Transportation is a big business. Every day, countless transactions are being made dealing with the delivery of goods for overseas trade; transactions that are vital to the livelihood of the parties involved.
As a result, the potential for goods being lost or damaged is relatively high and, the financial losses suffered are huge.
Marine cargo insurance is vital in international trade as it provides protection in connection with the transportation involved.
Who needs Marine Cargo Insurance?
Generally, any party involved in any type of legal international trade, transportation from port to port or supplying services of this nature requires marine cargo insurance.
These include, but are not limited to:
- Importers / Exporters of any produce, goods or materials
- Logistics Companies with the legal responsibility to convey the goods of their clientele to specified destination
- Freight Forwarders involved in the arrangement of cargo movement from one country or port to another
- Manufacturers importing raw materials or machinery to manufacture products, or who need to transport their finished products to buyers and end-users
- Any businesses or organisations requiring all types of products and materials to be moved from one country to another, regardless of the mode of transport
- Fire or explosion
- Stranded, grounded, sunk or capsized vessels
- Overturning or derailment of land conveyance
- Collision or derailment of vessel, craft or conveyance with any external object other than water
- Discharge of cargo at a port of distress
- Earthquake, volcanic eruption and lightning
- General average sacrifice i.e. loss resulting from a voluntary sacrifice of any part of the vessel or cargo or expenditure to safeguard the vessel and the rest of the cargo. When such a loss occurs, it is paid on a pro-rata basis by the ship owner and all cargo owners
- Jettison i.e. voluntary dumping either of cargo or ship's material or stores overboard to protect other property from a common danger
- General average and salvage charges i.e. charges incurred under a general average loss or salvage charges incurred to the salvor who saved a vessel and/or cargo voluntarily
- Entry of sea, lake or river water into vessel, craft, hold, conveyance, container, liftvan or place of storage
- Total loss of any package lost overboard or dropped while loading onto or unloading from vessel or craft