MARINE HULL INSURANCE | MARINE CARGO INSURANCE

Marine Insurance covers the loss or damage of Ships, Cargo, Terminals and any transport or cargo by which property is transferred, acquired or held between the points of origin and final destination.

A contract of Marine Insurance is a contract whereby the insurer (Insurance Company) undertakes to indemnify the assured (in this case of Siem Offshore); in a manner and to the extent thereby agreed against marine losses; that is to say, the losses incident to the marine adventure.

By Marine Adventure it means:

• Any ship, goods or other moveable exposed to marine perils;
• Earnings or acquisition of any freight, passage money, commission, loans or disbursement is endangered by the exposure of insurable property to marine perils.
• Any liability to a third party that may be incurred by the owner of or other person interested in or responsible for insurable property by reason of maritime perils.

Marine time perils are perils consequent on, or incidental to the navigation of the sea, that is to say, perils of the sea, fire, war, piracy, robbers, thieves, captures, seizures, restraints and detainments of people, jettison, barratry and any other perils of the like kind or which may be designated by the policy.

MARINE HULL INSURANCE
Marine Hull Insurance covers physical loss or damage to the Hull and Machinery which constitute the ship itself.

It is fundamental protection of a vessel against damage. The vessel including her machinery and equipment is insured to her full value and, depending on the chosen cover, the following risks may be indemnified;

• Total loss (actual or constructive) or expenses that might be incurred in repairing/replacing the damaged parts of hull, machinery and other equipment.
• Expenses paid for prevention, minimising of damages or calculation of loss, in case such expenses are caused by an insured peril.
• Vessel gone missing
• General Average contribution
• alvage expenses.

• Increase Value Insurance
• Loss of Hire
• War Risks
• Fuel and Store Onboard
• Cash Onboard
• Running Down Clause
• Fixed and Floating Objects.

As provided in the under listed Hull Clauses.

• Institute Time Clauses Hull CL.280 (01.10.83)- Excluding loss of damage whilst vessel 8 amended to include 4/4ths Collision Liability up to Hull limit
  Cancelling Returns only as per clause 22
• Institute War and Strikes Clauses Hulls – Time CL281 (1.10.83)
• Institute Radioactive Contamination, Chemical, Biological, Bio-Chemical, Electromagnetic Weapons Exclusion Clause (CL370)
• Cyber Attack Exclusion Clause CI. 380 (10.11.03)
• Merchant Shipping Act
• Sanctions Limitation and Exclusion Clause CL.JC2010/014

• Details of vessel
• Details of Machinery & Equipment
• Details of major alterations to vessel and/or machinery and equipment since built
• Details of Fire Extinguishers and Special Equipment
• Details of Maintenance
• Details of Crewing Policy
• Details of Ownership
• Details of Managing Company (only where independent managers employed)
• General Information relating to registration and classification of vessel; purchase price and date of purchase; present market value; details of mooring etc.,
• Loss record for last five (5) years.

MARINE CARGO INSURANCE
Whenever Cargo is transported, a wide variety of risks are present throughout the transport chain for owner of the cargo (e.g. the manufacturer, trader of purchaser) ranging from loss and damage resulting from an accident, an Act of God, inappropriate handling, theft and robbery and, in the case of marine transport, general average.

Marine Cargo Policy
Marine business is subdivided into mainly Marine Cargo and Marine Hull.
Marine Cargo Policy provides indemnity to the insured for accidental damage or loss to the insured property as a result of insured perils such as Storm, Jettison, Fire, Seawater Damage, etc. Shipment can be either by sea or by air.
There are mainly three clauses in Marine Cargo Insurance business.

• Institute Cargo Clause “C”
  The Institute Cargo Clause “C” gives the leaser cover in marine insurance. The perils that are covered are, Fire and Explosion, Vessel being stranded or capsized, Impact damage, Discharge of cargo at a port of distress, General average sacrifice and Jettison.
  
• Institute Cargo Clause “B”
  This clause (cover) gives a wider maritime cover thank the Clause “C”. In addition to the cover granted under the ICC “C”, the following perils are covered under the ICC “B”: Earthquake, Volcanic Eruption and Lightning, Washing overboard by sea water or wind, Entry of sea, lake or river water into the vessel causing damage to the goods. Total loss of package overboard or dropped into the sea while loading or unloading from the vessel.
• Institute Cargo Clause “A”
  This clause is comprehensive in nature and thus covers “All Maritime Risks”. It covers virtually every peril except the specified excluded perils.