Marine cargo insurance is the earliest, formally developed kind of insurance, covering loss and damage to cargo in transit from the port of origin to its final destination whether it’s on the road, in the air, or via sea. We help your business stay protected by providing a framework upon which we believe in getting your goods delivered in a secure manner.
The common causes in which a freight claim have to be recorded for lost and damaged cargo include collision with another vessel at sea, acts of nature (storms, ocean activity, etc.), theft, vandalism, and inappropriate handling.
Our brokers possess extensive knowledge in maritime operations, tariff regulations, and customs procedures. They also have an understanding in handling ocean freight and intermodal paperwork.
Learn how EWIB can help you
At East West Insurance Brokers, we aim to ensure you are protected every step of the way while minimising exposed risks of loss or damage during the journey when exporting and importing activities on related goods, raw materials for manufacturing and consumer items. We insure vessels, cargoes, and related marine liabilities.
With marine cargo insurance, business owners and manufacturers are able to be insured in the event of a loss or damage. We believe that delivering your goods is integral to the continued success of your business.
Our brokers are able to tailor and arrange the appropriate cover in providing your business with high-level protection against risks during the delivery of goods and merchandise, from the time your goods leave and arrive at its destination.
Why Is Marine Cargo Insurance Important?
Marine cargo insurance is extremely important to ensure that your property is insured whilst in transit against loss or damage arising from insured perils and risks. An example of a claim on how marine cargo insurance can be beneficial took place when one of our clients had his carrier loaded with freshly picked corn which was found to be severely damaged due to bad weather during its transportation by sea.
During the voyage it was raining heavily which had caused the vessel to pitch and roll greatly for several days, resulting in the corn being damaged, mouldy and wet.
Upon discovering this, our client was of course considerably upset over the unfortunate incident. Fortunately for our client, he was able to receive the appropriate compensated amount of his insured goods. Our client was able to get back on his feet quickly and immediately took quick action to courier out another batch of new corn within the third day.
Furthermore, this coverage is usually issued at the same time the cargo booking is made (in most cases) and is sometimes added as a separate cost in addition to ocean freight fees and taxes. The seller of the goods bears the risk of transport until the title transfers to the buyer, a term more commonly referred to as free on board (FOB).
The level of coverage is 110 percent of the carriage, insurance, and freight value, and premium costs may vary based on a few factors:
- Commodity type (based on tariff classification and definition)
- Coverage type and amount
- Coverage extent and limitations
- Base dollar value of the freight