Marine cargo insurance policy covers against damage and loss to freight, goods, and other interests when these are being transported by road, sea, rail or air. There are several types of marine insurance policies with unique coverage, ranging from FIRE RISK ONLY to ALL RISKS.
The scope for marine insurance policy is for goods' transportation, and classified into import, export, and inland transport.
Types of Cargo Insurance Policies
Annual Turnover Policy: It covers transit of finished, semi-finished products and raw materials of the insured's trade in export, inter depot movement, import, incidental storage from point of origination to its destination. Some of the features of this type of cargo insurance policy are:-
- Seamless cover for movement of goods. No hassles for submitting frequent declaration of movements of the insurer. Only need is submission of quarterly or monthly sales figures.
- Great savings on premium. This is charged only on the sales turnover.
- Payment facility of premium on quarterly or half-yearly basis.
This marine insurance at riskfreelife.com is an annual cargo insurance contract, which promises sufficient sum cover for many types of dispatches until insured sum exhausts by declaration.
- The policy may safeguard a sum for outgoing and/or incoming consignments anywhere in India or anywhere from India to elsewhere.
- It is known as floating policy as well, and helps in rescuing the insured from the inconvenience of buying individual insurance for the good dispatched in the country.
- The insured sum under this cargo insurance policy represents the sum estimated as the annual turnover of the goods.
Specific Voyage: As a marine insurance policy, this plan issues cover for specific single transits. When the cargo arrives at its destination, the cover comes to an end.
Annual Policy: It is given for goods that belong to the assured, or held in trust with the same. But it must not be applicable to contract of purchase or sale, in transit by rail, or road from specified processing units or depots to other specified processing units and depots.
- The policy is for transport contractors/operators/forwarding and clearing agents
- Such policies cannot be assigned or transferred
- Insured retains the insurable interest
- A prohibited policy is liable to the conditions of average
Open Cover: In marine insurance policy or cargo insurance policy with open cover, agreement is made rather than the policy, and the insurer will accept insurance for all shipments permitted by the assured, in adherence to terms and conditions, for a fixed period, mostly 12 months.