Historically, traders preferred sea routes for international trade. Even today, despite the invention of airplanes and trains, ships are still considered the primary mode of transport for trade-related products between countries. However, it is fraught with dangers such as poor weather, sea swells, collisions with sea pirates, and so on. This factor necessitated the purchase of marine insurance. Continue reading to learn more about Marine Insurance and its broad reach in India.
Why Marine Insurance?
Marine insurance protects cargo and goods in transit, such as by sea, road, or air, from loss or damage. Enroll in the appropriate marine insurance plan to safeguard your valuables. The coverage protects the transport and the cargo on board against financial loss or damage caused by unanticipated risks such as adverse weather, collision, sinking, robbery, fire, and natural disasters.
Advantages Of Obtaining Marine Insurance In India:
Comprehensive Coverage: While the products are in transit, a marine cargo insurance policy provides comprehensive coverage against all potential marine-related dangers.
Easy Customization: Customers can easily customize and adjust the plans to match their own demands.
Flexibility: The plans are sufficiently flexible and provide a number of options to meet the needs of the insured while remaining within their financial constraints.
Claim Survey & Settlement Support: This insurance policy relieves claim burden by providing worldwide claims settlement assistance as well as a claim survey.
Coverage Extension: This policy allows you to increase your coverage with optional benefits and cover the risk of strikes, riots, and other unforeseen events.
Marine Insurance Types
There are various types of marine insurance plans available to meet the needs of various types of customers. Let's take a look at the four most common plans on the market and see what each one has to offer.
Marine Cargo Insurance: Marine cargo insurance is a sort of marine insurance that protects cargo against damage while it is being transported. It could be as a result of a loss or damage caused by a voyage delay, a ship mishap, or unloading. This sort of insurance is advantageous for ships transporting large cargo.
Hull & Machinery Insurance: A hull insurance policy primarily protects the ship, including its furniture and articles, against damage. Ship owners typically get this sort of insurance to protect their expensive vessels from accidents. In addition to hull insurance, machinery insurance can be purchased to protect the ship's machinery.
Freight Insurance: The freight insurance coverage protects shipping companies from the financial consequences of freight loss or damage while it is being transported. It means that if freight is lost or destroyed during transit due to an unforeseen risk, the insurance provider will cover the financial losses.
Liability Insurance: This sort of insurance covers the ship in the event of an accident, attack, or other occurrence that could result in a significant loss or damage. It reimburses the policyholder for any such liabilities that are beyond the policyholder's control.
Scope of Marine Insurance Market in India
Due to the fact that India is bordered on three sides by water, marine shipping is a significant sector. Various ports in different sections of the country manage and convey large volumes of cargo on a regular basis. As a result, India's marine insurance market is massive. The Marine Insurance market is expected to expand further in the coming years, owing to the economy's rapid growth and the government's various initiatives to promote local manufacturing and trade.