Marine Cargo Insurance

Insurance against risks connected with land transport and sea navigation including any stage in the preparation for shipment to which a cargo, ship, profits or other insurable interest in movable property may be exposed during a certain voyage or a fixed period of time.

Types of Marine Cargo Coverage:

  • Institute Cargo Clause (A)– takes effect starting from the warehouse of origin up to the destination warehouse. It covers all risk of loss or damage to the cargo, both partial and total loss, except if caused by the following:
  • Willful misconduct of the assured
  • Ordinary leakage
  • Ordinary loss in weight or volume
  • Ordinary wear and tear
  • Improper packing
  • Inherent vice
  • Delay
  • Insolvency or financial default of the carrier
  • Nuclear weapons
  • War and strikes
  • Institute Cargo Clause (B)– takes effect starting from the warehouse of origin up to the destination warehouse. It covers total loss of the cargo due to perils of the sea, including partial loss due to the following:
  • Sinking, stranding, burning, grounding
  • Fire, explosion, capsizing, collision, contact
  • Jettison, washing overboard
  • General average
  • Sue and labor charges
  • Discharge of cargo at port of distress
  • Overturning or derailment of land conveyance
  • Earthquake, volcanic eruption, lightning
  • Loss of entire package whilst loading, unloading, and during transshipment
  • Entry of sea, lake, or river water into vessel, craft, hold conveyance, container lift van or place of storage
  • Institute Cargo Clause (C)– takes effect starting from the warehouse of origin up to the destination warehouse. It covers total loss of the cargo due to perils of the sea, including partial loss due to the following:
  • Sinking, stranding, burning, grounding
  • Fire, explosion, capsizing, collision, contact
  • Jettison, washing overboard
  • General average
  • Sue and labor charges
  • Discharge of cargo at port of distress
  • Overturning or derailment of land conveyance