Marine Insurance Summary


Summary of Risks Covered Under marine cargo insurance

Institute Cargo Clauses (A)


1. This insurance covers all risks of loss of or damage to the subject-matter insured except as excluded

General Average

2. This insurance covers general average and salvage charges, adjusted or determined according to the contract of carriage and/or the governing law and practice, incurred to avoid or in connection with the avoidance of loss from any cause except those excluded.

Summary of cover provided under A Clauses

Loss of or damage to the subject-matter insured reasonably attributable during the ordinary course of the transit to any of the following perils;

1. Fire or explosion

2. Theft or malicious damage

3. War, Strikes & Terrorism

4. Vessel or craft being stranded grounded sunk or capsized

5. Overturning or derailment of land conveyance

6. Collision or contact of vessel craft or conveyance with any external object other


than water

1. Discharge of cargo at a port of distress

2. Earthquake volcanic eruption or lightning,


Loss of or damage to the subject-matter insured caused by

1. General average, sacrifice & salvage costs

2. Jettison or washing overboard

3. Entry of sea lake or river water into vessel craft hold conveyance container liftvan


or place of storage,

1. Total loss of any package lost overboard or dropped whilst loading on to, or unloading from, vessel or craft.


General Conditions

 This insurance is extended to indemnify the Assured against such proportion of liability under the contract of affreightment “Both to Blame Collision” Clause as is in respect of a loss recoverable hereunder. In the event of any claim by ship-owners under the said Clause the Assured agree to notify the Underwriters who shall have the right, at their own cost and expense, to defend the Assured against such claim.

 The insured has a duty to take all reasonable steps to avoid or minimise a loss and supply the insurer advice of loss damage or expense without delay

 To make a claim the insured must have an insurable interest in the cargo

 The insurances attaches from the time the cargo leaves the warehouse or place of storage for the purpose of the commencement of the journey, continues during the ordinary course of the journey and terminates either on delivery to the consignees or other final warehouse or place named; Delivered into storage other than in the ordinary course of the journey; For allocation or distribution; The expiry of 60 days after discharge at port; If driven under the a vehicles own power other than incidental to loading/unloading

 Deck cargo covered under the policy provided carried in approved container and then under Institute C Clauses including washing overboard and loading & unloading


Summary of Exclusions

1. Loss damage or expense caused by insufficiency or unsuitability of packaging or preparation of cargo

2. Loss damage or expense caused by delay

3. Loss damage or expense attributable to the wilful misconduct of the insured including knowledge of the unseaworthiness of the carrying vessel prior to loading

4. Loss damage or expense cause by the inherent vice or nature of the cargo

5. Loss damage or expense arising from insolvency or financial default of the vessel owners, charterers or managers

6. Loss damage or expense through ordinary leakage, loss in weight or volume, wear & tear, moths or vermin

7. Loss damage or expense arising from capture, seizure, restraint or detainment by Customs or other official authorities (Piracy excepted)

8. Rust, oxidation and discolouration unless caused by, or resulting from, an insured event above

9. Bursting and or puncturing of tyres

10. Loss damage or expense arising to Household goods & effects packed inside the vehicle

11. Loss damage or expense resulting from electrical or mechanical derangement or failure unless as a result of visible accidental damage, collision or overturning of conveyance, fire, explosion, flood, burglary or theft

12. Loss damage or expense arising whilst vehicles are driven under their own power or whilst under tow except for the express purpose of loading or unloading from the conveyance or while parked or manoeuvred within the port, storage or warehouse


Other General Information

 A pre-shipment survey of the vehicle must be recorded in order to establish the condition of vehicle prior to the start of the journey. This is most frequently done by taking dated digital photos, of the outside and inside of the vehicle

 No cover is provided whilst the vehicle is driven – other than while directly loading and unloading


The purpose of this is to only provide a summary of cover and must be read in conjunction with the policy wording in order to fully understand the terms, conditions and exclusions. A copy of this wording is available from our website by clicking here or by contacting us directly.

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