Marine or cargo insurance is a specialized coverage designed to protect goods from loss or damage while they are in transit, whether by sea, air, or land. This insurance plays a crucial role in safeguarding the financial interests of businesses and helps them effectively manage their supply chains.
This policy covers a specific shipment during a single journey from the point of origin to its final destination. It’s ideal for businesses that require coverage for one-off shipments.
This policy accommodates multiple shipments over a designated time frame, offering more extensive coverage. It allows businesses to declare shipments to the insurer as they are dispatched, making it convenient for frequent exporters or importers.
This policy is linked to the total sales turnover of goods transported within a specified period. It is well-suited for businesses with varying shipment values, providing flexibility in coverage.
Coverage Scope: Evaluate the risks included in the policy, such as theft, damage, or loss during transit. It’s also essential to understand what is excluded from coverage.
Insurable Interest: Clarify who holds insurable interest in the cargo, as this affects policy ownership and claims eligibility.
Premium Costs: Compare premium rates from different insurers to find a plan that offers the best value for your specific business requirements.
Claims Process: Understand the claims procedure to ensure swift reimbursement in the event of loss or damage. A straightforward claims process can significantly ease stress during emergencies.
Additional Services: Consider insurers that provide extra services, such as cargo tracking and risk management advice, to further enhance the security of your shipments.
Policy Limits and Deductibles: Be aware of the coverage limits and any deductibles that may apply. This knowledge will help you prepare for potential out-of-pocket expenses in case of a claim.
