Marine Cargo Open Transit (Inland & Import/Export) Policy

Marine Cargo Policy covers goods (machinery, raw materials, finished goods etc) during transit under a contract of affreightment.

What does this Policy cover?

This Policy covers physical loss or damage to insured goods during transits by
Sea
Post or parcels
Rail/Road/Air

The scope of cover shall be determined by the Institute Clauses attached to the Policy.

All Overseas Transits are subject to Institute Cargo Clauses A,B C given by Institute of London Underwriters. The brief coverage is as under:



Goods (merchandise) dispatched by rail or road from any place in India to any place in India (not in conjunction with an overseas voyage) are subject to Inland Transit (Rail/Road) Clause A,B C. The brief coverage is as under:

Inland Transit (Rail or Road) Clause - A (All Risks): Covers All Risks of loss or damage subject to listed exclusions

Inland Transit (Rail or Road) Clause - B (Basic Cover): Covers Physical loss or damage caused by:
Fire, Lightning, Breakage of Bridges
Collision with or by the carrying vehicle, derailment or accidents of the like nature to the carrying railway wagon/vehicle

Inland Transit (Rail or Road) Clause - C: Covers Physical loss or damage caused by
Fire
lightning

Optional Extensions

For Inland Transits: Strike, Riot and Civil Commotion

For Oversea Transit:
War, Strike, Riot and Civil Commotion
Duty and Increased Value Insurance ( for Imports only)
Seller's Interest Insurance ( for Exports with CF or FOB terms only)

Other Salient Features

The policy is assignable

The Sum is fixed on 'Agreed Value' basis. Normally with a margin of 10% on invoice price for incidental expenses

The premium rates depends on factors like nature of cargo, scope of cover, packing, mode of conveyance, distance and past claims experience

Policies can be issued for (a) Specific Transit. (b) Marine Open Policy with monthly declarations and (c) Sales Turn Over Policy with quarterly statements

The Policy does not cover the following:

Willful misconduct

Ordinary leakage/loss in weight or volume , wear and tear

Improper packing

Inherent vice

Delay

Insolvency/financial default of carriers

War, Strike, Riot and Civil Commotion