo, improper packaging and any delay, howsoever caused. Any willful misconduct and illegal activities are excluded from the policy. Damage to the cargo due to war, riot, strike, and civil commotion are also not covered. Insolvency or default by the carrier is also excluded
In order to file the claim under international cargo insurance, you should notify the insurer about the loss or damage to the cargo. Once intimated, you should take all the possible measures to minimise the loss of goods. The surveyor will be appointed by the insurance company who will inspect the loss, outward damage and missing packages. You have to submit all claim documents within a specified time limit in order to get a claim paid
Yes, you can claim for partial loss which is considered of two types. A general average loss which is caused voluntarily to avoid danger. For instance, the cargo might be thrown out of the ship to save the crew and ship, if it is sinking due to overload. The second type of partial loss is a particular average loss in which damage is caused by covered marine peril.
While filing a claim, you should provide duly filled claim form with other required documents such as:
Claims arising from loss of cargo due to fire, explosion, earthquake, volcanic eruption, the collision of ships or overturning can be filed under this clause of international marine insurance. Apart from this, you can also file claims arising from washing overboard, jettison loss, or if the package is dropped while loading or unloading from the vessel.
The premium rate of export and import cargo insurance generally depends on various risks associated with the business. While calculating premium, some factors like the nature of the cargo, type of packaging, the scope of cover, navigational territory and mode of conveyance are considered. Past claim experience or history also plays a role while determining the premium
In order to reduce the export marine insurance premium cost, you can opt for deductible, as this affects the premium directly. Higher the deductible, lower will be the premium. Also, you should make sure that you have taken appropriate measures to minimise the risk on the ship, such as installing safety equipment. You should also compare policies across different marine insurance companies in India.
While premium is important, the coverage provided by your Export and Import Marine insurance is the factor that you should consider first. While buying, you should look for a policy that covers all type of claims against various risks faced by your business. It is always recommended to buy adequate coverage regardless of premium in order to stay fully protected.
In order to buy Export & Import insurance, it is advised to take the help from our experts, We will help you to design a suitable policy, and provide you with multiple quotes from various insurers for comparison. We will be your one point of contact from buying the policy to filing the claim. To start just fill the contact details form above, and we will get in touch you in order to start the process.
