Marine Insurance

What you need to know

What is Marine Insurance?

Marine Insurance covers the loss of or damage to ships, cargo, terminals and any transport or cargo by which property is transferred, acquired or held between the points of origin and final destination. It is designed to protect against four main types of marine exposures:

1. Cargo – Marine cargo insurance typically covers the accidental damage of or theft of goods transported by sea, air and road.

 

2. Hull/vessel – Hull insurance protects against loss of ships and vessels and property damage to hull and machinery, constituting the ship itself for owners of merchant ships, yachts and fishing vessels.

 

3. Loss of income – Marine loss of income insurance covers a shipowner against loss of business income resulting from damage to or loss of the insured vessel. When written for cargo vessels, whose income is called freight, the cover is referred to as freight insurance.

 

4. Liability – Marine liability insurance protects the insured against liability for bodily injury or property damage arising out of specified types of accidents.

Who needs Marine Insurance?

Whether you’re a freight forwarder, a ship repairer or a yacht club—thefts, accidents and sinking ships can wreak havoc to your bottom line. To protect your profit from these losses, a customised Marine Insurance program is essential.

The Winley Insurance Group solution

If you’re looking for Marine Insurance or you just want to learn more, Winley Insurance Group can help! We offer a wide variety of marine property covers, including:

Project cargo insurance – Covers the transportation of oversized materials and equipment for large-scale infrastructure projects. Cargo policies extend to warehouses where cargo is kept in the interim, loading and unloading of cargo. Cover also extends door to door depending on the provider.

Vessel/hull insurance – Covers in ocean hulls, river hulls and yacht exposures.

We insure the following types of vessels/ships:

• Ocean hull (blue water): Tankers, bulkers, general cargo vessels, container vessels, cruise vessels, fishing vessels, ferries, icebreakers, refrigerated vessels, research vessels, ro–ro vessels, cable laying vessels, tugs
• River hull (brown water): Tugs, barges, casino vessels, crew boats, dredgers, excursion vessels, ferries, fire fighting vessels, fishing vessels, dry docks, official vessels, passenger vessels, supply vessels, crane barges, dredges
• Yachts: Yachts, power boats, sailing vessels

Marine advanced loss of profits (ALOP) – Insures loss of profits due to business interruption as a result of a risk covered under the cargo policy. For example, if a printing company ordered a new printing press and the press was damaged during transport from the manufacturer to the printing company, the policy would cover the company’s loss of profits until a new press could be installed. Marine liability cover is based on the legal and/or contractual liability agreed with the customer.

Boat dealer’s liability insurance – Provides liability cover to boat dealers who demonstrate boats to potential customers, as well as boats and yachts transported from the vessel manufacturer for the use of sale. This type of insurance is typically written with marina operator’s legal liability insurance.

Charters legal liability insurance – Covers liability of the charterer for damage to the vessel chartered based on the contract signed with the shipowner/ship manager.

Freight forwarders liability insurance – When a freight forwarder is assigned with providing services of forwarding and transportation of a customer’s goods, it has an obligation to compensate the customer if the goods are damaged or lost during the transport. The practical approach for all freight forwarders would be to take out insurance cover that includes:

•  Liability for loss of or damage to cargo

•  Liability for errors and omissions

•  Liability to authorities

•  Third party liability

•  Costs and expenses

Marina operators legal liability – Covers liability of the marina operator for damage to a vessel in the marina at the time of the occurrence based on the contractual liability of the marina operator to the shipowner. Covered operations of the insured are as follows:

•  Repair

•  Alteration

•  Storage

•  Mooring

•  Maintenance

•  Hauling or launching

•  Fuelling

Protection and indemnity liability insurance – Protection and indemnity (P&I) policies cover liability, loss and/or damage occurring in the operation of the vessel. The risks covered under a hull policy are excluded.

Port and terminal operators liability insurance – Protects against liability for loss or damage to cargo on docks, piers, wharves or terminals while in the custody of the terminal, dock, wharf or pier operator. Freight terminals may be operated by port authorities or practically any owner or lessee of waterfront property. At the terminal, vessels can dock and cargo can be loaded, unloaded, and/or temporarily held in storage awaiting further transit. Frequently, the terminal operator’s coverage will extend to include the loading and unloading. A further element of exposure might be the obligation to provide safe berth for vessels. This type of liability cover is frequently all-inclusive and there may be overlapping of cover with the comprehensive general liability policy.

Ship repairers legal liability insurance – Covers liability of the shipyard for claims to a vessel during repairs or modifications at the shipyard based on the legal or contractual liability of the shipyard toward the client (i.e., shipowner).

Stevedores legal liability insurance – Covers liability of the stevedores for claims to goods whilst being loaded and unloaded based on the contractual liability of the stevedore to the client (e.g., cargo owners).

Yacht club liability insurance – Most yacht clubs require a complex combination of both maritime and land-based insurance. Commercial general liability insures the business activities of the club, including liability arising from the place of business, as well as products and services like food and liquor liability. Insurance for yacht clubs can also include:

•  Hull insurance
•  Protection and indemnity
•  Marina operators legal liability
•  Property covers (including docks and lifts)
•  General liability
•  Regatta coverage
•  Liquor liability
•  Directors and officers liability
•  Pollution liability (tanks, site and vessels)
•  Workers compensation

Contact us for additional information or a Marine Insurance quote

Our team works to help you secure the right cover at competitive pricing. Annual turnover policies, open covers or single shipment insurance can be structured and value added with our extensive field expertise. Contact us at 1300 732 205 or begin our
Marine Insurance quote process now. Winley’s Marine Insurance Specialists service all of Australia.