Marine Cargo Insurance

COVID-19 is an important time to look at your cyber insurance policy

All business owners and operators should be aware of the fact that the stability and longevity of their company depend, in part, on having the correct types of insurance. Figuring out what kind of coverage you need is a complicated task, especially when you consider adding a marine cargo policy. Our experts at Connect Business Insurance simplify the issue of insurance for your cargo. Their experience in the field directs our representatives to the kind of cover our clients need.

Various facets of the maritime industry significantly influence the Australian economy. Several factors combine to make Australia one of the world’s most significant shipping tasks. These elements include:

  • Diverse industry and populations
  • A long coastline
  • Reliance on numerous imported goods delivered via the shipping industry
  • Large quantities of raw materials to export
  • Developed offshore oil and gas industries

What is Marine Cargo Insurance?

Marine cargo insurance is cover that will protect your vessels and the materials you transport from numerous unforeseen instances.

Four Statistics Regarding Maritime Shipping and Australia

  1. The approximate value of Australia’s exports via the sea is $218.9 billion
  2. The percentage of Australian exports that depend on sea transportation is 99%
  3. Australian wharves saw 1597 million tonnes of cargo move
  4. Australia imported 99.3 million tonnes of cargo via marine transport

What Types of Businesses Need Marine Cargo Insurance?

If your business depends on the sea, either partially or in full, to send or receive products and other business requirements like raw materials, you likely need to look into marine transit cover. Some examples include:

  • Operating a commercial watercraft
  • Running a marina or boat storage facility
  • Shipping materials or products overseas
  • Repairing vessels
  • Receiving goods and materials that require water transportation

What Are the Most Common Risks Relating to Marine Cargo?

While unforeseen events can, and often do, impact all industries across the continent, the marine cargo business is especially subject to these situations.

  • Storms and dangerous weather which sometimes strike with little warning
  • Piracy, while this does not mean Black Beard on the Jolly Roger, today’s modern pirates are best avoided. Frequently, they operate with speed boats and the latest arms equipment
  • Assorted calamities while your product is in transit

What Will Marine Cargo Insurance Generally Cover?

Each insurance policy has its own specifics. However, these are issues that most maritime insurance will cover. Consult with your Connect Business Insurance expert to learn the details of your policy.

TYPE OF COVER
POTENTIAL BENEFITS
INSURED EVENTS
These are spelled out by the insurer but frequently include damage caused by collision, fire, overturning, and more depending on your policy
ACCIDENTAL DAMAGE
A physical loss that occurs because of a nonintentional action
FIRE, EXPLOSION, LIGHTNING
While fire damage usually is a part of marine cargo insurance cover, fire from a lightning strike or an explosion often needs to be specified within the policy
DROPPING OF GOODS DURING LOADING OR UNLOADING
IMPACT OF GOODS WITH EXTERNAL OBJECTS
MALICIOUS DAMAGE
Destruction or sabotage carried out by a third party

What Will a Marine Cargo Insurance Policy Usually Exclude?

  • A delay in the shipment
  • Damage or loss due to acts of war
  • Loss of market

Please note that the materials included in this post are for informational use only. The material presented here is not binding insurance advice. Please contact your Contact Business Insurance representative for knowledgeable and helpful information.