Trusted Advice. Tailored Solutions. Lasting Protection.

Marine Insurance

Comprehensive protection for goods in transit and maritime vessels against risks during domestic and international transportation. Our marine insurance solutions cover cargo from warehouse to final destination and provide protection for vessels themselves.

1. Marine Transit Policy (Cargo Insurance)

Insurance coverage for goods and cargo during transit via sea, air, road, rail, or courier services. Protects against loss or damage from fire, theft, accidents, natural disasters, and handling risks during transportation.

Who Should Choose

Importers, exporters, manufacturers, traders, logistics companies, and businesses regularly transporting goods domestically or internationally.

Four Sub-Categories of Marine Transit Policy:

Description: Insurance for a single shipment or voyage covering cargo from origin to destination. Ideal for occasional or one-time shipments.

Coverage Details:

  • Covers one specific journey/shipment only
  • Policy specifies vessel name, departure port, destination port, transit route
  • Coverage begins when goods are loaded and ends when unloaded at destination
  • Protects against maritime perils (storms, sinking, collision, fire), theft, pilferage, strikes, riots

Who Should Choose: Occasional shippers, small businesses making infrequent shipments, one-off high-value cargo movements, businesses testing new trade routes

Coverage Period: Typically 3 months from policy inception

Sum Insured: Based on invoice value of specific shipment plus freight and insurance costs (CIF/FOB basis)

Description: Continuous coverage for multiple shipments over a 12-month period. Automatic protection for all shipments declared under the policy without needing separate certificates for each consignment.

Coverage Details:

  • Covers all shipments during 12-month policy period
  • Requires declaration of each shipment (voyage declarations)
  • Sum insured reduces with each declaration (diminishing balance approach)
  • Minimum sum insured typically 4 times the single sending limit
  • Monthly adjustments to sum insured based on declared shipments
  • Institute Cargo Clauses (ICC-A/B/C for international, ITC-A/B for domestic transit)

Who Should Choose: Regular importers/exporters, businesses with frequent shipments throughout the year, companies requiring consistent cargo protection, established traders with ongoing trade activities

Premium: Paid upfront based on anticipated sum insured, adjusted monthly based on actual declarations.

Advantages: Continuous coverage without gaps, simplified documentation, automatic protection for all shipments, competitive premiums for regular shippers

Description: Comprehensive single-policy solution covering ALL transit legs – exports, imports, domestic sales, local purchases, inter-factory movements, job worker movements, and capital equipment – based on annual sales turnover rather than individual shipment values.

Coverage Details:

  • Premium calculated on annual sales turnover value
  • Automatic coverage extends to: Domestic sales, Export sales, Imports
  • Local/domestic purchases, Inter-factory/depot movements
  • Job worker transits (raw materials sent and finished goods received)
  • Return and refused goods transits
  • Container movements, Capital equipment movements
  • No need to declare individual consignments
  • Only periodic (monthly/quarterly) declaration of sales figures required
  • Comprehensive all-transit solution under single policy

Who Should Choose: Businesses with high trade turnover, manufacturers with complex supply chains, companies with multiple transit types, organizations wanting simplified insurance administration, businesses with frequent domestic and international movements

Sum Insured: Based on company’s annual sales turnover (typically calculated from average of last 3 years)

Premium Advantages: Cost-efficient as based on overall turnover not individual transits, predictable insurance costs, significant administrative savings

Key Benefit: Everything that goes as input to produce output gets automatically covered – raw materials to finished goods across entire supply chain

Aspect Sales Turnover Policy Marine Open Policy
Coverage Scope All transit types under one policy (exports, imports, domestic, inter-factory, job work) Only marine cargo shipments for 12 months
Premium Basis Annual sales turnover value Anticipated sum insured for shipments
Declaration Periodic sales figures (monthly/quarterly) Each shipment must be declared (voyage declaration)
Flexibility Highly flexible, covers all business transits Limited to frequent marine shipments only
Administration Minimal – only turnover declarations needed Requires meticulous shipment-by-shipment declaration
Best For High turnover businesses with diverse transit needs Businesses focused primarily on regular import/export activities

2. Marine Hull & Machinery Insurance

Insurance for the physical vessel itself – covers the ship’s hull (body/structure), machinery, equipment, and associated liabilities. Protects shipowners, port authorities, and vessel operators against damage to maritime assets.

Coverage Inclusions:

Cargo ships, tankers, bulk carriers, container vessels, tugs and barges, passenger vessels, ferries, workboats, dredge vessels, fishing vessels, yachts, floating machinery, oil rigs

Who Should Choose

Shipowners, port authorities, vessel operators, boat rental companies, marine freight/logistics providers, companies with vessel fleets, maritime transport businesses

Sum Insured Criteria

Based on agreed vessel value (typically equal to or near replacement/market value of vessel), includes machinery and equipment valuation.

Additional Coverages Available:

Shipowners, port authorities, vessel operators, boat rental companies, marine freight/logistics providers, companies with vessel fleets, maritime transport businesses

  • Physical damage to hull, machinery, and equipment from collision, grounding, fire, storms, lightning, explosions
  • Third-party collision liability (damage to other vessels)
  • Bodily injury to crew members during vessel operations
  • Natural disaster damage (typhoons, earthquakes, volcanic eruptions)
  • Theft, piracy, and hijacking
    Damage during maintenance operations
  • Salvage and recovery costs
    Navigational hazards in seas, lakes, and rivers
  • Jettison (cargo thrown overboard in emergency)
  • Worldwide coverage for seafaring vessels

  • Normal wear and tear from regular use and aging
  • Intentional damage to vessel
  • War and terrorism acts (unless separately covered)
  • Radioactive contamination and nuclear damage
  • Illegal activities or law violations
  • Overloading of vessel
  • Sailing in storms after official warnings
  • Crew damage under influence of alcohol/drugs
  • Willful misconduct

 

Voyage Policy:
Coverage for vessel during specific single journey

Time Policy
Annual coverage for all voyages during policy term

Fleet Policy
Multiple vessels covered under single policy

Port Risk Policy
Coverage for vessels docked at port against fire, theft, natural perils

Blue-Water Hull Insurance
Vessels traveling in oceans and seas

Brown-Water Hull Insurance
Vessels operating in inland waters (rivers, lakes, lagoons)

Trusted Advice. Tailored Solutions. Lasting Protection.

what people are saying

Hear what our valued clients have to say about their experience with BP Risk.

Quotes Dark

BP Risk Advisors helped us consolidate our entire insurance portfolio and saved us significant costs. Their 20 years of experience shows in their professional approach.

Rajesh Kumar – Corporate Client

Quotes Dark

Their expertise in marine insurance is outstanding. Been with them for 15 years and never disappointed.

Anil Mehta – Corporate Client – Mumbai