Types Of Marine Insurance

     

 

             Types Of Marine Insurance Policy

 

1-Voyage Policy:

This type of insurance policy provides protection to goods only from one port to another port or for a particular voyage. Suppose the voyage is from Karachi to Sydney then the insurance company covers the risk only for the decided voyage. Voyage policy is more  suitable for cargo insurance.

2-Time Policy:

When marine insurance contract is taken for a subject matter against any marine-risk mentioned in the policy for a specific period. Then the company will compensate the loss without considering the deviation in the way of transit, on voyage in the sea or not. The company will have to pay loss incurred the ship or its cargo during that period.

2-Mixed Policy:

This type of policy has the characteristic of both voyage and time policy. The mixed policy covers the risk of loss at particular voyage during the time period stated in the policy. The mixed policy covers two conditions at same time. For example from Karachi to Sydney for seven months.

4-Valued Policy:

In valued policy, the subject matter is insured at the agreed price of the goods insured. The cash price of the insured goods is determined by adding freight and shipping charges, insurance plus 10% of 15% for expected profile and other incidental charges. In case of loss insurance company is liable to pay according to the value of the policy.

5-:unvalued policy:

It is also known as open policy. The value of the goods is not mentioned in the policy and it shall be calculated at the time of damage or loss.The policy is taken for a fixed amount. when the value of the subject matter is calculated at the time of damage, it can be more than the sum insured. Now a day it is rarely issued.

6-Fleet Insurance Policy:

The various ships may not be insured separately. So, the insurance company prefers to buy single policy instead of many policies. Fleet insurance policy is designed to insure a whole fleet of steamers and liners of the company.