Comprehensive Marine Transit Insurance Policy for Businesses

Marine transit insurance covers loss or damage to goods during transportation by sea, air, road, or rail, protecting the value of cargo against risks such as accidents, theft, or natural disasters throughout the transit period.

ITC (A) coverage in marine transit insurance provides all-risk protection for goods during transit, covering loss, damage, theft, and external risks, unless specifically excluded in the policy wording.

ITC B, usually used for second-hand machinery, provides named-perils coverage for specific risks like fire, collision, or theft. Some insurers may offer ITC A coverage based on a satisfactory inspection report. In contrast, ITC C provides more restricted coverage, excluding certain transit risks and offering lower protection.

War and SRCC (Strikes, Riots, and Civil Commotions) coverage in marine insurance protects cargo and vessels against extraordinary risks such as war, hostilities, rebellion, terrorism, strikes, riots, and civil unrest, ensuring financial protection beyond standard policy risks. It is an add-on cover that incurs an additional premium.

INCO Terms are standardized trade rules that define buyer and seller responsibilities in international trade, including transport, insurance, risk transfer, and customs. They ensure clarity, reduce disputes, and facilitate smooth global transactions. Examples include FOB (Free On Board), CIF (Cost, Insurance, and Freight), and EXW (Ex Works).

Customs duty cover in marine insurance protects importers against financial loss by reimbursing customs duties paid on damaged, lost, or destroyed goods during transit, ensuring compliance and minimizing unexpected expenses.

The insured value of goods is calculated, including cost, freight, insurance, and other expenses, which determines the compensation payable in case of loss or damage. It is typically the invoice value plus 10%.

Generally, no. However, ITC (A) and ICC (A) policies cover internal damage only if it involves new goods accompanied by OEM packing.

ITC refers to Indian Trading Conditions, which are standard clauses for domestic marine transit insurance in India. ICC refers to Institute Cargo Clauses, recognized internationally, covering marine cargo transit risks globally.

Yes, marine transit policies typically cover loading and unloading risks, protecting goods against loss or damage during handling at departure, transit, or destination points, depending on what is specified in the policy.

The concealed damage clause in marine transit insurance, provided by insurers in ITC (A) or ICC (A) for new goods with OEM packing, allows claims for internal or hidden damage discovered after delivery, even without visible external damage. Claims under this clause typically must be made within 3 to 7 days from the delivery date, based on the policy terms.

OEM packing refers to the manufacturer's original packaging designed to protect goods during transit, maintain product integrity, support branding, and comply with standards, reducing damage risk and bolstering insurance claims.

Standard packaging follows manufacturer or industry-approved methods, ensuring safety and compliance, while customary packaging is typical but may vary, often providing less protection and potentially affecting insurance coverage and risk during transit

Over-dimensional cargo refers to goods exceeding standard size or weight limits, requiring special handling, equipment, and permits during transit. Insurance covers potential damage, loss, or accidents due to their exceptional dimensions.

Pilferage refers to the theft of part of a shipment or cargo during transit, often involving small quantities. Marine insurance may cover such losses if included in the policy.

Jettison is the deliberate act of throwing cargo overboard from a ship during emergencies, such as storms, to save the vessel. Marine insurance typically covers such losses under general average rules.

General Average is a maritime principle where all parties in a sea voyage proportionally share losses incurred voluntarily, such as by jettisoning cargo to save the ship. Marine insurance covers their contributions.

Policy excess in marine insurance is the fixed amount or percentage the insured must bear in the event of a claim. This reduces small claims and lowers premium costs for the policyholder.

Subrogation in marine insurance is the insurer’s right to recover claim amounts from a third party responsible for the loss. It's important for preventing double compensation and holding liable parties accountable.

Sue and Labour charges in marine insurance are expenses incurred by the insured to prevent, minimize, or mitigate loss or damage to cargo or a vessel. These charges are recoverable under the insurance policy.

Tail-end transit cover in marine insurance provides protection for goods after the main transit, covering storage, last-mile delivery, or final handling, ensuring complete coverage until cargo reaches its final destination.

FCL (Full Container Load) uses an entire container exclusively for one shipper’s goods, while LCL (Less than Container Load) shares a container with other shipments. This distinction affects cost, transit time, and insurance considerations.

Marine insurance protects businesses from financial losses due to accidents, theft, natural disasters, or delays during goods transit.

Common types include Cargo Insurance, Hull Insurance, Freight Insurance, Transit Insurance, and Liability Insurance for marine operations.

Importers, exporters, manufacturers, logistics companies, freight forwarders, retailers, and wholesalers involved in transporting goods benefit most from marine insurance.

Cargo insurance covers goods in transit against loss or damage caused by accidents, natural disasters, theft, or mishandling.

Hull insurance protects vessels and ships against damage from collisions, grounding, adverse weather, or other maritime perils.

Yes, Marine Delay Insurance can be added to cover losses due to shipment delays caused by covered perils.

Premiums depend on shipment value, cargo type, transit route, mode of transport, and the overall risk profile.

Notify your insurer promptly, submit the required documentation, and cooperate during the survey and settlement process.

Yes, policies can be tailored with coverage extensions and add-ons to meet your specific cargo and transit requirements. Consult our experts for assistance.