Marine Insurance Compensation
Many risks are covered under Marine Insurance policies. These risks might occur in the import of cargo into a country, and there will also be risks when cargo is being exported from the point of origin. There are risks that will occur when cargo is simply being moved from one coastal location to another. With each claim that is filed on damages incurred by any of these risks, there is Marine Insurance compensation expected to replace the item, or to protect the shipping vessel that incurred the loss.
In the event that there is a loss that occurs under the policies that include clauses that provide protection to cargo from earthquake, lightning, or the cargo washing overboard, then there will be Marine Insurance compensation that will offer compensation based on the actual value of the total loss.
The Marine Insurance compensation will also be based on all of the expenses that are payable for trying to right a vessel that has run aground during a storm, and that grounding caused the cargo below decks to be saturated with water and made them unusable. The sea water is make all consumables unfit for human consumption, and the Marine Insurance compensation will be paid according to the replacement cost of the cargo due to water damage.
If the vessel is damaged due to a collision, then the Marine Insurance compensation will be based on the constructive total loss of the vessel. If the damage can be repaired without the shipping firm claiming a total loss, then the Marine Insurance compensation will pay for the repairs to be completed as soon as possible. All cargo that is damaged from a collision, will also be financially reimbursed under the Marine Insurance compensation received for the collision damage.
The crew will also be included under the Marine Insurance compensation because they will require lodging and meal expenses to be paid because they do not have access to the ships facilities that would provide them with food and shelter. The Marine Insurance compensation for lodging and food will be paid to everyone that is on the crew manifest when the vessel left port.
If the total losses on a vessel that is damaged can not be determined, then the Marine Insurance compensation will be paid on a general average that can be determined from the shipping vessel inventories and port documents. While some of the cargo might be undamaged, there may be concealed damage that might not be discovered until the crates are opened on the pier. The Marine Insurance compensation will pay for these estimated damages in full, before the ship arrives in port.
by Sally.Anderson 19 years ago