Posts Tagged ‘marine cargo insurance’

Marine Cargo Insurance – Protecting Your Cargo by the Boatload

Monday, May 24th, 2010

When it comes time to ship your cargo, the right way to transport your cargo may be via marine cargo. Quite often, this makes a lot of sense when dealing with international shipments of goods and services.

However, when you are considering marine cargo insurance quotes, there are so many issues to keep in mind. This can make the process feel a bit overwhelming. After all, when sending your goods across the waters you are also sending it across borders. How can you be sure that your Marine Cargo insurance policy is covering all the details?

A traditional insurance policy for buildings and automobiles falls into the category of “Property & Casualty” (P&C) insurance, while insurance that protects people is called “Life, Accident & Sickness” (LAS). Many insurance agents offer those types of policies. This type of agent will not be of help. You need to deal with insurance professionals that offer “Ocean Marine” policies. They would construct a policy for your cargo being sent by ship. An “Ocean Marine” policy will also protect that same cargo if it is shipped in part by air or land.

Because of the international nature of ocean marine policies, it is important to be aware that such policy offerings are not typically regulated by local government agencies. It is critical to check out the corporation offering the coverage thoroughly, or use a respected and trusted broker or website that will do this screening for you. Getting a marine cargo insurance quote requires more in depth scrutiny than simply taking the cheapest policy offered. Whenever you sign a contract, you need to know that your cargo is adequately insured and protected.

One detail to remember when considering marine cargo insurance is the transfer of insurance and risk once the goods are delivered to the various endpoints. The Cost, Insurance & Freight (CIF) is the risk that shifts to the ship at the loading port. The Carriage and Insurance Paid To (CIP) is the point at which the insurance coverage and responsibility transfers at the depot, truck, plane, or train. You must take into consideration the entire path of the goods when determining the best marine insurance policy to choose.