Is your business expanding to overseas marketplaces, and are you considering the route of marine transportation? Getting marine transit insurance, so the protection of your cargo is an important factor to consider. The marine transport insurance policies can be unique in comparison to other insurance policies. This is as a result of the influence of international seas and oceans as well as air shipments that are subject to The unique set of laws that are put in place to limit the liability of the carriers.
Here are four facts that you may not have known about marine transit insurance previously and should be keeping in mind while planning to position and using good transit insurance in Australia:
Accidents are inevitable
Although shipping goods internationally using marine transit format is a much safer and more efficient way of transporting, tell me numerous reasons why your freight could incur damage during transit. Therefore investing in transport insurance goes to protect your assets in the event of a plausible accident that may occur during shipping through the sea.
Here are some of the inevitable accident that can occur on board shipping cargo:
Theft - A marine cargo theft is not as uncommon as it sounds. Cargo thieves are now able to use advanced technologies such as identity theft to be able to unlawfully pick up goods that arrive onshore. Without insurance that covers goods in transit insurance, a stolen cargo could incur an expensive loss for your business and may possibly be too large for your business to handle.
Lost cargo - Large ships tend to carry freight in tall stacks and run the risk of losing cargo overboard if the weather is too dangerous, tough and unruly. It is especially important to consider the possibility that your goods might be lost in transit, and you could incur a heavy loss as a result.
Unexpected situations - various catastrophic events such as wrecks and explosions could cause shipments to be damaged or delayed for a long period of time. This unanticipated and unavoidable event could cost you plenty, especially if you’re waiting to recover these items. It is important to get insurance for your goods in transit.
The damage to your goods or the shipper or consignee‘s responsibility
International shipping logs tend to favour the carrier, not the shipper or the consignee. They do so support the carriers by limiting the carrier liability that helps promote the trade between multiple nations; therefore, it is important that as we prepare to ship your goods from one place to another using the sea or ocean Road, package the goods very well and securely in order to minimise any risk that occurs during the transportation. Do get transport insurance in place for the damage cost.
The underwriting process is not stringent.
Many insurance policies have a strict underwriting procedure. However, marine transit insurance lacks these rigid guidelines, and they could work in your favour in case of damage or loss of goods in transit. Most of the marine transit insurance offer and all risk coverage can be tailored to your particular company.
All risk coverage policies do not cover everything.
As a new business person who is expanding horizons through business expansion in other countries, it may not be common knowledge that an all-risk transport insurance policy may not automatically cover any accident that involves your goods. Most all these policies do have a specific set of situations they do not cover in the policy coverage. Those occurrences that do not fall under the list specifications will not be covered under an all-risk policy. Therefore, it is important to go through the policy thoroughly before signing over the papers.