All marine carriers must have shipping insurance that covers the loss of damage or loss of ship at sea. Ocean carriers are responsible for the seaworthiness of the vessel, properly manning the vessel, and making the vessel safe for carriage of the cargo. But they are not responsible for negligence of the master in navigating the vessel, fires, dangers, and accidents of the sea, acts of God, acts of war, seizures, strikes, riots, inherent defect, insufficiency of packing, quarantine restrictions and any other causes arising without the actual fault of the ocean carrier.
Shipping insurance is needed for exporters and cargo businessmen against factors like rough weather conditions, rough handling of cargo, fire, shipwreck, and so on. This is because it excludes losses that can be recovered from a carrier.
Shipping/marine insurance is typified into vessels insurance and cargo insurance. Vessels insurance of the vessels is also known as 'Hull and Machinery' (H&M).
You should remember that boat shipping insurance is very important. As if something happens to your boat during the shipping process, then the insurance company will cover all the expenses. You can get full-coverage insurance that is given for anything you need to ship. You have to be sure that your boat is properly insured in the unfortunate event of a storm or otherwise.
Process used for this insurance is very simple. There are two packing lists made for this procedure. One packing list with the replacement values listed for the insurance company, and the second list without any values listed for customs at your destination country. In this case, the value is your boat. You can easily send the list with the replacement values for your shipping company, and keep the list without values for when your shipment arrives so you can clear customs at your destination country.
Marine cargo insurance is a critical part of the international shipping industry. The insurance rates are very competitive and a premium rate can be provided to you based on your specific needs.
Before deciding that Marine insurance coverage is not needed, you should be aware that the maximum liability for any steamship line as per the COGSA (Carriage of Goods by Sea Act) is $500 or as per the terms and conditions of the Bill of Lading.
But there are insurance companies that have marine coverage within your current policy. You should contact your insurance company and see if marine coverage is included within your policy or if they can provide it to you.
The age, value and destination of the boat determine the rate. The maximum insurable value is the cost of the boat, plus the cost of the freight, plus 10%. In order to obtain all risk cargo insurance, shrink wrap is required. As for older boats, they may be insured against total loss only at a reduced premium.
It is very important to make a careful inspection when receiving an insured boat at destination. This is needed in case of availability of any damage. If this has happened you must report it immediately to the carrier and arrange for a survey with a local agent for the insurance company.
The following documents must be included when presenting a claim:
1. Copy of Commercial Invoice
2. Signed copy of Bill of Lading
3. Original Certificate of Insurance
4. Copy of claim against carrier and reply thereto
5. Original Survey Report
6. Nature of receipt given to vessel on delivery.